Origin Pacific sold?
Join Date: Mar 1999
Location: NZ
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I simply cannot stand listening to this touchy/feely rubbish any longer.
It is a great pity, because OP should have succeeded. The people at the coal face are great, but they have been seriously let down by their management.
NZ needs operators like OP, but they need to be managed correctly. Inglis is just a giant ego attempting to survive in aviation. The best thing that could happen now, is for a new management team to take over, and Inglis and his cronies to leave. Perhaps then, there would be a chance of a decent future for the staff.
Origin rescuers want Inglis out
10 August 2006
By ROELAND VAN DEN BERGH
Origin Pacific founder and boss Robert Inglis must step down as a condition of a potential rescue plan, a market source says.
The Nelson-based airline is urgently trying to attract new investors to inject millions of dollars to keep it flying.
Origin was in talks with two interested parties. It is understood that at least one of the deals was conditional on Mr Inglis giving up control of the airline he started in 1997.
"An investor is going to want a high level of control to justify the investment," a source said.
An investment of $5 million would clear a substantial amount of the airline's debt.
Creditors would be keen for the airline to survive because it was their only chance of having any debt repaid, the source said.
10 August 2006
By ROELAND VAN DEN BERGH
Origin Pacific founder and boss Robert Inglis must step down as a condition of a potential rescue plan, a market source says.
The Nelson-based airline is urgently trying to attract new investors to inject millions of dollars to keep it flying.
Origin was in talks with two interested parties. It is understood that at least one of the deals was conditional on Mr Inglis giving up control of the airline he started in 1997.
"An investor is going to want a high level of control to justify the investment," a source said.
An investment of $5 million would clear a substantial amount of the airline's debt.
Creditors would be keen for the airline to survive because it was their only chance of having any debt repaid, the source said.
http://www.stuff.co.nz/stuff/nelsonm...5a6508,00.html
Crunch time for Nelson airline
10 August 2006
With a single-figure percentage share of the domestic aviation passenger market, Nelson-based Origin Pacific has not followed the business flight path its founders would have envisaged said the Nelson Mail in an editorial on Thursday.
Its launch in July 1997 as a charter airline by current managing director Robert Inglis and partner Nicki Smith was seen at the time as a calculated risk by a team that knew the territory well. In building Air Nelson from humble beginnings into a major regional airline, they established a proven track record before selling that company to Air New Zealand as an integral part of its regional Link network.
Now it is clear that Origin, in which they retain a 49 percent stake, has reached a crisis point - with an investment of at least $5 million needed to ensure its viability. Mr Inglis visited Singapore last week, meeting with several people in the Asian aviation sector. He is also talking to potential New Zealand investors, hoping for a capital injection large enough to pay off debt and set up a fleet expansion. Hopefully, his optimism is well-founded.
It is not the first time Origin has been the subject of the sort of publicity that can be especially damaging for a company so dependent on forward bookings.
Previous blips on the company radar have included the Government's bailout of Air New Zealand in 2001 and the unexpected loss of a code-sharing arrangement with Qantas, an $11.4 million bailout deal agreed to by creditors and significant buy-ins by Christchurch businessman and former pilot Mike Pero and a Lower Hutt investment consortium, all in 2004. Mr Inglis has every right to feel that the playing field was tilted significantly against his company through most of the new millennium.
Indeed, cabinet minister Jim Anderton has been quoted as describing Origin Pacific as the "collateral damage" from the Government's rescue of Air NZ.
Origin's relationship with the national carrier has been more brittle than most. Mr Inglis has complained to the Commerce Commission that his giant rival uses its more profitable "monopoly routes" to subsidise lower fares on routes serviced by Origin.
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Air NZ denies this, saying it has simply been expanding its domestic network in response to demand. The commission eventually ruled the Commerce Act had not been breached.
Regardless, Air NZ - with the combined might of its three Link companies - Air Nelson, Eagle Air and Mount Cook Airlines - has been a tough competitor. As well, airlines have had to battle escalating fuel prices and a flat domestic economy.
