Wirraway
13th Jul 2004, 16:02
Wed "The Australian"
Kiwi carrier's feathers ruffled
By Steve Creedy, Aviation writer
July 14, 2004
AIR New Zealand yesterday took the unusual move of placing a full-page advertisement to deny a newspaper report that it had entered a confidential agreement not to compete with Qantas while the two airlines pursued their alliance.
Air NZ was unhappy with a front-page report last Friday in The New Zealand Herald about hearings of the carrier's High Court appeal against the New Zealand Commerce Commission's decision to refuse the alliance.
The report, a version of which made its way into some Australian media outlets, suggested the NZCC had a document showing the airlines had drawn up a confidential plan not to compete.
However, the NZCC said in the wake of the story's publication that its submission was about the airlines holding back on co-operation while the application was pending.
It said there was no suggestion Air NZ had agreed in any way to refrain from competing with the Australian airline.
Air NZ said it believed it was necessary to run the advertisement after the newspaper "buried" a correction to the story in its business pages.
It said it believed it had to reiterate that it had at all times acted with integrity and honesty in its pursuit of the alliance.
"The grossly misleading story damaged Air NZ's reputation in the eyes of customers, shareholders and staff," said Air NZ chief executive Ralph Norris. "I will take whatever actions are necessary to ensure that Air NZ's reputation - and by association the reputation of our board, management and staff - is not tarnished."
Meanwhile, bankers told Bloomberg News yesterday that Qantas was seeking a $2.1 billion loan to refinance existing debt.
The Sydney-based airline plans to borrow for five years and invited proposals from lenders including ANZ, Commonwealth Bank, NAB and Westpac.
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Kiwi carrier's feathers ruffled
By Steve Creedy, Aviation writer
July 14, 2004
AIR New Zealand yesterday took the unusual move of placing a full-page advertisement to deny a newspaper report that it had entered a confidential agreement not to compete with Qantas while the two airlines pursued their alliance.
Air NZ was unhappy with a front-page report last Friday in The New Zealand Herald about hearings of the carrier's High Court appeal against the New Zealand Commerce Commission's decision to refuse the alliance.
The report, a version of which made its way into some Australian media outlets, suggested the NZCC had a document showing the airlines had drawn up a confidential plan not to compete.
However, the NZCC said in the wake of the story's publication that its submission was about the airlines holding back on co-operation while the application was pending.
It said there was no suggestion Air NZ had agreed in any way to refrain from competing with the Australian airline.
Air NZ said it believed it was necessary to run the advertisement after the newspaper "buried" a correction to the story in its business pages.
It said it believed it had to reiterate that it had at all times acted with integrity and honesty in its pursuit of the alliance.
"The grossly misleading story damaged Air NZ's reputation in the eyes of customers, shareholders and staff," said Air NZ chief executive Ralph Norris. "I will take whatever actions are necessary to ensure that Air NZ's reputation - and by association the reputation of our board, management and staff - is not tarnished."
Meanwhile, bankers told Bloomberg News yesterday that Qantas was seeking a $2.1 billion loan to refinance existing debt.
The Sydney-based airline plans to borrow for five years and invited proposals from lenders including ANZ, Commonwealth Bank, NAB and Westpac.
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