Air New Zealand Fare Increases

Media Release
30 April 2008

Air New Zealand Fare Increases

Air New Zealand’s domestic fares are to increase as a result of record high fuel prices.

Deputy Chief Executive Officer Norm Thompson says the cost of domestic fares will rise by an average of three percent for travel booked from Tuesday 6 May. Tasman fares are currently being reviewed.

Air New Zealand last increased prices for domestic fares - along with Tasman and Pacific Island fares – on March 17. Over the last two months long haul international fares have increased by 4% to 8% dependent on route and class, and look certain to rise further as fuel continues to spiral.

Mr Thompson said Air New Zealand regretted having to lift fares again within such a short space of time, but could not continue to absorb the significantly higher cost of fuel.

Singapore jet fuel per barrel has increased from USD$130 on 17 March to today’s price of USD$144.

Mr Thompson said Air New Zealand remained committed to driving costs within its control down in order to provide customers with everyday low airfares.

ENDS

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