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Emirates will use Auckland as global hub, says Air NZ

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Old 5th May 2004, 15:33
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Emirates will use Auckland as global hub, says Air NZ

Thurs "The Australian"

Emirates will use Auckland as global hub, says Air NZ
By Steve Creedy
May 06, 2004

AIR New Zealand believes Emirates will use New Zealand to launch trans-Pacific services as part of the Dubai-based airline's plans to establish itself as a global airline.

Air NZ chief executive Ralph Norris told the Australian Competition Tribunal yesterday that Emirates had made no secret of its plans to become a global airline.

Mr Norris believes Emirates has found flying across the Pacific from New Zealand a better option than operating from Australia, which has already rejected similar proposals from Singapore Airlines and Hong Kong's Cathay Pacific.

He suggested Emirates was keen to establish a hub in Auckland and later went into a closed tribunal session to further discuss the claim.

Air New Zealand and Qantas are arguing that increased competition from Emirates and low-cost carrier Pacific Blue means that a decision to reject their proposed alliance should be overturned.

Mr Norris said Emirates was about to fly from Dubai to New York and was planning to extend services to Vancouver and San Francisco.

"That gives them the opportunity to provide what no other carrier can provide - a seamless international service," he said.

Local Emirates management did not return calls yesterday, but a representative had previously expressed surprise when approached by The Australian about suggestions of a New Zealand hub.

Emirates operates 21 flights a week from Australia to Auckland, with direct services from Sydney, Melbourne and Brisbane.

The airline uses the same long-haul aircraft it uses on its Dubai services, in a bid to increase their utilisation, allowing it to offer full international amenities and service at a lower cost.

Mr Norris said linking those flights to the US would give the airline, which had a fleet of 61 large aircraft and the biggest order for more planes currently in the marketplace, the ability to offer Australian passengers the ability to fly through New Zealand and across the US.

He rejected suggestions by senior ACCC counsel Rowan Dark that Emirates' limited trans-Tasman flights did not meet the demands of high-yielding business passengers.

In other evidence, Mr Norris revealed that the Star Alliance in 2002 considered starting an Australian domestic airline to fill the gap left by the collapse of Ansett.

But he said the alliance had come to the same conclusion as Air NZ - that it was not economically viable.

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Wirraway is offline  
Old 6th May 2004, 10:56
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Norris must have his head so far up his own ar$e that he can't tell the difference between $hit and clay.

"He believes...."

"Emirates have made no secret of it's plans to become a global airline"

And Emirates along with Pacific Blue are just too much to handle, therefore we need a QF/NZ alliance.

Cut me some slack here please!

Air NZ have had decades to get it right, and QF over twice as long.

Why all of a sudden are two new entrants, operating (in comparison to these two) limited services, becoming such a threat?

halas
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Old 7th May 2004, 01:30
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What cr@p some CEOs put forth.....

"That gives them the opportunity to provide what no other carrier can provide - a seamless international service," he said."

What does this mean?
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Old 7th May 2004, 08:57
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All I can say is watch this space.

Demrats have made no secret that they want to start an east coast aus to USA service - possibly be DXB-AUS-USA-DXB pattern

If they cant do it direct from oz due to Anderson continuing to only allow 2 carriers to operate direct from AUS to LAX, then good chance of doing it from AKL, assuming fifth freedom rights avail ex NZ.
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Old 7th May 2004, 10:57
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Open skies agreements exist between UAE & NZ, so it doesn't matter which way round EK go.

Look out for DXB-LAX-AKL and possibly DXB-JFK-AKL, EK could even do a LAX-CHC non-stop as well, Air New Zealand should be getting very worried, the NZ-USA market is about to be pulled from underneath them

DJ737

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Old 9th May 2004, 08:56
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Go EK Go!!!!

Q been protected for too long
CAYNINE is offline  
Old 10th May 2004, 15:43
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QANTAS and Air NZ. What can I say, a couple of crappy down and out airlines (no offence boys and girls). If EK has got the balls then good on them!!
Make my flying more interesting as well
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Old 10th May 2004, 18:36
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The problem for airlines such as Qantas and Air Nz is that emirates has capital coming out its ears and being an airline owned by an oil rich country the airline would get its fuel at a heavily discounted rate. We have no ability to compete against this without some form of governmental understanding of the situation. The governments have proven they don't understand by knocking back the aliance plans. Boys and girls in the not too distant future we are all going to be fighting very hard for our continued survival.
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Old 10th May 2004, 22:09
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I don't think so.
Dubai has never had much oil - it has always been a trading state.
The company may be Dubai LLC owned, but it operates as a private enterprise, paying its own way.
And finally, the oil gets exported to Singapore to be refined into aviation grade fuels, and then reimported ( and its Abu Dhabi oil anyway). The cheapest fuel on our network is bought in Singapore.
Really, it is about the business model, and QF and NZ are firmly rooted in the past.
Three Wire is offline  

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