Merged: Origin Pacific ceases flying
Air Nelson ups capacity after Origin Pacific demise
11.05am Thursday August 24, 2006
Air New Zealand Link carrier, Air Nelson, is providing extra capacity in and out of Nelson over the upcoming school holidays, following the collapse of Origin Pacific passenger services.
Air Nelson general manager John Hambleton said today a total of 4600 extra seats would be available between September 18 and October 15 on the Nelson-Wellington, Nelson-Christchurch and Nelson-Auckland routes.
He said Air Nelson was also looking ahead to more permanent capacity increases by mid-November, for which it was employing more staff and recruiting pilots and flight attendants, some formerly employed by Origin Pacific.
- NZPA
11.05am Thursday August 24, 2006
Air New Zealand Link carrier, Air Nelson, is providing extra capacity in and out of Nelson over the upcoming school holidays, following the collapse of Origin Pacific passenger services.
Air Nelson general manager John Hambleton said today a total of 4600 extra seats would be available between September 18 and October 15 on the Nelson-Wellington, Nelson-Christchurch and Nelson-Auckland routes.
He said Air Nelson was also looking ahead to more permanent capacity increases by mid-November, for which it was employing more staff and recruiting pilots and flight attendants, some formerly employed by Origin Pacific.
- NZPA
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I suggest if your an origin pilot with an atpl try both vincent and aiwork as both have employed direct entry captains previously. Airwork has hired at least 4 direct entry captains in the last 2 years. Good luck.
29/08/2006
NZPA
Failed regional airline Origin Pacific has asked its creditors to allow more time for possible buyers to look at the company's books.
Nelson-based Origin closed its passenger services this month after time ran out to find more capital to keep flying.
Origin managing director Robert Inglis yesterday told creditors that during the past two weeks Origin's freight operations had continued successfully, while the company determined the full extent of its creditor liabilities.
A number of interested parties had formally entered into due diligence of both the freight and passenger businesses, Mr Inglis said.
"This process is ongoing and we anticipate that our options will be better clarified in another two weeks when the parties may have made firm offers," he said.
"We are working hard to deliver an optimised outcome for all of our creditors in line with our preferred strategy.
"We continue to believe that should a receiver or liquidator be appointed that this may not be in your best interests.
"We have appreciated your support over the last two weeks in not taking any action that could jeopardise the restructuring and sale opportunities and would like to thank you again for this.
"We ask that this support is extended for another two weeks when we will be in a better position to evaluate our best options."
A further progress announcement would be made on September 11.
NZPA
Failed regional airline Origin Pacific has asked its creditors to allow more time for possible buyers to look at the company's books.
Nelson-based Origin closed its passenger services this month after time ran out to find more capital to keep flying.
Origin managing director Robert Inglis yesterday told creditors that during the past two weeks Origin's freight operations had continued successfully, while the company determined the full extent of its creditor liabilities.
A number of interested parties had formally entered into due diligence of both the freight and passenger businesses, Mr Inglis said.
"This process is ongoing and we anticipate that our options will be better clarified in another two weeks when the parties may have made firm offers," he said.
"We are working hard to deliver an optimised outcome for all of our creditors in line with our preferred strategy.
"We continue to believe that should a receiver or liquidator be appointed that this may not be in your best interests.
"We have appreciated your support over the last two weeks in not taking any action that could jeopardise the restructuring and sale opportunities and would like to thank you again for this.
"We ask that this support is extended for another two weeks when we will be in a better position to evaluate our best options."
A further progress announcement would be made on September 11.
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Clashing styles led to airline exit, says Pero
Monday August 28, 2006
By Andrea Fox
Mortgage broking millionaire Mike Pero has lifted the lid on his quick exit last year from the board of recently failed regional airline Origin Pacific, saying he had bitter clashes with founder Robert Inglis who refused to change its loss-making direction.
