Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Air NZ cuts Beijing services to concentrate on Shanghai

Air NZ cuts Beijing services to concentrate on Shanghai

March 28 (BusinessDesk) - Air New Zealand plans to cut its twice-weekly direct flights between Auckland and Beijing in order to concentrate on services to Shanghai which it will add a fifth weekly service in moves it calls an “expansion” of services to China.

“Following a review of current services into China, Air New Zealand has determined that this expansion will best be achieved by consolidating services into Shanghai and serving Beijing as a one-stop destination in conjunction with Star Alliance code-share partner Air China,” the airline said.

It will add a fifth weekly service to Shanghai from July 4 but will suspend its twice-weekly direct Auckland to Beijing service from June 30.

Travel between New Zealand and China has ramped up in recent years, with the number of short-term Chinese visitors climbing by about 49,000 to an annual 152,000 in the year ended Feb. 29 from 2010, while the number of kiwis rose almost 12,000 to 69,000 over the same period.

Air NZ is aiming for a $110 million profit improvement from its long-haul services by 2015, which are now an underperforming part of the company. The airline’s first-half profit sank 61 percent to $38 million on higher fuel costs and fewer international passengers.

International airline group general manager Christopher Luxon said the airline still considers Beijing “an important and growing market” and its Air China code-share arrangement provides convenient connections between Shanghai and Beijing in both directions.

“Air New Zealand has been operating to mainland China for more than five years and is highly committed to the potential of the market long term,” Luxon said.

The airline has just created a new position of head of Asian operations and appointed Sandeep Bahl, “a highly experienced airline executive in the region,” to the position in its Shanghai office from the beginning of March.

“Under his guidance, we will focus our marketing and sales resources on the Shanghai region of around 14 million people as we seek to provide customers a daily service to and from this important gateway in China.”

The shares fell 0.6 percent to 85 cents in trading today.


(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Media: Julian Wilcox Leaves Māori TV

Māori Television has confirmed the resignation of Head of News and Production Julian Wilcox. Mr Maxwell acknowledged Mr Wilcox’s significant contribution to Māori Television since joining the organisation in 2004. More>>

ALSO:

Genetics: New Heat Tolerant Cow Developed

Hamilton, New Zealand-based Dairy Solutionz Ltd has led an expert genetics team to develop a new dairy cow breed conditioned to thrive in lower elevation tropical climates and achieve high milk production under heat stress. More>>

Fractals: Thousands More Business Cards Needed To Build Giant Sponge

New Zealand is taking part in a global event this weekend to build a Menger Sponge using 15 million business cards but local organisers say they are thousands of business cards short. More>>

Scoop Business: NZ Net Migration Rises To Annual Record In September

New Zealand’s annual net migration rose to a record in September, beating government forecasts, as the inflow was spurred by student arrivals from India and Kiwis returning home from Australia. More>>

ALSO:

Scoop Business: Fletcher To Close Its Christchurch Insulation Plant, Cut 29 Jobs

Fletcher Building, New Zealand’s largest listed company, will close its Christchurch insulation factory, as it consolidates its Tasman Insulations operations in a “highly competitive market”. More>>

ALSO:

Scoop Business: Novartis Adds Nine New Treatments Under Pharmac Deal

Novartis New Zealand, the local unit of the global pharmaceuticals firm, has added nine new treatments in a far-ranging agreement with government drug buying agency, Pharmac. More>>

ALSO:

Crown Accounts: English Wary On Tax Take, Could Threaten Surplus

Finance Minister Bill English is warning the tax take may come in below forecast in the current financial year, as figures released today confirm it was short by nearly $1 billion in the year to June 30 and English warned of the potential impact of slumping receipts from agricultural exports. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news