Despite Origin's small market share, there are many reasons for wishing Mr Inglis well in his negotiations. First, there is the positive influence that any competition in such a volatile business brings to bear, both in terms of price and flight schedule - particularly for passengers in and out of Nelson Airport.
The airline's freight service also plays an important part in the daily activities of a number of companies. It is a significant employer of people living in Nelson and has been a generous sponsor of a range of groups large and small.
On another level, its tenacity and pioneering spirit in the face of difficult - many would say unfair - odds are laudable. Given Nelson's central location, tourism aspirations and isolation in land transport terms, it is the perfect place from which to operate a regional airline - otherwise, Air Nelson might well have moved to a larger centre years ago. Origin's ongoing commitment to the Nelson region merits reciprocation.
Crunch time for Nelson airline
10 August 2006
With a single-figure percentage share of the domestic aviation passenger market, Nelson-based Origin Pacific has not followed the business flight path its founders would have envisaged said the Nelson Mail in an editorial on Thursday.
Its launch in July 1997 as a charter airline by current managing director Robert Inglis and partner Nicki Smith was seen at the time as a calculated risk by a team that knew the territory well. In building Air Nelson from humble beginnings into a major regional airline, they established a proven track record before selling that company to Air New Zealand as an integral part of its regional Link network.
Now it is clear that Origin, in which they retain a 49 percent stake, has reached a crisis point - with an investment of at least $5 million needed to ensure its viability. Mr Inglis visited Singapore last week, meeting with several people in the Asian aviation sector. He is also talking to potential New Zealand investors, hoping for a capital injection large enough to pay off debt and set up a fleet expansion. Hopefully, his optimism is well-founded.
It is not the first time Origin has been the subject of the sort of publicity that can be especially damaging for a company so dependent on forward bookings.
Previous blips on the company radar have included the Government's bailout of Air New Zealand in 2001 and the unexpected loss of a code-sharing arrangement with Qantas, an $11.4 million bailout deal agreed to by creditors and significant buy-ins by Christchurch businessman and former pilot Mike Pero and a Lower Hutt investment consortium, all in 2004. Mr Inglis has every right to feel that the playing field was tilted significantly against his company through most of the new millennium.
Indeed, cabinet minister Jim Anderton has been quoted as describing Origin Pacific as the "collateral damage" from the Government's rescue of Air NZ.
Origin's relationship with the national carrier has been more brittle than most. Mr Inglis has complained to the Commerce Commission that his giant rival uses its more profitable "monopoly routes" to subsidise lower fares on routes serviced by Origin.
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Air NZ denies this, saying it has simply been expanding its domestic network in response to demand. The commission eventually ruled the Commerce Act had not been breached.
Regardless, Air NZ - with the combined might of its three Link companies - Air Nelson, Eagle Air and Mount Cook Airlines - has been a tough competitor. As well, airlines have had to battle escalating fuel prices and a flat domestic economy.
Despite Origin's small market share, there are many reasons for wishing Mr Inglis well in his negotiations. First, there is the positive influence that any competition in such a volatile business brings to bear, both in terms of price and flight schedule - particularly for passengers in and out of Nelson Airport.
The airline's freight service also plays an important part in the daily activities of a number of companies. It is a significant employer of people living in Nelson and has been a generous sponsor of a range of groups large and small.
On another level, its tenacity and pioneering spirit in the face of difficult - many would say unfair - odds are laudable. Given Nelson's central location, tourism aspirations and isolation in land transport terms, it is the perfect place from which to operate a regional airline - otherwise, Air Nelson might well have moved to a larger centre years ago. Origin's ongoing commitment to the Nelson region merits reciprocation.
Join Date: Feb 2000
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Yes Inglis is the problem. He screwed up with Mot Air and then Air Nelson - the airline that Air Nelson is now has very little to do with Inglis - and he repeated the same mistakes with OP. You have to wonder where OP would be now if someone with some actual talent had been in control.
The article quoted above was clearly written by someone who a) knows nothing about aviation and business, and b) is a mate of Bob Inglis.
NZ aviation deserves so much better...
The article quoted above was clearly written by someone who a) knows nothing about aviation and business, and b) is a mate of Bob Inglis.
NZ aviation deserves so much better...