Pero said he had lost more than $3 million investing in the Nelson-based commuter airline and freight forwarder, which was forced to ground passenger services two weeks ago for want of a financial rescuer.
An Origin spokesman said the airline would issue an update for creditors today and was continuing to work on "a range of possible outcomes".
The private company's freight business is for sale. Its total debt is unknown.
Pero, an accomplished marketer who made his fortune building and selling Mike Pero Mortgages, said he first invested in Origin "substantially" in 2004 when it was in financial trouble.
"Certain representations were made to me that indicated [as a director] I would have some degree of influence and control, and that there were opportunities to change the airline.
"I and other investors, creditors and suppliers all believed there was a plan that was viable."
Pero said he wanted to revamp Origin's marketing, brand building and "change attitudes".
"They had good staff but none of them were utilised."
But he said very soon he was having "strong differences" with Inglis who was chairman, chief executive and 50 per cent shareholder.
"Within six months it was evident we needed to put more money in. Every single projection was wrong, I don't think a budget was ever achieved," Pero said.
"Robert is known for his single-mindedness. It was his way or no way. We had so many arguments around the table, I just couldn't handle it any more."
Pero quit last year, just short of 12 months after saying he would take a leading role in developing the struggling airline.
So why did he explain his exit at the time by saying he was confident Origin was again a "viable" business?
"I was so furious with what had happened, but if I'd gone to the media and said: 'I'm outta here because I don't want any part of it, it's all turning to crap', it would have nailed the coffin down," he said.
"I would have achieved nothing. I'd have just destroyed jobs and opportunities for everyone."
Origin employed around 260 staff. Pero believes around 20 have been retained to run the freight forwarding business, which leases Qantas aircraft.
Pero has said he wants to buy the freight business. The rider is that he wants to be chief executive.
But he claims to have had no contact with the company for more than 14 days and that his interest is dwindling because customers are disappearing to Air New Zealand and other competitors.
Publicly listed Freightways, a major freight customer, also wants to buy the freight business, and Origin has agreed to let it conduct due diligence.
Freightways chief executive Dean Bracewell could not be contacted for comment.
Origin declined to comment on Friday about progress.
Inglis this month told the Business Herald that passenger services were simply "suspended" and that the company needed a rescue package of around $7 million to compete profitably against state-owned Air New Zealand, which he has accused of predatory practices.
Yesterday an Origin spokesman said the company was "surprised and disappointed" at Pero's comments.
"The company has confidentiality agreements which allow him to undertake due diligence in the company's freight operations. Origin Pacific intends to continue to respect those confidentiality arrangements."
Pero claimed Origin's creditors, including those from its near bankruptcy in 2004, would fill "several pages" and that "tens of millions" of dollars had been lost.
Asked what had happened to Origin's leased fleet of 30-seater regional aircraft, an Origin spokesman said the aircraft "remained in New Zealand". He would not elaborate.
Pero dismissed Inglis' claim that Origin had nosedived because of Air New Zealand predatory practices.
Rising fuel prices, competitive pressures and the management style had all contributed, he said.
Monday August 28, 2006
By Andrea Fox
Mortgage broking millionaire Mike Pero has lifted the lid on his quick exit last year from the board of recently failed regional airline Origin Pacific, saying he had bitter clashes with founder Robert Inglis who refused to change its loss-making direction.
Pero said he had lost more than $3 million investing in the Nelson-based commuter airline and freight forwarder, which was forced to ground passenger services two weeks ago for want of a financial rescuer.
An Origin spokesman said the airline would issue an update for creditors today and was continuing to work on "a range of possible outcomes".
The private company's freight business is for sale. Its total debt is unknown.
Pero, an accomplished marketer who made his fortune building and selling Mike Pero Mortgages, said he first invested in Origin "substantially" in 2004 when it was in financial trouble.
"Certain representations were made to me that indicated [as a director] I would have some degree of influence and control, and that there were opportunities to change the airline.
"I and other investors, creditors and suppliers all believed there was a plan that was viable."
Pero said he wanted to revamp Origin's marketing, brand building and "change attitudes".
"They had good staff but none of them were utilised."
But he said very soon he was having "strong differences" with Inglis who was chairman, chief executive and 50 per cent shareholder.
"Within six months it was evident we needed to put more money in. Every single projection was wrong, I don't think a budget was ever achieved," Pero said.
"Robert is known for his single-mindedness. It was his way or no way. We had so many arguments around the table, I just couldn't handle it any more."
Pero quit last year, just short of 12 months after saying he would take a leading role in developing the struggling airline.
So why did he explain his exit at the time by saying he was confident Origin was again a "viable" business?
"I was so furious with what had happened, but if I'd gone to the media and said: 'I'm outta here because I don't want any part of it, it's all turning to crap', it would have nailed the coffin down," he said.
"I would have achieved nothing. I'd have just destroyed jobs and opportunities for everyone."
Origin employed around 260 staff. Pero believes around 20 have been retained to run the freight forwarding business, which leases Qantas aircraft.
Pero has said he wants to buy the freight business. The rider is that he wants to be chief executive.
But he claims to have had no contact with the company for more than 14 days and that his interest is dwindling because customers are disappearing to Air New Zealand and other competitors.
Publicly listed Freightways, a major freight customer, also wants to buy the freight business, and Origin has agreed to let it conduct due diligence.
Freightways chief executive Dean Bracewell could not be contacted for comment.
Origin declined to comment on Friday about progress.
Inglis this month told the Business Herald that passenger services were simply "suspended" and that the company needed a rescue package of around $7 million to compete profitably against state-owned Air New Zealand, which he has accused of predatory practices.
Yesterday an Origin spokesman said the company was "surprised and disappointed" at Pero's comments.
"The company has confidentiality agreements which allow him to undertake due diligence in the company's freight operations. Origin Pacific intends to continue to respect those confidentiality arrangements."
Pero claimed Origin's creditors, including those from its near bankruptcy in 2004, would fill "several pages" and that "tens of millions" of dollars had been lost.
Asked what had happened to Origin's leased fleet of 30-seater regional aircraft, an Origin spokesman said the aircraft "remained in New Zealand". He would not elaborate.
Pero dismissed Inglis' claim that Origin had nosedived because of Air New Zealand predatory practices.
Rising fuel prices, competitive pressures and the management style had all contributed, he said.
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Ah the truth comes out...
What we all suspected at the time...
Pero burnt his coin and left cause he got sick of Bob's boardroom tantys.
Perhaps the silver fox is running out of "Enthusiasts" keen to burn another pile of notes, after the glory of running thier "own" airline.
Crook? Not much.
What we all suspected at the time...
Pero burnt his coin and left cause he got sick of Bob's boardroom tantys.
Perhaps the silver fox is running out of "Enthusiasts" keen to burn another pile of notes, after the glory of running thier "own" airline.
Crook? Not much.
Business
Origin Pacific to resume charter flights
6.00pm Thursday August 31, 2006
Regional airline Origin Pacific said today it would resume an air charter service, after halting passenger flights earlier this month when it ran out of capital.
Origin founder and managing director Robert Inglis said in a letter to passengers that it would recommence charter flights, in addition to its freight service, as the division had operated "significantly profitably".
Nelson-based Origin closed its passenger services on August 10 after time ran out to find more than $5 million in capital to keep flying.
It had been struggling in its competition on the regional routes against Air New Zealand since losing its partnership with Australian airline Qantas in 2004.
Origin was looking at opportunities for its fleet but was not considering returning to its previous level of regional scheduled flights "whilst our State-owned competitor continues to enjoy such an unfettered dominant position..." Mr Inglis said.
"The airline is considering a range of initiatives for recapitalisation and options for future operations."
A number of interested parties have formally entered into due diligence of both the freight and passenger businesses.
