Subscribe free to our newsletters via your
. 24/7 Space News .

Air NZ shares plunge on Japan, NZ. disaster profit warning
by Staff Writers
Wellington (AFP) March 15, 2011

Air New Zealand warned Tuesday the Christchurch and Japanese disasters had dashed its second-half profit prospects, sending shares in the airline plummeting almost eight percent.

The company said it was already facing difficulties after last month's Christchurch earthquake, which had been compounded by the unfolding Japanese tragedy.

"The financial impact of the Christchurch earthquake is more severe than expected," it said in a statement.

"Further, the recent tragic events in Japan will also impact revenue in that important market."

The airline said based on current fuel prices and demand trends, it "does not expect to be profitable in the second half year and full-year normalised earnings are expected to fall below NZ$100 million ($74 million US)."

Shares in the New Zealand flag carrier dipped 7.6 percent to NZ$1.10 after the announcement, in an overall market down 0.04 percent.

Air New Zealand, which is 76.5 percent state owned, announced a 75 percent jump in interim net profit of NZ$98 million for the six months to December on February 24.

At the time, it forecast a profitable second half, subject to volatile aviation fuel prices.

The airline lifted air fares last month to cover the rising cost of jet fuel and has announced plans to increase ticket prices again from Friday for the same reason.

earlier related report
US backs Japan's economy despite disaster
Washington (AFP) March 14, 2011 - The United States offered a firm endorsement of Japan's economy Monday, saying it had "full confidence" its ally would parry the financial aftershocks of its earthquake and tsunami disaster.

Despite fears over the tragedy's impact on the fragile global economic recovery, and sell-offs on global stock markets, the White House said it believed Japan was sufficiently resilient to ride out the crisis.

"These are still early days, but that we remain confident that Japan and, therefore, the world can deal with this crisis and respond and rebuild in a way that is good for Japan and good for the world," White House spokesman Jay Carney said.

"We have that confidence and we therefore believe that the resiliency of the Japanese people, the resiliency of the Japanese economy are very important factors in the capacity of Japan to handle this."

Carney spoke up after Japanese stocks saw their biggest fall for two years, plunging 6.18 percent Monday and the central bank pumped a record amount of money into markets shaken by the quake, a tsunami and a nuclear emergency.

US stocks took direction from Tokyo. The Dow Jones Industrial Average finished 51.24 points lower (0.43 percent) at 11,993.16.

The tech-rich Nasdaq Composite dropped 14.64 points (0.54 percent) to 2,700.97 and the S&P 500-stock index, a broader measure of the markets, shed 7.89 points (0.60 percent) at 1,296.39.

European finance ministers meeting in Brussels for talks focused on plans to defend the euro from future debt crises were also discussing the impact of events in Japan.

The two-day meeting of the world's 20 industrialized and emerging economies will allow ministers to closely examine possible reactions to events in Japan.

Noting that Japan is the world's third biggest economy after the United States and China, Spanish Finance Minister Elena Salgado said the EU "must be attentive."

"Japan also has an impact on the (world) economy," she told reporters.


Related Links
Aerospace News at

Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks DiggDigg RedditReddit GoogleGoogle

Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News

Budget airlines open up Asia's skies to the masses
Hong Kong (AFP) March 13, 2011
A decade ago, even some of Asia's wealthier people could face a long bumpy ride on a bus to visit family or take a break on the beach - flying was simply too expensive. Not any more. The proliferation of low cost airlines across the region, particularly in Southeast Asia, has opened up air travel to the masses. Malaysia-based AirAsia, which launched in 2001, was one of the first airline ... read more

LRO Images Lunar Farside In Stunning Detail

Astrobotic's Mission To The Moon Releases Guide For Payload Developers

China Expects To Launch Fifth Lunar Probe Change-5 In 2017

The Great Moonbuggy Race

Color View From Orbit Shows Mars Rover Beside Crater

Testing Mars Missions In Morocco

Rover Snaps Close-Up of 'Ruiz Garcia'

Prolific NASA Orbiter Reaches Five-Year Mark

NASA Seeks Partners To Manage Night Rover, Nano-Sat Launcher Challenges

Arianespace Moves To New Launcher Designation For Ariane, Soyuz And Vega

Houston To Name Avenue After Soviet Cosmonaut Gagarin

The Future For Space Missions

What Future for Chang'e-2

China setting up new rocket production base

China's Tiangong-1 To Be Launched By Modified Long March II-F Rocket

China Expects To Launch Fifth Lunar Probe Chang'e-5 In 2017

Russia delays ISS launch for 'technical reasons'

Fasting For Science On ISS

Payload Operations Center Marks 10th Anniversary As ISS Science Command Post

We Can See Clearly Now: ISS Window Observational Research Facility

Falcon 9 To Launch SES-8 To GTO In 2013

SES gives SpaceX first geostationary satellite launch deal

NASA Unveiling New Rocket Integration Facility At Wallops

United Launch Alliance Successfully Launches Fourth NRO Mission In Six Months

Report Identifies Priorities For Planetary Science 2013-2022

Planetary Society Statement On Planetary Science Decadal Survey For 2013-2022

Meteorite Tells Of How Planets Are Born In A Swirl Of Dust

Planet Formation In Action

Online sites top newspapers for Americans: report

US West Coast: on frontline from nuclear cloud?

HP looks to the 'cloud'

FASTSAT Mission Update

The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement