Air NZ’s Foreign Bond Holder Bailout Should Come to an End - Luxon Must Confirm he Will Down Government Controlling Share.
Now that Air NZ is well and truly back in the black, it’s time the Government quit owning a majority stake in our national airline says the Taxpayers’ Union.
Responding to today’s market announcement that Air NZ's revenue has shot back to pre-covid levels, Taxpayers’ Union spokesman Jordan Williams said:
“Back in 2020, right at the beginning of the pandemic, Grant Robertson claimed that his support package ‘protected Air New Zealand’, and essential routes and allows the company to keep operating. In fact, the beneficiaries were foreign bond holders who didn’t lose a cent despite having lent to the airline for above average interest rates – to compensate for the inherent risks of airline businesses. Thanks to Grant Robertson, foreign giants got to have their cake and eat it too, on the back of taxpayers.”
“Across the Tasman, lenders to Virgin, took a bath thanks to the pandemic. But the planes were back in the air just as fast as Air NZ, and it didn’t cost Australian taxpayers a cent.”
“Any frequent flier will attest to the quality of Air NZ’s services having declined since it became a Government-owned company. With the obvious conflict of interest Christopher Luxon has with having worked for the airline and possibly becoming the Prime Minister, National needs to confirm that it is their intention to sell down the shareholding before the next inevitable shock hits the airline.”