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

 

First Step In Securing Air New Zealand’s Future

Important First Step In Securing Air New Zealand’s Future

Statement made by John Palmer, Chairman, Air New Zealand Limited

The Board and Management of Air New Zealand welcome the conditional decision by the Kiwi Shareholder agreeing to Qantas eventually owning up to 22.5% of Air New Zealand.

This decision is an important first step to ensuring Air New Zealand has a robust future as a New Zealand owned and managed, globally operating airline.

We are encouraged that the Kiwi Shareholder has recognised the importance of ensuring the long-term future of Air New Zealand as a strong international airline with a wide domestic network.

Our focus will now move to that regulatory process. We must demonstrate to the competition regulators that the alliance is the only course which can adequately ensure the future of Air New Zealand as part of a viable and globally competitive airline industry supporting the specific needs of this region.

We have already acknowledged that the alliance will result in reduced competition. We are confident of substantiating that the net public benefits to offset this are conservatively, the $1.4 billion over 5 years as assessed by NECG.

The regulatory process will give the public the opportunity to examine the joint Air New Zealand – Qantas submission in detail, and either support or disagree with the proposal.

The duration of the regulatory process is in the hands of the regulators, but we anticipate that they will make a decision before mid next year. If favourable decisions are received, Air New Zealand will put the transaction to its shareholders for final approval.

By 31 December 2002, Qantas will subscribe for redeemable, convertible notes in Air New Zealand equivalent to 4.99% of Air New Zealand’s shares, at a total value of $98.24 million.

Until the regulatory process is complete it will be a case of business as usual for Air New Zealand.

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Serious Fraud Office: Commences Enquiries Into Allegations Of COVID-19 Wage Subsidy Fraud
The Serious Fraud Office has commenced a number of enquiries into alleged abuse of the Government’s COVID-19 Wage Subsidy. Director Julie Read said the allegations relate to multiple complex cases of potential fraud that have been referred to the agency following extensive investigations ... More>>



Environment: Preliminary Environmental Data On New Zealand’s Air Quality Released Today

The Ministry for the Environment and Stats NZ have published the Our air 2021: preliminary data release today. We are currently working to revise the Our air 2021 report to incorporate analysis of the World Health Organization (WHO) 2021 air quality guidelines that were released on 23 September 2021... More>>


Statistics: Food Prices Rise For Sixth Consecutive Month
Food prices rose 0.5 percent in September 2021 compared with August 2021, mainly influenced by higher prices for grocery food and meat, poultry, and fish, Stats NZ said today. September’s movement is the sixth consecutive monthly rise. After adjusting for seasonality, prices rose 0.9 percent... More>>



Reserve Bank: Robust Balance Sheets Yield Faster Economic Recovery

Stronger balance sheets for households, businesses, financial institutions and the government going into the pandemic contributed towards maintaining a sound financial system and yielding a faster economic recovery than following previous deep recessions... More>>


Transpower: Releases Independent Report Into Events Of August 9
Transpower’s Chief Executive Alison Andrew has today released an independent report into the grid emergency of August 9 when insufficient generation was available to meet demand, leading to some customers being disconnected... More>>

Bayleys: Latest Lockdown Adds Further Fuel To Industrial Property Market

The recent construction shutdown resulting from Auckland’s Covid 19’s lockdown restrictions has put additional pressure on an industrial property market that is already struggling to keep pace with demand... More>>