PACIFIC AIRLINE MERGER

Press, Volume LXXXIX, Issue 27072, 22 June 1953, Page 8

PACIFIC AIRLINE MERGER

AUSTRALIAN REPORT OF MOVES (N.Z. Press Association—CopyrigM) (Rec. 9 p.m.) SYDNEY, June 21. The air correspondent of the "Sunday Herald” says that moves are intensifying between the Governments for the merger of the Pacific interests of three British Commonwealth airlines, with a combined capital of £8.000,000. The companies are Qantas Empire Airways, Ltd., British Commonwealth Pacific Airways, and Tasman Empire Airways, Ltd. The British, Australian and New Zealand Governments are-shareholders in B.C.P.A. and T.E.A.L., and the Australian Government owns QantaS. AU three companies operate iij the Pacific, with different types of equipment. Rearrangement would mean standardisation of equipment and workshops, and an end to uneconomic competition. The correspondent says the negotiations have been revitalised by the high cost of re-equipping Tasman Empire Airways with land planes.

Commenting on the message, the 'Minister in charge of Civil Aviation (Mr T. L. Macdonald) said discussions had been taking place at an official level for some time,, but it was still too early .to make a definite pronouncement as to what its future arrangements would be. Till the investigations reached a more advanced stage, no statement could be made.— (P.A.)