Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Air NZ: Lessons Too Late For The Learning

Media Release
14 September 2001

Air NZ: Lessons Too Late For The Learning


New Zealand First Leader Rt Hon Winston Peters has released the following statement regarding Air New Zealand from Tauranga today:

We have noted that while there has been justified criticism of the Air New Zealand Board the Government is also clearly culpable.

Although New Zealand First supports the recapitalisation of Air New Zealand it does not support the means by which this has been achieved. The New Zealand Government has not learned the lessons of experience and has followed the Airline Board into the mire of bad investment decisions.

The effects of the rescue package are that: the private (and now foreign) company, Brierley Investments, has again been bailed out by New Zealand taxpayers; the cap on foreign ownership in our national airline has again been raised and will continue to be so; and, taxpayers’ funds have been risked without any of the benefits of ownership or control.

When Air New Zealand was hocked off by Labour in 1989, along with the rest of the country’s assets, taxpayers received $660m. Now the bulk of that is being risked with one more throw of the dice by a government that has fiddled while Ansett, Air New Zealand, and the nation’s tourism and trade have burned. And worst of all our international reputation lies in tatters, which will make the turn around of Air New Zealand in international markets even more difficult. Immediately offshore Australians of every political persuasion are not going to forgive us for what has happened to their iconic Ansett.

Brierley Investments should have been required to divest its shareholding as they have long failed to satisfy any reasonable test of New Zealand ownership. Its convoluted trust arrangements are a device contrary to the spirit and intention of the law.

For months now the Government has had the opportunity to reinvest in Air New Zealand, to secure the future of our world class carrier, and to protect it from foreign raiders.

Our nation has a serious balance of payments crisis exacerbated by the repatriation of dividends overseas and by high interest payments to overseas lenders.

By far the best outcome would have been for the Government to have used its investment to acquire BIL’s equity interests and gain oversight of the new Board.

A second-rate option has been taken by a second-rate Government whose inaction and belated decisions have undermined the credibility of our country and its institutions. It is an option that has the effect of socialising the losses and privatising the profits. It is an option that demonstrates that this Government has not learned any lessons from our turbulent economic past.

It begs the question, why is the Government bailing out another company for the umpteenth time – and what is it that these businesses have over both National and Labour for them to act so contrary to the public interest?

ENDS


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Werewolf: What Does Winston Peters Want His Legacy To Be?

A lot of people in New Zealand seem to resent Winston Peters and the power that he appears to have. “Appears” being the operative word. In reality, Peters will have power only up to the point that he uses it.

By next week, he’ll have become just another junior player in an MMP governing arrangement, battling to hold onto the gains he was promised. More>>

 

Rising Toll: Road Safety Needs To Be A Higher Priority

Official advice released to the Green Party under the Official Information Act shows that the previous National Government dismissed an option to make road safety its most important transport priority after being told the road toll was rising. More>>

ALSO:

Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>

ALSO:

Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>

ALSO:

Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>

ALSO:

Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>

ALSO:

Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>

ALSO:

Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election