Qantas shakes up NZ and Aussie markets

By Phil Boeyen, ShareChat Business News Editor

Tuesday 1st May 2001

Qantas Airways is to launch a full domestic service in New Zealand in tandem with Nelson-based Origin Pacific Airways and is expanding its brand in Australia.

The airline says the Boeing 737 service will fly ten daily round trips between Auckland and Wellington and eight between Auckland and Christchurch.

Qantas CEO, Geoff Dixon, says it will be a two class service, offering both business and economy fares, and the airline will offer its frequent flyer and airport lounge services.

"We will introduce a new fares package for New Zealand, including a range of fully flexible fares for business travellers and innovative choices for leisure travellers."

Mr Dixon says Qantas regrets the disruption and difficulties caused by the collapse of former Tasman Pacific Airlines, which were beyond his company's control.

The airline is currently negotiating an agreement with Origin Pacific Airways for a commercial and codeshare relationship to service other trunk and regional routes.

Origin has a fleet of 19-seat J32 aircraft and expects to receive larger aircraft later this year.

Qantas is already offering a number of domestic services in New Zealand but hopes to have its full service schedule running by the start of June.

In Australia the budget carrier Impulse Airlines has announced a long-term commercial relationship with Qantas which will see the flying kangaroo brand taking over the Impulse logo.

Under the arrangement Impulse is contracting a number aircraft, pilots and cabin crew to Qantas, while Impulse will operate other services for Qantas under the Qantas brand and livery.

Impulse will also begin operating new services for Qantas to regional ports where it does not currently operate.

The airlines say the deal is a direct result of the increasingly competitive conditions in both the Australian and world aviation markets.

Impulse says the major trunk route market was too difficult for it to continue operating on its own, and as a result is pulling out of the Sydney-Melbourne and Sydney-Brisbane markets from the middle of May.

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