Big Rise In Profits Of Tasman Empire Airways

Press, Volume XCVI, Issue 28435, 15 November 1957, Page 7

Big Rise In Profits Of Tasman Empire Airways

Tasman Empire Airways. Ltd., completed its most successful year in 1956-57, earning a record profit of nearly £236.000, and carrying record traffic. Not only was the profit almost four times that in the previous year, but operating efficiency in every sphere of the company’s operations again improved, says the annual report. The net surplus for the year was almost £236.000. compared with £63.300 in the previous year and £62.000 in 1954-55. The unduplicated route mileage of the company's network increased by 1641 miles, because of the opening of the fourth transTasman route, to Melbourne. The company now operated over 10.488 miles. Other main points from the report were:— The net cost of operating the Coral Route decreased. Tourist revenues of New Zealand. Australia and Fiji were greatly increased by the company’s operations. Staff turnover decreased. Loan capital was reduced from £550.000 to £450,000, and since March 31 another £300,000 has been paid off. The remaining £150.000 will be paid off probably before the end of the year. Economically, operationally and industrially, the report says, the company has placed itself in a stronger position than ever previously achieved. Through foresight and long-range planning the company has been able to meet all its traffic and operational problems and capitalise on opportunities created by the Olympic Games in Melbourne. The report draws attention to

the effect of a shortage of hotel accommodation in cities on both sides of the Tasman. In Melbourne and Sydney more satisfactory accommodation was readily available than formerly, but in Auckland and Christchurch the difficulty has become serious, it says. During the peak season the number of rooms of acceptable international standard available was scarcely equal to the company’s requirement alone. Hire or charter of additional aircraft to meet the requirements of the coming year is envisaged. The present fleet of DC6 aircraft is adequate, says the report, but the natural increase of traffic may necessitate hire of other planes in 1958 and 1959, before reequipment occurs.