And if anybody wants to challenge a route, 1.3 Bil cash and lowish gearing allows for quite a dogfight...
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And if anybody wants to challenge a route, 1.3 Bil cash and lowish gearing allows for quite a dogfight...
Oh well never mind...a little birdie tells me AIR had a HUGE February and bookings for March / April are REALLY STRONG. :t_up::t_up:
Correct - but the total trip duration was only about 3 hrs longer and they are both quality airlines so no big deal. After I booked I realized I could have gone Cathay (one stop in HK) for under $3000 also.
Don't get me wrong I'm a happy AIR holder from the mid-$1's and think they have done a great job - probably the best run airline in the world and with a unique domestic monopoly franchise that has been challenged and defended successfully several times over the past 20yrs. But I do think on some routes profiteering will hurt their brand. It s a little like Cadbury making small changes that over time are defendable but erode your brand strength. For an airline pricing seen as "fair" is a key aspect of brand whether you are a low-cost carrier, national icon, or full service premium brand.
Agree with all of that Arbroath. Air NZ is a great airline and my preferred choice to travel with. But too often in the last 2-3 years do I find their long haul fares unjustifiably high against comparable full service competitors.
The NBR today suggesting AIR monopoly on direct routes between NZ-US may well come under pressure soon from AA.
I did a random search the other day on webjet and was quite surprised that AIR actually came up as one of the cheaper airlines to fly to London in May. (Was thinking about flying to London to organise a cheap supercharged F Type Jaguar but that's another story). Fares circa $2k return were on offer.
Anyway on another subject I had a quick look through the half year's financial report which arrived today and who knew under general disclosures 2(d) the company has renewed its on market buyback authority for a programme for up to 3% of the company's stock, up to 33m shares or $66m whichever is the lower in the year to 29 Sep 2015, (none done in the half year period and none to date otherwise it would have been announced to the market). When I get more time I'll have a thorough read and see what other little golden nuggets of information are contained therein.
That reminds me ; i remember fares to London in 1983 being re $23-$2400!! 32 years later its cheaper.:ohmy:
My leaving-out of the usual appeal for John Key to sell AirNZ to Etihad was an oversight on my part. Though you regard it as an irritating troll it is my genuine conviction.
As an investment savvy person you will be aware of the Greenspan Put. A belief the US Central Bank will not allow the "to big to fail" banks to go under. If they come under pressure the Central Bank will flood the market with liquidity allowing the tbtf banks to escape their folly.
The New Zealand taxpayer is in the gun under a similar arrangement, the Cullen Put. Tax payer’s money will be used to keep AirNZ’s head above water if it gets into serious trouble. This has happened before which is why I call it the Cullen Put.
Airlines are a tough game with frequent financial reverses. Aviation history is littered with the corpses of failed airlines. Anyone remember ANSETT? What if Virgin in the recent capacity war and cash burn had faced an opponent led by someone that actually knew what they are doing?
Taxpayers should not have the risk of paying large amounts of cash unexpectedly. What say we could off load-this burden to someone else. Who is already a partner with AirNZ in Virgin? Who is buying up airlines all over the place, even plunking down cash for that old has-been Alitalia?. Who is headquarted is a sand state with petro-dollars to throw around in uncertain ventures?
Memo to John Key: Sell AirNZ to Etihad.
Boop boop de do
Marilyn