Join Date: Jun 2005
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Gone!
From Origins website at 1954 NZST
Origin Pacific regrets to advise that its scheduled passenger service operation has been suspended.
Arrangements have been made for passengers with forward bookings on Origin Pacific to travel on Air New Zealand.
Passengers are advised to see Air New Zealand Check-in staff at their airport of departure or call 0800 737 000.
Origin Pacific’s airfreight operation continues and airfreight customers that have any questions or concerns should contact Origin Pacific’s airfreight manager.
We regret that Origin Pacific has had to terminate the jobs of all passenger service staff and as a result we are unable to take phone calls or provide other assistance.
Media releases as they become available, will be posted immediately to this website.
Again, our sincere apologies.
Origin Pacific regrets to advise that its scheduled passenger service operation has been suspended.
Arrangements have been made for passengers with forward bookings on Origin Pacific to travel on Air New Zealand.
Passengers are advised to see Air New Zealand Check-in staff at their airport of departure or call 0800 737 000.
Origin Pacific’s airfreight operation continues and airfreight customers that have any questions or concerns should contact Origin Pacific’s airfreight manager.
We regret that Origin Pacific has had to terminate the jobs of all passenger service staff and as a result we are unable to take phone calls or provide other assistance.
Media releases as they become available, will be posted immediately to this website.
Again, our sincere apologies.
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Origin cuts 240 jobs, and flights
Origin cuts 240 jobs, and flights
11 August 2006
By HELEN MURDOCH and DAVID KING
Regional airline Origin Pacific has suspended its passenger services and made about 240 staff redundant after failing to raise enough money to stave off creditors.
Staff at the Nelson-based airline were given the grim news last night after efforts to find a new investor failed.
The fate of passengers left stranded by the airline's collapse was uncertain last night.
While Origin Pacific claimed passengers would have their bookings honoured by Air New Zealand, the national carrier said that advice was premature.
"I am truly sorry that some of our customers will have their travel plans disrupted by our announcement and regret that this could not have been avoided," said Origin Pacific managing director Robert Inglis.
He told a meeting of 100 staff in Nelson that the hoped-for capital injection had not been concluded in time to avoid suspending the passenger service. It is understood at least $5 million was needed to stave off creditors and allow the airline to expand.
"I'm making the announcement with enormous regret. The decision was made at 5pm tonight by Origin Pacific management and will see the majority of the company's 260 staff made redundant," Inglis said.
He wished he had been able to announce that efforts to find new investors had come to fruition but, while talks continued until late yesterday, no investor had been prepared to commit some urgently needed capital.
"I didn't think I would see this day when I would see just a state-owned airline in the skies – I thought the landscape had changed," Inglis said.
Origin, which was set up in 1997, has been reliant on its profitable freight operation to maintain cashflow while its passenger services have struggled.
The airline was bailed out by creditors owed $11.4m in 2004. In June of that year, Christchurch businessman Mike Pero and a Lower Hutt investment consortium led by obstetrician Howard Clentworth each bought a quarter share in the airline. Inglis said the company was planning on trying to maintain its profitable freight business, which had long sustained its passenger services.
"However, if we are able to keep the freight business running, it will only require a fraction of the current staff."
The company's immediate focus was to help staff find new employment and to help passengers left stranded by the immediate suspension of services. It was working with the unions on plans to pay staff their entitlements. Origin Pacific would do its best to provide staff with all that it could, Inglis said.
Work and Income had also been contacted and would be offered facilities at the airline's Nelson base to give staff with guidance and advice.
Staff at Christchurch Airport were told at 7pm last night not to show up to work today.
An insider at the airport said staff had taken it in their stride and were pretty calm.
"It's not really news to anybody that the company has had problems – that's not rocket science – but it's still a shock. These are ordinary working people with families and mortgages."
EPMU national secretary Andrew Little said the first staff knew of the latest problems was when they read of them in the newspaper earlier this week.
"There's a lot of disappointment about that," Little said. The reality was that the airline business was very competitive. While staff had taken the news in their stride last night, it was likely to take some time to sink in.
Consumers Institute chief executive David Russell said airfares would almost certainly rise with Air New Zealand becoming a monopoly regional air service provider.
