Pacer K. out of tourism

Press, 17 June 1988, Page 18

Pacer K. out of tourism

PA Wellington Pacer Kerridge Corp has sold its 50 per cent interest in Auckland-based Gulf Ferries, Ltd, and North Shore Ferries, Ltd, to Mr George Hudson and full cash settlement has now been received. Mr Hudson now wholly owns both companies, the company said. But Pacer Kerridge will ensure there is a continuing service to Pakatoa Island, a resort owned by the Pacer

Kerridge Group in Auckland’s Hauraki Gulf. "The Pacer Kerridge Group in assessing the industry sectors into which it will direct energy and funds over the coming years has deleted tourism as one of its proposed sectors,” the company said. "The reasons for this are two-fold. First,' the union problem, which is still very apparent in New Zealand, does not allow for a free labour market to provide the

quality of service necessary to adequately cater for overseas tourists. "Second, local body restrictions combined with the conservation lobbyists make it very difficult to plan large capital expenditure on tourist developments. "When these matters are resolved and there is a more attractive exchange rate with Australia and the U.S. Pacer Kerridge will reconsider the tourism industry.”