Airline link to U.K.

Press, 7 December 1981, Page 2

Airline link to U.K.

PA Wellington The way is now open for Air New Zealand to start a direct service to London. Delegations representing the aviation authorities of New Zealand and Britain have reached a provisional agreement allowing Air New Zealand to fly to Britain. The agreement must be signed by both Governments, but this is expected to be only a formality. Under the agreement, British Airways will keep its two flights a week service to New Zealand via Perth, and Air New Zealand will probably begin its direct service late next year, when it has taken delivery of its remaining Boeing 7475. Details of routing and frequency are a matter for the two airlines to discuss between themselves, but it is likely that Air New Zealand will also opt for two flights a week via Los Angeles. One matter remains outstanding after talks last week. .This is the future of the Hong ; Kong-New Zealand service. Air New Zealand now has sole rights on that route for two services a week, but has

cut to one because the route is losing money. Cathay Pacific which is a carrier nominated by the British Government, wants to get a share of the business to see if if can do any better. The Government negotiators have left the matter for discussion between Air New Zealand and Cathay Pacific to see if agreement can be reached on questions of competition, frequency and seat capacity. It is I'kely that Cathay Pacific will make an appearance on the New Zealand scene in future but the questions of when and under what restrictions will have to be negotiated. The talks last week were conducted by delegations led respectively by Mr . A. J. Healy, the New Zealand Secretary for Transport, and Mr Christopher Roberts, the under-secretary responsible for international aviation policy in the United Kingdom Trade Department.