Airline alliance decision delayed

12.15pm

The Commerce Commission today said it had delayed releasing its determination on the proposed Air New Zealand-Qantas alliance by up to four weeks.

The commission would now be releasing its decision by a final deadline of October 24, a move that had been agreed to by both Air NZ and Qantas, it said.

Commission acting general manager Geoff Thorn said the commission had yet to complete its consideration of the "extensive information" it had received at a conference about the alliance in late August.

"We are working on our final economic analysis and calculations," Mr Thorne said in a statement to the stock exchange today.

Mr Thorne said the commission would release its findings by the new deadline.

The delay comes after the Australian Competition and Consumer Commission (ACCC) ruled against the proposed alliance on September 9.

Under the proposal, Qantas would take a 22.5 per cent stake in Air NZ for $550 million, and Air NZ would gain control of both airlines' flights to, from and within New Zealand.

Both Air NZ and Qantas have confirmed they will be applying to the Australian Competition Tribunal (ACT) for a review of the ACCC's decision.

To proceed, the proposed alliance requires approval from both the ACCC and the commission.

- NZPA