AIR - Air NZ.

[winner69]

Consumers surprised that only 6% of their subscribers who had cancelled flights got cash refund ..others got credits

Airline guru commentator says consumer just doesn't understand how airlines work....if they refunded everybody they'd be insolvent

Methinks the airline guru commentator doesn't understand morality or what insolvency means.

[Beagle]

So...its morally acceptable to issue flight credits which must be used in a tight timeframe, irrespective of whether one's circumstances have changed or not and irrespective of whether AIR now fly where you want to go and these credits are being issued by a company that is technically insolvent if it weren't for these credits they would be insolvent. This a company that's keeping 70% of its staff and presently doing 10% about of its business and that means the company is worth $2.

Houston, I think we have a problem...

[dobby41]

I don't really have a big problem with credits but I'd rather have the $10k they owe me in cash.
The problem I do have is that it seems that you can exchange a credit (based on booking reference) for 1 new booking. So if I have a credit for $1k and the new flights cost $600 I have lost $400 - very clever on their part.
I'm disappointed that you can't just use $ credits like $ AirPoints and do it on-line - just add a new total, Status Points, AirDollars and AirCredits.

[James108]

I agree that if they cannot deliver the service a refund should be offered (which I have received, for a trip to US).

However no one was complaining about airlines that were leveraged to the gills (both debt and operating leverage) during the relentless decrease in air fares over the last 30 years. Maybe this is the price consumers have to pay for being able to fly anywhere in the world for the cost of 2 weeks pay.

If airlines had to pay out I am sure many would indeed go insolvent, or be bailed out by the tax payer. I'm sure those living pay cheque to pay cheque would take a dim view on subsidising the jet setting class.

[peat]

but of course we'd be arguing the other way if it suited us, remember the T+C's of buying cheap airline tickets.

I agree its not morally fair but it is in the contract when purchasing right? Lets remember we support the rule of law.

[Jaa]

Talk of AIR scrapping their 777-200 and possible 300s as well. That could be one helluva write down.
I've done a lot of miles in these aircraft and they've been very reliable old workhorses https://www.stuff.co.nz/business/121...act-of-covid19

Mr Curly the analyst seems to be jumping to a conclusion a bit. If the leased aircraft fly back home, Air NZ are left with 4 777-300 and 4 777-200. Not great for an airline to maintain 4 of anything so he's probably right but the two types have mostly common parts and training.

The national carrier has seven 777-300ER with an average age of eight years and eight of the smaller 777-200ER which have an average age of nearly 14 years.

Four of the 777-300ER are owned and three are leased. Of the 777-200ER four are owned and four are leased. https://www.stuff.co.nz/business/121...ever-fly-again

[Beagle]

https://www.nzherald.co.nz/business/...ectid=12335472

Big Capital Raise predicted. Just for you Winner, Andy Bowley of Forsyth Barr has an underperform and a high risk rating and a price target of...have a guess, its either $1.00 or $2.00...sorry I won't give you a chocolate fish if you guess correctly because the answer is too easy

[Raz]

So finally have some aussie flights cancelled, state will get confirmation of credits via email, two weeks late zip to date. Also note you cannot combine credits from different booking references and if three travelling on one booking reference, same deal... three must book and apply credit to each individual. Sounds heavy impair credits if thats what you really should call them...

[Beagle]

Agree, Air NZ has totally neglected looking after the customer with their tricky and unethical approach to credits. Acting like a monopoly, not like a company that cares about customers. Very different to what it once was. The decent thing to do would be to offer refunds or at the very least add credits to Airpoints total as you have suggested.

It saddens me to hear that AIR are not even issuing credits that can be used in a fair way and that's even if you want and can still afford to travel within the credits reasonable tight timeframe and that's assuming they still fly to somewhere you want to go ! What a load of complete nonsense and talk about actively sabotaging customer goodwill !!
Trouble with airpoints is it has lots of fine print and what amounts to force majeure clauses too. Off to Mitre Ten to see what I can spend my remaining airpoints on this weekend before they make some strategic "customer focused" changes there

[dobby41]

The decent thing to do would be to offer refunds or at the very least add credits to Airpoints total as you have suggested.

My suggestion is a seperate credit total rather than add to Airpoints.
Can only be used on flights but at least you can use them in bits and pieces.
At the moment I have 4 credits but the big one is around $6k - going to be hard for the 2 of us to use that in one hit any time soon.