Your old mate getting on her soap box telling the Govt to open up the border too https://flipboard.com/article/virgin...040aae%2Fco.uk
I'm already "over" hearing commercial aviation company CEO's with no medical expertise telling the Govt what to do with the border opening.
Thankfully Cindy doesn't like being told what to do so we're probably safe here for a while yet...
As for AIR, I see Forbar out with a note predicting we won't get back to pre-pandemic level's of travel until 2026
I don't mix philanthropic activities with investing so its going to be quite a while before my name will be back on the AIR share register...
Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
IMO, the bleating here seems to revolve around financial performance, while the airline with reputation problems (in some cases unjustifiably so) is Jetstar.
I don't understand the logic by the NZ government to subsidise flights by overseas airlines through the MoT via the IAFC scheme, while undercutting themselves as a majority owner in Air NZ?
It was announced today that a fortnightly Korean Airline flight would be financially supported with a flight to Seoul, meanwhile Air New Zealand will run its own flights Auckland to Seoul. Also in the announcement was China Airlines twice per week into Taipei with connectivity into Shanghai, meanwhile Air New Zealand operates flights into both Taipei and Shanghai. Also Tasman Air getting support into Sydney while Air NZ has their own sector.
Some of these overseas carriers also get assistance from their own governments/owners meaning they come into the NZ market and undercut our own national carrier with cheaper rates. The government is effectively funding their competitors and ruining their own business. Strange.
Last edited by porkandpuha; 27-05-2021 at 11:17 AM.
I don't understand the logic by the NZ government to subsidise flights by overseas airlines through the MoT via the IAFC scheme, while undercutting themselves as a majority owner in Air NZ?
It was announced today that a fortnightly Korean Airline flight would be financially supported with a flight to Seoul, meanwhile Air New Zealand will run its own flights Auckland to Seoul. Also in the announcement was China Airlines twice per week into Taipei with connectivity into Shanghai, meanwhile Air New Zealand operates flights into both Taipei and Shanghai. Also Tasman Air getting support into Sydney while Air NZ has their own sector.
Some of these overseas carriers also get assistance from their own governments/owners meaning they come into the NZ market and undercut our own national carrier with cheaper rates. The government is effectively funding their competitors and ruining their own business. Strange.
Porkandpuha your argument is makes a lot of sense. What I suspect is in play behind the scene is New Zealand govt choosing to stick rigidly to World Trade Organisation principals whereby we don't subsidise domestic firms. I know other countries breach these principals regularly but many branches of NZ govt choose to be very pristine about WTO stuff so that we can push the free trade barrow in market access negotiations. I am not saying that it is right but I have seen that same argument made in other WTO type situations by govt agencies.
Porkandpuha your argument is makes a lot of sense. What I suspect is in play behind the scene is New Zealand govt choosing to stick rigidly to World Trade Organisation principals whereby we don't subsidise domestic firms. I know other countries breach these principals regularly but many branches of NZ govt choose to be very pristine about WTO stuff so that we can push the free trade barrow in market access negotiations. I am not saying that it is right but I have seen that same argument made in other WTO type situations by govt agencies.
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Originally Posted by Jaa
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