Origin Pacific's wings clipped further

1.00pm

Regional airline Origin Pacific is to cease scheduled Invercargill services from August 10 as it works to stabilise its business after its recent bail-out by creditors.

Origin Pacific marketing director Mike Pero said the service was to be canned as a result of a review of the airline's spring and summer flight schedule.

Mr Pero said the withdrawal of scheduled Invercargill services was due to the termination of Origin's codesharing agreement with Qantas in March, and Air New Zealand's recent introduction of further capacity on the route.

Mr Pero said Nelson-based Origin's services to Dunedin were affected by the same circumstances and were also under review.

However, Mr Pero said Origin may resume scheduled services to Invercargill in the future.

"The airline plans to maintain its facilities at Invercargill and will continue to operate charter services to the southern city."

Meanwhile, Origin has stopped taking bookings for most of its direct flights between Wellington and Auckland from August 23.

The airline's only direct flight during the week between the centres after August 23 is listed on its online booking system as departing at 3.20pm on Fridays.

Origin chairman Robert Inglis told the Dominion Post that the airline may still run direct flights between the centres.

"We are working through a process at the moment that hopefully we can operate from October, but we are not complete on that yet.

Origin Pacific was saved from collapse in May by its main creditors who agreed to a 40 cents in the dollar settlement in five years.

The airline had been forced to lay off nearly 100 staff and cut back services after the loss of its codeshare agreement with Qantas.

- NZPA