Origin had "kept Air New Zealand honest on the provincial routes. With that competition gone it is bad news for the provincial traveller. Inevitably it will lead to higher prices", Russell said.
Origin Pacific passengers have been advised to contact Air New Zealand on 0800 737 000.
11 August 2006
By HELEN MURDOCH and DAVID KING
Regional airline Origin Pacific has suspended its passenger services and made about 240 staff redundant after failing to raise enough money to stave off creditors.
Staff at the Nelson-based airline were given the grim news last night after efforts to find a new investor failed.
The fate of passengers left stranded by the airline's collapse was uncertain last night.
While Origin Pacific claimed passengers would have their bookings honoured by Air New Zealand, the national carrier said that advice was premature.
"I am truly sorry that some of our customers will have their travel plans disrupted by our announcement and regret that this could not have been avoided," said Origin Pacific managing director Robert Inglis.
He told a meeting of 100 staff in Nelson that the hoped-for capital injection had not been concluded in time to avoid suspending the passenger service. It is understood at least $5 million was needed to stave off creditors and allow the airline to expand.
"I'm making the announcement with enormous regret. The decision was made at 5pm tonight by Origin Pacific management and will see the majority of the company's 260 staff made redundant," Inglis said.
He wished he had been able to announce that efforts to find new investors had come to fruition but, while talks continued until late yesterday, no investor had been prepared to commit some urgently needed capital.
"I didn't think I would see this day when I would see just a state-owned airline in the skies – I thought the landscape had changed," Inglis said.
Origin, which was set up in 1997, has been reliant on its profitable freight operation to maintain cashflow while its passenger services have struggled.
The airline was bailed out by creditors owed $11.4m in 2004. In June of that year, Christchurch businessman Mike Pero and a Lower Hutt investment consortium led by obstetrician Howard Clentworth each bought a quarter share in the airline. Inglis said the company was planning on trying to maintain its profitable freight business, which had long sustained its passenger services.
"However, if we are able to keep the freight business running, it will only require a fraction of the current staff."
The company's immediate focus was to help staff find new employment and to help passengers left stranded by the immediate suspension of services. It was working with the unions on plans to pay staff their entitlements. Origin Pacific would do its best to provide staff with all that it could, Inglis said.
Work and Income had also been contacted and would be offered facilities at the airline's Nelson base to give staff with guidance and advice.
Staff at Christchurch Airport were told at 7pm last night not to show up to work today.
An insider at the airport said staff had taken it in their stride and were pretty calm.
"It's not really news to anybody that the company has had problems – that's not rocket science – but it's still a shock. These are ordinary working people with families and mortgages."
EPMU national secretary Andrew Little said the first staff knew of the latest problems was when they read of them in the newspaper earlier this week.
"There's a lot of disappointment about that," Little said. The reality was that the airline business was very competitive. While staff had taken the news in their stride last night, it was likely to take some time to sink in.
Consumers Institute chief executive David Russell said airfares would almost certainly rise with Air New Zealand becoming a monopoly regional air service provider.
Origin had "kept Air New Zealand honest on the provincial routes. With that competition gone it is bad news for the provincial traveller. Inevitably it will lead to higher prices", Russell said.
Origin Pacific passengers have been advised to contact Air New Zealand on 0800 737 000.
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Shame to see Origin go - however it has been clear for many years that it was a question of when rather than if given the autocratic 'my way or the highway' attitudeof RI. Origin has never been marketed correctly with very few people outside of Nelson having even heard of them.
What really worries me is that is it sounds like the freight service will continue to operate whilst the passengers, suppliers and creditors are hung out to dry. Origin's attitude to creditors especially has been shameless over the last few years so I suppose it comes as no surprise..
Had they been nicer and a bit more honest to their suppliers then they would probably still be in business.
What really worries me is that is it sounds like the freight service will continue to operate whilst the passengers, suppliers and creditors are hung out to dry. Origin's attitude to creditors especially has been shameless over the last few years so I suppose it comes as no surprise..
Had they been nicer and a bit more honest to their suppliers then they would probably still be in business.
