Competition watchdogs get airline deal on same day

By CHRIS DANIELS

Competition watchdogs on both sides of the Tasman will receive a formal application on December 9 for Qantas' planned purchase of a stake in Air New Zealand.

Along with the application will come economic analysis of the deal that backs up the airlines' claims that both Australia and New Zealand will do well out of it.

Air New Zealand announced yesterday that New Zealand's Commerce Commission and the Australian Competition and Consumer Commission will both receive applications on Monday December 9, accompanied by economic analysis outlining the benefits of the deal.

This analysis has been done by Australian company Network Economics Consultation Group.

Air New Zealand's public relations staff yesterday said that the data in the report had been audited by accountants PricewaterhouseCoopers and its outcomes "peer-reviewed by other international economists".

The advantages of the deal include 200 new skilled jobs at Air New Zealand, 50,000 new tourists and better freight services.

Once it is accepted by the Commerce Commission, the analysis will be made public.