Contents
o April market conditions
o Company news
o Operating statistics table
April market conditions
Air New Zealand carried 1,285,000 passengers during the month of April, an
increase of 6.6% compared to the same period last year. Revenue passenger
kilometres (RPKs) were 5.6% higher on a capacity (ASKs) increase of 2.3%.
Group load factors were up 2.6 percentage points overall to 85.2%.
Short Haul passenger numbers increased 7.0%. In the Domestic market demand
(RPKs) increased by 9.5%, with capacity (ASKs) increasing by 8.4%, due to
increased services on Auckland - Queenstown and the main trunk routes, as
well as growth on the regional routes resulting from up-gauging to larger
aircraft. Domestic load factor increased 0.8 percentage points to 83.7%.
Tasman/Pacific demand (RPKs) increased 8.2% while capacity (ASKs) increased
by 7.4%. The timing of Easter drove a longer holiday period for leisure
travel, which resulted in increased frequency on several Australia and
Pacific Island routes compared to the prior period. Load factor on
Tasman/Pacific increased 0.6 percentage points to 82.0%.
Long Haul passenger numbers increased 3.2% when compared to April last year,
with demand (RPKs) increasing 3.2 % and capacity (ASKs) declining 2.0%. Load
factor on Long Haul routes was 87.5%, an increase of 4.4 percentage points.
On Americas/UK routes, demand (RPKs) increased by 6.0%, with capacity (ASKs)
increasing 0.6%, while load factor increased 4.4 percentage points to 86.7%.
On Asia/Japan/Singapore routes, demand (RPKs) decreased 1.4%, on a capacity
(ASKs) reduction of 6.4%, reflecting a shortened season of double-daily
services on the Auckland-Tokyo route compared to the prior period. Load
factor increased 4.5 percentage points to 88.9%.
For the financial year to date, Short Haul passenger revenue per ASK (RASK)*
decreased 4.8% and Long Haul RASK* decreased 14.3%. Removing the impact of
foreign exchange, Group-wide RASK* decreased 7.5%, and Group-wide yields for
the financial year to date decreased 5.9% on the same period last year.
* Air New Zealand''s operating statistics will provide Passenger revenue per
ASK, or RASK, going forward as a key metric of revenue performance. RASK is
defined as passenger revenue for the period divided by the total ASKs for the
period; compared to yield which represents the passenger revenue per
passenger kilometre flown.
Company news
Air New Zealand recognised for corporate social responsibility
Air New Zealand''s sustainability efforts have been recognised in the 2017
Annual Review of the State of CSR (corporate social responsibility) in
Australia and New Zealand, with the airline taking out a New Zealand CSR Top
3 Award.
The review, published by the Australian Centre for Corporate Social
Responsibility, is one of the world''s largest ongoing studies of CSR
practices and trends and is the only one of its type in Australia and New
Zealand.
The review surveys employees on CSR priorities, practices and management
capabilities. The CSR Top 3 are the New Zealand companies with the strongest
management capabilities for CSR.
Air New Zealand Chief Executive Officer Christopher Luxon believes business
has an important role to play in society and in solving sustainability
issues.
"The core purpose that underscores Air New Zealand''s sustainability framework
is to supercharge New Zealand''s success socially, environmentally and
economically. We have been working hard to embed sustainability within our
business and it''s great to see our efforts recognised in this way," says Mr
Luxon.
Rt Hon John Key joining the Board of Air New Zealand
The Air New Zealand Board is appointing former Prime Minister John Key as a
Director effective from September 1.
Chairman Tony Carter says the Board has been actively searching for a
Director with strong international business experience and a deep knowledge
of tourism for around a year.
"Air New Zealand is one of the world''s best airlines and the growth of its
international operations around the Pacific Rim is an area of strong focus.
The Board identified last year that the addition of a Director with
international experience would be important to supporting the Chief Executive
Officer and his Executive team as they take our award-winning airline into
the future. We also identified that the ideal candidate would have a strong
empathy for the tourism industry," Mr Carter says.
"When John Key announced he was stepping down as Prime Minister and moving to
a new phase of life outside of politics, it became a priority for the Board
to try to secure his services as a Director. John will bring extensive
international commercial experience, outstanding leadership skills, global
perspective and a keen understanding of the tourism sector gained during the
years he was Tourism Minister as well as Prime Minister of New Zealand."
Mr Key says he is delighted to have been approached by the Air New Zealand
Board to join it as a Director.
"Air New Zealand is an incredible company that has significant opportunities
ahead of it and I look forward to working with the Board, Chief Executive
Officer and his Executive team to see it fulfil its potential," Mr Key says.
Meantime, Air New Zealand is also announcing that its longest serving
Director Paul Bingham will be retiring at the Annual Shareholders'' Meeting in
September.
Air New Zealand: the country''s most attractive employer
Air New Zealand has been named New Zealand''s Most Attractive Employer in the
annual Randstad Awards for a record fourth time.
The awards have been running in New Zealand since 2011 and the airline has
claimed the top prize every year it has been eligible. Air New Zealand was
one of the first organisations anywhere in the world to take out the top
honour for three consecutive years and became an inaugural member of the
prestigious Randstad Awards Global Hall of Fame in 2014 - making it
ineligible to win for the next three years (2014, 2015 and 2016).
This year more than 60 percent of respondents indicated they would like to
work for Air New Zealand, and ranked the airline highly across a range of
areas, including perceptions of available training opportunities, corporate
financial health, management and progressive corporate social responsibility
policies.
Air New Zealand opens expansive new Melbourne lounge
Air New Zealand has opened its significantly larger new-look lounge at
Melbourne International Airport.
Air New Zealand General Manager Customer Experience Anita Hawthorne says the
airline is committed to improving the customer experience and is proud to be
able to offer customers flying out of Melbourne a new lounge space with 50
percent more seating than the previous lounge.
The Air New Zealand Melbourne International Lounge forms part of the
airline''s four year programme to develop its network of lounges and follows
the opening of new lounges in Sydney and Brisbane as well as in Auckland,
Nadi, Wellington, Queenstown, Hamilton and Invercargill.
Ends.
End CA:00301630 For:AIR Type:GENERAL Time:2017-05-24 14:14:35