The freight business largely consists of the rights to the cargo space on Qantas domestic Boeing 737 services and a nightly Qantas 767 freighter between Auckland and Christchurch.
- NZPA
Origin Pacific to resume charter flights
6.00pm Thursday August 31, 2006
Regional airline Origin Pacific said today it would resume an air charter service, after halting passenger flights earlier this month when it ran out of capital.
Origin founder and managing director Robert Inglis said in a letter to passengers that it would recommence charter flights, in addition to its freight service, as the division had operated "significantly profitably".
Nelson-based Origin closed its passenger services on August 10 after time ran out to find more than $5 million in capital to keep flying.
It had been struggling in its competition on the regional routes against Air New Zealand since losing its partnership with Australian airline Qantas in 2004.
Origin was looking at opportunities for its fleet but was not considering returning to its previous level of regional scheduled flights "whilst our State-owned competitor continues to enjoy such an unfettered dominant position..." Mr Inglis said.
"The airline is considering a range of initiatives for recapitalisation and options for future operations."
A number of interested parties have formally entered into due diligence of both the freight and passenger businesses.
The freight business largely consists of the rights to the cargo space on Qantas domestic Boeing 737 services and a nightly Qantas 767 freighter between Auckland and Christchurch.
- NZPA
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Origin starting charter services (a la 1997)
Oh dear. Could this be "Origin II - The Rebirth", with RI starting down the same 1997 road?
First, charter flights, using FOs that get paid an hourly rate instead of a salary. Then, small, insignificant scheduled passenger services, relying heavily on the goodwill of the "enthusiast" pilots to get the job done.
I could go on, but you know the story.
Unbelievable that RI actually thinks he can build a business again. Surely he has no mates left anywhere in the country, let alone investors who are pliable enough to be bought by his charisma.
He's a fool. I would have thought he would run away with the assets (most of the OPAL assets are owned by companies other than Origin Pacific Airways Limited, all of which are owned by RI) and hide under the rest of his money. He still has plenty.
Someone asked a question several posts back about whether the any new owner of the freight operation would inherit the debt of the passenger operation. This is unlikely. RI will have the freight company as a separate entity. For sure, there will be freight company debt which the new owner will inherit but the passenger operation debt would not be part of this.
Unfortunately, this means that the pilots and other staff who are owed wages, holiday pay etc, are owed this money by the passenger operation company which, we all know, has no money left in the coffers.
Have a look at the NZ Companies website. Enter Robert Inglis as a Director and see what he's involved in. Interesting reading.
Good luck to all staff who are out of work. I genuinely feel sick for you all. That RI has a lot to answer for.
Bombay
First, charter flights, using FOs that get paid an hourly rate instead of a salary. Then, small, insignificant scheduled passenger services, relying heavily on the goodwill of the "enthusiast" pilots to get the job done.
I could go on, but you know the story.
Unbelievable that RI actually thinks he can build a business again. Surely he has no mates left anywhere in the country, let alone investors who are pliable enough to be bought by his charisma.
He's a fool. I would have thought he would run away with the assets (most of the OPAL assets are owned by companies other than Origin Pacific Airways Limited, all of which are owned by RI) and hide under the rest of his money. He still has plenty.
Someone asked a question several posts back about whether the any new owner of the freight operation would inherit the debt of the passenger operation. This is unlikely. RI will have the freight company as a separate entity. For sure, there will be freight company debt which the new owner will inherit but the passenger operation debt would not be part of this.
Unfortunately, this means that the pilots and other staff who are owed wages, holiday pay etc, are owed this money by the passenger operation company which, we all know, has no money left in the coffers.
Have a look at the NZ Companies website. Enter Robert Inglis as a Director and see what he's involved in. Interesting reading.
Good luck to all staff who are out of work. I genuinely feel sick for you all. That RI has a lot to answer for.
Bombay
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A good post Bombay!
