Air NZ and Virgin Australia to end trans-Tasman alliance

Stock exchange listings: New Zealand (NZX: AIR) / Australia (ASX: AIZ) / ADR (OTC: ANZLY)


MARKET ANNOUNCEMENT

Air New Zealand postal address: Private Bag 92007, Auckland, 1142, New Zealand
Investor Relations email: investor@airnz.co.nz
Investor website: www.airnewzealand.co.nz/investor


4 April 2018
Air New Zealand and Virgin Australia to end trans-Tasman alliance

Air New Zealand and Virgin Australia will end their trans-Tasman alliance in October this
year following seven years of partnership.

The airlines commenced the strategic alliance at the end of 2010 to cooperate on
services between New Zealand and Australia. Current regulatory approval for the
alliance expires at the end of October this year and the parties will not apply for renewal.

Air New Zealand Chief Revenue Officer Cam Wallace says market dynamics on the
Tasman have changed and the time is now right for each airline to focus on its own
objectives.

“Australia is the largest source of inbound visitors to New Zealand and Air New Zealand
has built up a significant presence in this market. This move will enable us to deliver a
more consistent customer experience by using our own fleet and delivering an improved
schedule, which we’ll provide more details about shortly.

“We remain fully committed to our other alliance relationships and our overall global
airline alliance strategy as a critical success factor in other markets.”

Current trans-Tasman alliance arrangements will remain in place until 27 October and
customers travelling before this date will be unaffected. Customers booked with Air New
Zealand to travel on a Virgin Australia service (or vice versa) after 28 October will be
contacted by their booking airline.






Ends.