“We were hoping for a recovery phase from October onwards and now clearly that is not going to happen, with the reduced schedule with Air New Zealand deciding unilaterally to reduce its schedule with just two flights out of Australia until 27 March.
By underwriting a capital raise the Government would guarantee the raising of funds by picking up any shortfall of rights that shareholders did not subscribe to, while also taking up the rights of its existing shares, potentially resulting in the Crown holding a greater stake in the airline.
Like the Government, Air New Zealand went hard and early in its response to Covid-19. Just days into New Zealand’s alert level 4 lockdown in March the airline said it would be downsizing to a third of what it was pre-pandemic.
“It is effectively temporary, to provide the liquidity essential to Air New Zealand in its current state. With that loan in place, the airline is able to put off any market approach, thereby providing a window for any alternative restructuring plan to be developed between the company and the Government.”
The Government needs to give Air New Zealand a timely response on its future capital structure so the airline can get on with what it needs to do, including accessing debt or equity from international markets, the National Party says.
For the past 18 months Air New Zealand, along with other global airlines, have had to undertake earlier than expected maintenance on Rolls-Royce Trent 1000 engines fitted to Dreamliner aircraft after engine blades showed signs of corroding or cracking prematurely.
On his fifth studio effort, Michael Bernard Fitzgerald weaves intricate narratives over twangy guitar notes and sweeping instrumentals. Intimacy is the operative mode, and that’s evident as early as the album’s lead single, “I Love That Sound.” To promote the new material during times of social distancing, Fitzgerald will perform a series of small outdoor […]
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