I am one of those pilots to be affected by RI contiued ignorance but fortunately have gained employment with another operator, pity I can't say the same about my former colleagues - I feel for them.
RI owes me approx $12K and others ranging through to $30K...anychance of seeing the money? I don't think so, it is a lesson well learn't!
Any potential pilot wishing to go to a rebuilt OPAL, I would strongly urge massive CAUTION!!!
Baz
I am one of those pilots to be affected by RI contiued ignorance but fortunately have gained employment with another operator, pity I can't say the same about my former colleagues - I feel for them.
RI owes me approx $12K and others ranging through to $30K...anychance of seeing the money? I don't think so, it is a lesson well learn't!
Any potential pilot wishing to go to a rebuilt OPAL, I would strongly urge massive CAUTION!!!
Baz
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And speaking of scum bags that will go on to make millions while still owing the little guy, anybody see that w@#$ker on TV 1 last night, apparently he's now worth 20 million, shame he and his mate SM don't see fit to pay back all those that lost out when there airline when bust.
Speeds High...same as Haughtney...I'm overseas as well and would like to know more about the item on TV1...
Incidently I got every cent plus more
owed to me about 3-6 months after CityJet fell over...
Incidently I got every cent plus more
owed to me about 3-6 months after CityJet fell over...
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Paul Webb, director/founder of Transglobal/Citijet, is now a property developer worth approx. $20M now and is a member of the NZ version of Dragons Den, a tv show that shows entrepenuers (sp?) pitching their invention/products to 5 wealthy potential investors in the hope getting cash investment in return for a percentage of the business. The show is a series shown weekly. To date I haven't seen him invest in anything.
I also read in the NZ Herald a week or two ago that he owns a property in Fiji that at present, NZ Foriegn Minister, Winston Peters is currently residing or recently resided at whilst recovering from a mystery illness contracted whilst in Malaysia.
Very galling for those who were affected by Citijets collapse and the pre-paid endorsement money ( up to $NZ22,000) paid by some who got little more than a set of manuals for the EMB-110, to see this charactor being portrayed on national TV as a "kiwi done good" businessman.
I also read in the NZ Herald a week or two ago that he owns a property in Fiji that at present, NZ Foriegn Minister, Winston Peters is currently residing or recently resided at whilst recovering from a mystery illness contracted whilst in Malaysia.
Very galling for those who were affected by Citijets collapse and the pre-paid endorsement money ( up to $NZ22,000) paid by some who got little more than a set of manuals for the EMB-110, to see this charactor being portrayed on national TV as a "kiwi done good" businessman.
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bazbogan,
Congratulations on gaining further employment.
There is an irony here that I'm sure is clear to most people.
Being "liberated" from Origin, although under umpleasent circumstances, is probably a good thing. Given that Origin's pilot training was generally excellent, there should be no problem, from a technical point of view, in those redundant pilots gaining further employment. You'll all go on to better jobs with better pay and infinately better conditions.
I know that the pay and conditions in the industry have been slowly eroding away for some years now but trust me, just about any airline job is better than Origin, from a long-term pay and conditions point of view.
I "liberated" myself from Origin some years ago and while I really enjoyed my time there, leaving was the best thing I could have done.
Again, good luck to you all.
Bombay
Congratulations on gaining further employment.
There is an irony here that I'm sure is clear to most people.
Being "liberated" from Origin, although under umpleasent circumstances, is probably a good thing. Given that Origin's pilot training was generally excellent, there should be no problem, from a technical point of view, in those redundant pilots gaining further employment. You'll all go on to better jobs with better pay and infinately better conditions.
I know that the pay and conditions in the industry have been slowly eroding away for some years now but trust me, just about any airline job is better than Origin, from a long-term pay and conditions point of view.
I "liberated" myself from Origin some years ago and while I really enjoyed my time there, leaving was the best thing I could have done.
Again, good luck to you all.
Bombay
