Case withdrawn against AIA

Media Statement
13 May 2011

Case withdrawn against Auckland International Airport’s shareholding in Queenstown Airport

Air New Zealand and the Queenstown Community Strategic Assets Group Inc have today withdrawn their cases against Auckland International Airport Limited over its shareholding in Queenstown Airport (QAC).

“It has become clear as we prepared for the case that this would be a long and expensive battle which could cost several million dollars for all involved, including the Queenstown community, which would have long term disadvantage for everyone,” said Air New Zealand Deputy CEO Norm Thompson.

“When AIAL agreed that it would cancel the option to increase its shareholding of QAC to 30-35%, we began to look at ways we could turn the situation around for the benefit of everyone involved.

“By AIAL keeping its shareholding at 24.99%, many of the concerns we had about its involvement and as a competitor to Queenstown Airport were mitigated.

“On behalf of both Air New Zealand and the Queenstown Community Strategic Assets Group we are pleased that we have achieved success on the eve of the case heading to court.”

The agreement reached will enable Air New Zealand and Queenstown Airport to continue to work together on the need for ongoing capital works of this important asset for Queenstown and create new joint promotional activity between Queenstown Airport, Destination Queenstown (as the promotional arm of Queenstown Lakes District Council) and Air New Zealand to attract more tourists to the region.

Ends

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