Airline seeking direct flights

Press, 31 May 1977, Page 29

Airline seeking direct flights

Fiji’s international airline, Air Pacific, is determined to continue its long struggle for a fairer share of the New Zealand passenger market. Since Pan Am withdrew its services between Fiji and Auckland last December, the link has been maintained by only two airlines —a David and Goliath situation with Air Pacific being compelled to fly its modest B.A.C. 1-11 jets to Suva (via Tonga) while Air New Zealand maintains its daily direct service with DClOs to Nandi.

Air Pacific has been trying to get New Zealand Government approval to operate the more economic and faster direct route between Auckland and Suva, but the only crumb of satisfaction the airline has gained in more than a year of negotiating has been permission to operate one south-bound direct flight on Sundays. All north-bound flights — at New Zealand’s insistence — have to return to Suva by way of Tonga. Fiji wants the right to operate at least one direct flight a week from Auckland to Suva, but the latest round of talks last month again failed to produce an agreement. Air Pacific can in the meantime, however, take some satisfaction from the fact that an increasing number of New Zealanders can see certain advantages in the airline’s present route.

First, they can enjoy a stop-over (at no additional expense) in the world’s smallest kingdom — and Tonga indeed is well worth visiting — and, second, when they arrive in Fiji they are only 20 minutes by road away from Suva, the capital. They are therefore saved the hassles of a seven-hour drive, from Nandi or the additional expense of a domestic flight across the island. Although the airline operated at a loss of 8463,000 last year, the result showed a marked improvement on previous years. Mr S. H. Quigg, the general manager of South Pacific, is the first to admit that the airline has been flying through economic turbulence in recent years, but he is now confident of the future. “We believe our troubles are at an end; I’m sure we will be able to show positive proof that we have turned the corner this year,” he said. Referring to last year’s loss, Mr Quigg said: “It should always be remembered that profitability is only one of the criteria by which the airline should be judged. “In the performance of its role as a regional carrier, the company has sought a ■ balance between economical operations and service objectives, including the maintenance of an essential communications network in the region. Within these parameters, the airline has operated efficiently and has become an important contributor to the region’s economy. “In particular, our contribution of 53.6 M to Fiji’s foreign-exchange reserve exceeded the previous year’s figure by nearly 50 per cent. This of course, is a reflection of our success

in the more affluent markets of Australia and New Zealand. It is also interesting to note that over 70 per cent of our total income was earned outside Fiji. “But our ability to be able to contribute to the region’s economy depends very much on our capacity to provide services where and when they are needed, with profit motives very often taking a secondary role,” said Mr Quigg.

Last year Air Pacific celebrated its tw'enty-fifth anniversary. In its early years, the airline operated under various names and managements, but by' 1965 had become a consortium of four principal shareholders — Qantas, British Airways, Air New Zealand, and the Fiji Government. By' u T969, this’consortium had expanded to include the minority Island

Governments — Tonga, Western Samoa, Gilbert and Ellice Islands, the Solomons, and Nauru. Today the shareholders are the same, but the balance has changed dramatically over the last 15 months. The Fiji Government now owns 67 per cent of the shareholding; Qantas 10 per cent; Air New Zealand 10 per cent; British Airway 10 per cent; with the small islands holding 2 per cent each. British Airways’ shares are on the market. Until mid 1974, Air Pacific could be regarded only as a communications airline trying to do too much w'ith too little on a base that was, at best, shakey. In the late 19605, Hawker Siddeley 748, aircraft were introduced; then two B.A.C. One-Elevens were added.

Air Pacific hostesses (from left) Vera Kiss, Mary Chan, Ana Taufa, and Lalita Chandra at Auckland after a flight from Suva. One of the airline’s two B.A.C. One-Eleven jet aircraft is shown below at Tonga.