Record Profit for Air NZ

[billyt]

So if you held shares in company that went broke and could not pay it's debts, you would ask how much you owed to the creditors.

Not likely I think.

[empacher48]

That is why they are all limited liability companies. The shareholders are not responsible for the debts or legal issues of the company.

I'm sure whatever legal statute is used in Australia would be similar to NZ in that regard.

[mostlytossas]

So am I to think that in Kiwiland it is ok for say Holden,Ford or Toyota to decide as the Australian arm of the business can't make money they should be able to just walk away from any of their employees entitlements. Let the Government (taxpayer) loan them the money then recoup it from future car sales from other brands?
Very interesting business ethics in NZ I would say.
By the way I am not an ex Ansett worker so have no axe to grind but remember well the fiasco when Ansett went down.

[waren9]

tossas youre confusing moral with legal. and your example is not analogous. debts dont go up the chain in aus either same as nz in that regard

and oakape already explained how folks got paid. the point is moot.

[c100driver]

So Tossa that would be like Ansett Aussie paying the bills left over the failure of Ansett NZ, or Qantas paying the bills of the failed Qantas NZ?

Guess what, that didn't happen! It is business!

[Oakape]

When a company buys another company, they don't necessarily merge them. Sometimes they are kept as separate entities, as I believe ANZ & Ansett were. Synergies are sort for cost savings & the profits flow to the company that did the acquiring (the owners). But all the income, expenses & liabilities are quarantined in the individual company.

ANZ may have had a moral obligation to look after Ansett & its staff when things went bad (people will have different opinions on this), but they had no legal obligation to do so. And in order to save themselves, they wrote off the acquisition & left the company to fend for itself. Sort of like ignoring pleas to purchase more shares in a defunct company (throwing good money after bad) & dumping the currently owned, useless share certificates in the trash.

[maui]

Anyway you are all venting against the wrong entities.


Ansett was a dying dog before ANZ bought in.


It had been sucked dry by those vermin Murdoch and Abeles.


ANZ's only crime was not doing a proper due diligence, and should be reamed for that.


Good on you ANZ, good to see someone prove the lie to Joyce's continual wailing and gnashing. SLIC indeed.

Maui

[Kiwiconehead]

ANZ's only crime was not doing a proper due diligence, and should be reamed for that.

It wasn't so much that, as Cushing and Brierly having a cunning plan that if they bought Ansett (which Singapore Airlines were looking at) then Singapore Airlines would buy Brierly's chunk of Air NZ to get Ansett.

Unfortunately they proved to only be the smartest guys in the room - and their cunning plan failed and we all know the rest.

[deadhead]

Yup ... "Sir" Selwyn Cushing gets knighted after a long struggle where he nearly failed to destroy 16,000 families. And, (the cheek!) getting that poor boorstard Toomey to fall on his sword a mere 5 minutes after Toomey opened the door to his office for the first time. But I digress. These are much happier times