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Air New Zealand - Virgin Australia - Two Airlines, Better Together


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Ranked the 36th airline group in R3, Air New Zealand - Virgin Australia is two airlines in one.


Below are some interesting facts and figures on the group:


Destinations/Passenger Numbers:


- Service more than 150 Australian airports

- Service 34 New Zealand airports

[Total including international; 234 destinations]

- Hold a monopoly on more than 85% of the network

  - 100% of all regional sectors, AU & NZ

- 12 hubs, crew bases

- Carry 136,000 passengers per day

- Operate 1,351 flights per day




- 65 Airbus A320 operate mainline AU/NZ and transtasman

- 39 Boeing 777 aircraft on order to replace the current 33 Longhaul 747, 767 fleets

- 91 regional turboprop aircraft comprising:

   - 5-55 seats, with business class available on the Saabs.

   - 74 of which are Saab 340/2000 aircraft.

[Total group fleet 189]


Regional Summary:


The regional portion of our operation is as vital as our mainline and long haul jet operation.

Air NZ - VA are the lifeline for many small towns and provide a worthy contribution of feed traffic to our international network and that of the Star Alliance.

We are the only operator on 100% of our provincial sectors, so it is our aim to provide a frequent, modern, efficient and affordable RPT service to these ports. We recently acquired 8 Saab 2000 55 seat high speed jet-prop aircraft as well as adding to our now 14 strong Beech 1900D fleet, meaning 5 new AU provincial destinations have been added in 2004 alone. 3 new DHC-6 otters have been ordered to replace ageing examples that operate to Australia's Lord Howe Island, Biloela and others.


Shorthaul Mainline Summary:


65 Airbus A320 aircraft operate mainline AU/NZ, Transtasman and NZ-Pacific services. These aircraft have an average age of 12.99 years, their replacement will be reviewed by management soon, with the option of either new 320 or 737 chosen. 767-300 aircraft currently operate services from Australia's east coast to Perth.

The highest earning 320 contributes $10.8 million per month before operating expenses, $7.5million after.


Our top 4 highest performing Mainline sectors are:


MEL - BNE $483,000 per day, 46 flights per week.

PER - BNE $479,000 per day, 20 flights per week.

PER - SYD $448,000 per day, 15 flights per week.

SYD - MEL $425,000 per day, 55 flights per week.


Longhaul Summary:


As mentioned above, we operate 33 wide bodyjets, from AKL, CHC NZ to North America, Asia, South Africa and South America as well as TransTasman and on the triangle sectors Mainline AU.

Over the next 3 years, we will retire the 747 and 767 fleets and consolidate to one type, the 777, in 200 and 300 guise. This will save on maintenance, crewing and ground operation costs, as well as enhance the consistency of our product offering to our customers.

Part of the long term strategy is to add new destinations, in addition to strengthening existing ones.



These are exciting times for the airline group, we encourage all other participants to challenge us. Customers see competition as important, and we see competition as a great way to make our jobs more satisfying, knowing customers choose to fly with us over any other. This is a free and open market, there is certainly room for two or more players on mainline services.



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