Greg Foran on Air NZ's difficult year ahead

Domestic airfares will rise over the next year, says Greg Foran, pictured with Air NZ chair Therese Walsh. (Image: BusinessDesk)

Pattrick Smellie

Fri, 23 Feb 2024

Air New Zealand chief executive Greg Foran has convinced his board to wear some $50 million a year in costs caused by a cluster of headwinds facing the airline rather than anger customers and demoralise staff.That is despite the fact the airline’s domestic business, where it has 86% market share, appears to be at risk of making a loss on its operations in the second half of the current financial year, ending June 30.Foran said domestic fares will rise over the next six months to improve margin, although that will further weaken demand, wh...

Subscribe to BusinessDesk

Stay informed on business, government and financial developments across New Zealand.

Deeply researched, twice-edited and fact-checked news
Annual subscribers also receive a complimentary subscription to The Wall Street Journal
Personalised email news alerts, plus gift up to 5 stories a month to non-subscribers

You can cancel anytime with two clicks, an email or a phone call.
Find out more.

We are serious about journalism.

Name {{ registerForm.errors.get('name') }}

Email address {{ registerForm.errors.get('email') }}

Phone Number {{ registerForm.errors.get('phone') }}

Job Title {{ registerForm.errors.get('title') }}

Password Minimum password length of 8 characters.
Require at least one upper and lowercase, numeric, and special character. {{ registerForm.errors.get('password') }}

Repeat password {{ registerForm.errors.get('password_confirmation') }}

We had trouble validating your card. It's possible your card provider is preventing us from charging the card. Please contact your card provider or customer support.

Credit Card

Cardholder's name

{{ __(plans[index].name) | capitalize }} {{ plans[index].attributes.old_price | currency }} {{ plans[index].price | currency }}

All subscriptions auto renew but are easy to cancel.

I Accept The Terms Of Service

{{ registerForm.errors.get('terms') }}

Tax: {{ taxAmount(selectedPlan) | currency }}

Total Price Including Tax: {{ priceWithTax(selectedPlan) | currency }} {{ selectedPlan.type == 'user' && spark.chargesUsersPerSeat ? '/ '+ spark.seatName : '' }} {{ selectedPlan.type == 'user' && spark.chargesUsersPerTeam ? '/ '+ __('teams.team') : '' }} / {{ __(selectedPlan.interval) | capitalize }}

Finance

Former Telecom chair Wayne Boyd honoured

Honours recognition for a lifetime of low-key, high-quality leadership.

Pattrick Smellie 02 Jun 2025

Technology Opinion

The budding bromance between authoritarianism and tech

Is it any surprise that broligarchs and aspiring kings are reshaping our world?

The Washington Post 02 Jun 2025

The budding bromance between authoritarianism and tech

Good Food

Nespresso lightens up its marketing to win Gen Z’s

Changing tastes are pushing the brand to get more playful.

The Washington Post 02 Jun 2025

Nespresso lightens up its marketing to win Gen Z’s

Sponsored

Tired of missing out on getting to global summits to help grow your business?

Airwallex is offering a grant for NZ businesses to join the action.

Airwallex

Sponsored

Ready for the C-Suite leap?

Part-time programme. Full-time leadership transformation.

University of Auckland Business School

More Markets

Finance

Former Telecom chair Wayne Boyd honoured

Honours recognition for a lifetime of low-key, high-quality leadership.

Pattrick Smellie 02 Jun 2025

Markets Market Close

Lower bond yields lift NZ sharemarket

Lower bond yields have helped drive the NZ sharemarket sharply higher at the close.

Jamie Gray 30 May 2025

Markets

Turbulent market slashes 2 Cheap Cars' profit

New Zealand’s continued economic downturn, a sharp fall in immigration and consequent softer market demand has driven a 47% drop in profit for 2 Cheap Cars.The company reported total revenue of $81.9 million with 7675 cars sold in the year to March 31, down 6% compared to $86.7m...

Staff reporters 30 May 2025

Markets

Pacific Edge launches $20m capital raise

The raise will help the medtech company continue operations for another year.

Staff reporters 30 May 2025

Greg Foran on Air NZ's difficult year ahead

More Markets

Your company has a subscription

Team