NZ to MCY

Air New Zealand have announced plans to service their fourth destination in Queensland, Sunshine Coast (Maroochydoore), adding to Gold Coast (Coolangatta), Brisbane and Cairns.

The flights which will begin seasonally will operate with A320 aircraft initially 2x weekly on Tuesdays and Sundays as NZ769/768.

Ups & Downs at VA & NZ

In the same week that Virgin Australia saw an impressive 118% interim profit increase, partner Air New Zealand has revealed its first half profit has dropped 61%.

Air New Zealand is blaming its profit drop on the weakness in the global economy as well as the doubling of jet fuel prices over the past three years.

This comes as the Kiwi flag carrier mulls over the options of raising its stake in the Australian operators as Virgin has flagged structural changes which will allow an increase in foreign ownership.

Read more about the Air New Zealand profit fall and resulting job losses

theaustralian.com.au HERE

stuff.co.nz HERE

Read more about the Virgin Australia profit increase

theaustralian.com.au HERE

And read more about the possible increase in NZs ownership of VA
theaustralian.com.au HERE

brisbanetimes.com.au HERE

Air Australia in administration

Overnight Air Australia entered voluntary administration due to financial issues that prevented the airline from meeting its obligations.  This has stranded 4000 passengers who had booked tickets as well as impacting the 300 staff.

Passengers are stuck in Phuket and Honolulu and administrators have told them to find their own way home, and not to rely on the airlines for help.  Jetstar and Qantas are looking at ways they can help stranded passengers, while the administrators have told passengers with advance bookings (including myself) to contact their banks to cancel their credit card payments, but customers who paid in cash look likely to lose their money.

Read more on the grounding and administration through the following sources;
couriermail.com.au HERE
brisbanetimes.com.au HERE
theaustralian.com.au HERE
ausbt.com.au HERE

Qantas cuts

Qantas have today announced an 83% fall in half year profit to $42 million.  As a result of the falling profit Qantas have overhauled their maintenance division which accounts for almost half of the 500 jobs being cut.  They have also cut two routes and made aircraft changes on others.

The two routes to be cut are the SIN-BOM 3x weekly tag and the daily AKL-LAX flight, these cuts come on top of the previously announced cuts to BKK/HKG-LHR.  SYD-BKK, SYD-PER & MEL-PER will experience aircraft changes with SYD-BKK/PER losing their 744s to A330s  with additional A330s on the MEL-PER route.

A potential winner out of this is Air New Zealand who now have a monopoly on the AKL-LAX route and intend to increase their services from the current 12x weekly, although they have yet to announce the actual increase numbers.

Qantas will also defer the delivery of some of its new Boeing 737-838s as well as bring forward the retirement of the bulk of its 747 fleet.

Read more about the Qantas job losses, flight cuts and Air New Zealand increases;
couriermail.com.au HERE
brisbanetimes.com.au HERE
nzherald.co.nz HERE
stuff.co.nz HERE

JQ drop CHC-BNE

In a not entirely surprising move Jetstar have announced the end to their CHC-BNE route after 7 years of operation.
The route had already suffered cutbacks after the Christchurch earthquake and loads were too poor for the continued viability of the service.

NZ to DPS

Air New Zealand have launched their first new international route in years with a seasonal Denpasar route.

The new flights will operate twice weekly on the AKL-DPS route, with Boeing 767-319ER aircraft.  The flights launch on June 20th subject to regulatory approval and will operate in the southern winter season  (June to October)

It is expected that these flights will operate under NZs Seats-to-Suit model, where passengers get to choose their own level of service by the price they pay, from seat only to works deluxe which includes all food, baggage and lounge access.

Qantas raise surcharge

Qantas have blamed fuel price increases and the European & Australian carbon taxes for rises in its surcharge of up to 24% on International and Domestic flights.

The airline announced today that it will increase surcharges for one-way international flights by as much as $60. That means the total surcharge for a one-way flight to the US will be $310, while those to the UK and Germany will amount to $350.
Qantas has also put on an extra charge of $20 for flights to Asia and Hawaii – taking the total surcharge to $165 – and $40 for flights to South America and South Africa (taking it to $240).

 Qantas subsidiaries Jetstar and QantasLink will also raise their fares to counter the carbon tax which is expected to cost the Qantas group as much as $110-115M in the 2012/13 financial year.

Read more about the rises at theage.com.au HERE