Business & Finance

Air NZ & Qantas Hold Further Discussions

June 6th, 2001

Representatives of Air New Zealand and Qantas Airways held further discussions in Auckland this afternoon on the Qantas proposal to acquire a significant shareholding in Air New Zealand Limited from two of the company's major shareholders, Brierley Investments Limited and Singapore Airlines.

Qantas's Chief Executive Officer Geoff Dixon, Deputy Chief Financial Officer Grant Fenn, and General Counsel Brett Johnson met with representatives of the Independent Committee of Air New Zealand Directors, Dr Jim Farmer QC and Mr Ralph Norris.

"These discussions were convened at Qantas's request, and we were provided with some further explanation of the rationale for the proposed transaction. However, the Independent Committee still requires further detailed information from Qantas to undertake a proper evaluation of the proposal, its ramifications, and other options to the proposal," Dr Farmer said after the meeting.

"Air New Zealand has also received a number of other expressions of interest from New Zealand investors, New Zealand financial institutions, and organisations with New Zealand funds to invest since the Qantas proposal was announced.

"The Independent Committee is at an early stage in its consideration of the Qantas proposal, the expressions of interest, and other options which could be available to the company. It has yet to form any view of the value of any of the proposals or options. At this stage, we have no further comment to make," Dr Farmer said.