Air New Zealand disappointed at Origin Pacific

Media Release
15 June 2006

Air New Zealand disappointed at Origin Pacific

Air New Zealand today expressed disappointment that Origin Pacific has indicated it will be laying a complaint with the New Zealand Commerce Commission.

Origin Pacific has said it is concerned about Air New Zealand’s decision to introduce services on the Palmerston North-Nelson and Hamilton-Nelson routes.

Air New Zealand Group General Manager Shorthaul Airlines, Norm Thompson said the airline has been growing its domestic network over the past three years to cater for increased demand as a result of its successful Express model.

“We continue to respond to market demand as a result of Origin Pacific’s decision to reduce services on many routes across New Zealand,” Mr Thompson said.

He said that Air New Zealand has been a supporter of Origin Pacific, being one of many creditors who have effectively subsidised the airline by writing off substantial debts after it almost went out of business a couple of years ago.

“Furthermore, the NZCC recently found there was no misuse of market power by Air New Zealand on the Hamilton-Christchurch route made by Origin Pacific back in 2003. Frankly, it’s quite disappointing to see Origin Pacific indicating it wants to waste more of everyone’s time.”

Meantime, Mr Thompson said Air New Zealand is currently finalising a proposal to open its 26th domestic route in recognition of growing demand in a provincial market not currently serviced by any airline.

ENDS

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