Air New Zealand Gas Turbines review – further update
Air New Zealand Chairman Dame Therese Walsh says this aligns with advice the airline received from the QC appointed to review the licensing requirements for the engines.
"The legal advice we received from Mike Heron QC is that the export of the two engines to Germany for the Royal Saudi Navy did not require an export permit under the Customs Act, nor did it require a notification to the Secretary of Foreign Affairs and Trade.
"The advice is that new notification requirements introduced in late 2020 do not apply to contracts entered into before September 2020 (when the notification requirement was expanded for certain military related exports). The contract for this Royal Saudi Navy work was in May 2019."
The independent external review being carried out by PwC on Air New Zealand's Gas Turbines business is almost finalised, with a report to the Board expected at the end of this month.
Air New Zealand Chief Executive Officer, Greg Foran, says the internal review is due to be completed shortly and early findings have helped the business to identify opportunities to improve processes.
"In late February we took immediate steps to ensure all future work of a military or government nature is escalated to Executive level for review, including ethical considerations, and approval before a contract can proceed. We will also work with relevant governmental agencies to ensure our understanding of issues for differing jurisdictions is kept up to date.
"For Air New Zealand, business is more than just revenue, we've got to make sure the work we are doing fits within our values. Our internal review has seen us change our processes to support us to make the right decisions as an organisation. We are also committed to making further changes pending the outcome of the independent external review."
Issued by Air New Zealand Communications.
About Star Alliance
The Star Alliance network was established in 1997 as the first truly global airline alliance to offer worldwide reach, recognition and seamless service to the international traveller. Its acceptance by the market has been recognised by numerous awards, including the Air Transport World Market Leadership Award and Best Airline Alliance by both Business Traveller Magazine and Skytrax. The member airlines are: Aegean Airlines, Air Canada, Air China, Air India, Air New Zealand, ANA, Asiana Airlines, Austrian, Avianca, Brussels Airlines, Copa Airlines, Croatia Airlines, EGYPTAIR, Ethiopian Airlines, EVA Air, LOT Polish Airlines, Lufthansa, Scandinavian Airlines, Shenzhen Airlines, Singapore Airlines, South African Airways, SWISS, TAP Air Portugal, THAI, Turkish Airlines, and United. Overall, the Star Alliance network currently offers more than 19,000 daily flights to more than 1,250 airports in 195 countries. Further connecting flights are offered by Star Alliance Connecting Partner, Juneyao Airlines.
Star Alliance Press Office: Tel: +49 69 96375 183 or email: email@example.com