Air New Zealand Air Points - How Viable is Air New Zealand?

I will be cashing in some US Airways Dividend Miles for several tickets on Air New Zealand for early 2010.

I am not familiar at all with this airline. I have been reading through pages of posts trying to get a sense whether there's a real possibility this airline will still be around then to honor our tickets.

Can someone please provide me with some reassurance?

I would be more afraid about US than I would about NZ

Thanks, Eireman. That's why I am cashing in my US Airways frequent flier miles...

Air NZ is around 85% owned by the NZ Govt after being bailed out a number of years ago (8?). Given the strategic role played in 'selling NZ' as a tourist destination, Air NZ holds a good position.

TK

It also holds a lot more cash than US or UA.

Definitely a much greater chance of US disappearing before NZ does, and the chances of NZ disappearing are extremely slim given the large stake held by the state and the strategic importance of the carrier. A number of NZ routes could be dropped if things got/get much worse of course.

My broader question would be - would NZ honour US-issued tickets if US go under? After all, if the ticketing carrier is bankrupt they may never be paid.

Key point: don't worry! Travel insurance with scheduled airline failure cover is good to have and gets rid of many worries. Just enjoy your vacation. Air carriers come and air carriers go.

It also holds a lot more cash than US or UA.

$1.4 Billion NZD more than UA could ever dream of!

Air NZ is around 85% owned by the NZ Govt after being bailed out a number of years ago (8?). Given the strategic role played in 'selling NZ' as a tourist destination, Air NZ holds a good position.

TK
Originally had something about the current Budget negotiations....
It would be interesting to hear what would be said between the Ministers of Tourism, Transport and Finance.

I have flown them numerous times to Auckland, Christchurch and Sydney. never a problem and very friendly. plus their planes seemed to be very well maintained.

$1.4 Billion NZD more than UA could ever dream of!

Yep, and that's cash in the bank if I recall correctly.

NZ will always be bailed out by the NZ Government if needed. No question*.


*unless something better comes along to take it's place - FT Airways, anyone!? :p

Definitely a much greater chance of US disappearing before NZ does, and the chances of NZ disappearing are extremely slim given the large stake held by the state and the strategic importance of the carrier. A number of NZ routes could be dropped if things got/get much worse of course.

My broader question would be - would NZ honour US-issued tickets if US go under? After all, if the ticketing carrier is bankrupt they may never be paid.

Key point: don't worry! Travel insurance with scheduled airline failure cover is good to have and gets rid of many worries. Just enjoy your vacation. Air carriers come and air carriers go.
I am planning to do the same so I hope US doesn't go anywhere. I have no worries at all about NZ, the gov't won't let anything happen to it.

I thought travel insurance excludes carriers who go bankrupt?

Yep, and that's cash in the bank if I recall correctly.

NZ will always be bailed out by the NZ Government if needed. No question*.I don't know - that rests on a number of assumptions which can not necessarily be held as self-evident.

The last bailout was necessary from the previous government given the various blocks to fresh capital into the airline that it made.

I don't know - that rests on a number of assumptions which can not necessarily be held as self-evident.

The last bailout was necessary from the previous government given the various blocks to fresh capital into the airline that it made.

I don't know of many governments that would leave their country's regional airports flightless, though. So unless Air Nelson, Mountain Air, etc, were able to carry on without Big Daddy, I think Air NZ is definitely here to stay (for now, anyway :p)

Govt will have to bail them out...... again and again. :eek:

Govt will have to bail them out...... again and again. :eek:

Thanks why fly for another reasoned, well-informed post about AirNZ. No doubt the one time NZ handled your cancelled flight poorly some years ago, which we've all had the joy of hearing about so many times since then, has given you some deep insight into the reasons for their undoubtedly imminent financial demise? :rolleyes: