Vale HKG-LHR-HKG NZ35/38

Air New Zealand have announced the end of their London - Hong Kong services NZ35/NZ38 effective 4 March 2013.

In a separate move which is part of Air New Zealand’s strategy to implement an alliance based network with a Pacific Rim focus, the airline has also formed a strategic agreement with Cathay Pacific on the Auckland – Hong Kong route.

Air New Zealand have announced that passengers booked on the HKG-LHR-HKG portion of NZ35/38 after 4/3/13 will be rebooked onto Cathay Pacific services.

Both Air New Zealand and Cathay Pacific will continue their current schedule on AKL-HKG-AKL services.

Outgoing Air New Zealand CEO Rob Fyfe has mentioned that the freed capacity will be redeployed into already announced additional North American services.

Read more from the Air New Zealand "blog" The Flying Social Network HERE

An unexpected briefing

In preparation for the release of The Hobbit: An Unexpected Journey, & its world premier in Wellington, Air New Zealand the airline to middle earth, have released their next themed in flight safety video.  This one is obviously hobbit themed, and also features a cameo by Sir Peter Jackson.

Look out for it from now on, on Air New Zealand flights, and hold on for the release of Boeing 777-319ER ZK-OKP in a special hobbit livery.

Big changes in the land of Aus

Virgin Australia have today announced 3 big changes to the face of domestic aviation in Australia, which are set to firmly cement Virgin Australia as a heavy weight in the Australian industry.

Virgin have announced that they have purchased a 60% controlling stake in Tiger Airways, which will see Virgin & Singapore Airlines run basically a joint venture operation, to target Jetstar head on.  The stake believed to be worth $35 million will then see Virgin invest up to $62.5 million to improve the Tiger brand and see its fleet grow from the current 11 Airbus A320's to a fleet of 35 aircraft by 2018.

The Tiger brand won't be going away, however – it will remain "for at least another 20 years."

Tiger Airways Australia said in a statement that the airline will remain low cost with an internet based distribution platform.

Read more by John Walton (@thatjohn) at austbt.com.au HERE

Virgin have also announced that they will purchase regional partner Skywest.  This is likely to see Skywest operating for Virgin the same way QantasLink does for Qantas, Virgin branded but running its own airline.

Skywest already operate like this on the east coast of Australia,  operating the Virgin Australia fleet of ATR aircraft.

Virgin Australia CEO John Borghetti said today that the deal "will enable us to fast-track our advancement in the high growth fly-in-fly out and regional markets, increasing competition in these important segments.

The deal relies on approval from Australian & Singaporean regulators as well as approval from Skywest shareholders.

Read more from John Walton at austbt.com.au HERE

Singapore Airlines will take a $105 million, 10% stake in Virgin Australia.

Virgin and SQ already operate a partnership with sharing of flights, frequent flyer schemes and reciprocal access to lounges, and Virgin Australia today bought a 60 percent controlling interest in Singapore Airlines' subsidiary Tiger Airways Australia.

This investment puts Singapore on an even footing with Etihad who also own 10% of the airline, while Air New Zealand own 19.9% & Sir Richard Branson owns 26%

Read more from David Flynn (@djsflynn) at ausbt.com.au HERE