Two airlines refuse Continental tickets

Press, 30 September 1983, Page 5

Two airlines refuse Continental tickets

PA Auckland British Airways and Cathay Pacific are refusing to accept tickets written by Continental Airlines. The action by the two airlines is thought to be temporary, but is causing connision among some travellers and travel agents. The Auckland offices of • British Airways and Cathay were instructed by their head offices in London and Hong Kong at the week-end not to handle Continental “paper.” It followed the filing of a bankruptcy petition during the week-end by Continental. Under an American legal provision, however,

the airline is continuing in service and restructuring is taking place in an effort to put it on a profitable footing. Airline sources said yesterday that they believed the ban on Continental tickets was an interim measure taken for technical reasons.

Both airlines have agreements with Continental to handle tickets written for on-going travel. Travel agents said it appeared Continental had ceased writing tickets for travel on British Airways and Cathay since they issued their directives.

Other airlines, including

Air New Zealand and Qantas, are still accepting Continental tickets.

An independent travel source told the “Auckland Star” yesterday that the ban was only expected to last until the September accounts between airlines were resolved.

“It seems possible there may have been a slight overreaction,” the source said.

“Continental Pacific (the subsidiary created to run Continental services into Australia and New Zealand) is obviously very solvent, and there is certainly no concern about recouping on tickets,” said the spokesman.