Another said they wanted Air NZ cabin crew to improve “professionalism, smartness and grooming” so passengers did not feel they were on a “troop carrier” or “broken and older aircraft”.
Walsh addressed many issues already blamed for the airline’s $242 million after-tax loss in the latest financial year.
Air NZ chose a virtual annual shareholders’ meeting this year. Photo / MUFG.COM. Air NZ, screenshot
The meeting was told the airline would this year most likely have been on a path to profit were it not for the Middle East crisis sending jet fuel prices soaring.
Former Air India chief executive Campbell Wilson and former Air NZ chief financial officer Rob McDonald were present, as the airline moved to have them join its board.
McDonald blasted “the failure of successive Governments” to take on airports.
The airline’s leaders have in recent months spoken of focusing on controlling what they can control.
Middle East geopolitics and oil refinery crack spreads are seemingly not within that sphere of the controllable.
But airport pricing is a different matter and aviation system costs were again cited as one of the airline’s chief bogeymen.
“Air New Zealand is unique by world standards,” McDonald added.
He said the whole country needed Air NZ to be successful.
“Success is not preordained. It takes ambition, hard work and bold decisions.”
Wilson said before his Air India stint, he had seven years at Singapore Airlines’ budget stablemate Scoot.
“We took it from an excel spreadsheet to a fleet of nearly 70 aircraft.”
One question from a virtual audience member was if Wilson’s performance at Air India had been considered.
In June last year, 241 people on board were killed when Flight 171 from Ahmedabad to London Gatwick Airport crashed.
Walsh said Wilson’s India experience “absolutely” had been considered.
“He has strong experience in Asia which is one of our key markets.”
Wilson told the annual shareholder meeting (ASM) that any airline wanting to be world-class had to demonstrate “operational consistency and execution consistency”.
Another question was from a shareholder who said Air NZ cabin crew “do not appear as warm or welcoming” as Air Canada’s and cabins were too cramped.
“We monitor the views of our customers very closely,” Walsh replied.
“Our customer feedback and our customer standing has been improving over the last couple of years.”
Asked about battery electric aircraft such as last summer’s Cook Strait trial with the Beta Alia CX300, Walsh said: “We’ve completed that programme and don’t have any future plans.”
It had been a fact-finding mission, she said.
Another question was about when services to London might resume.
“We review our network regularly. London remains within that consideration set,” Walsh said.
Shedding more light on what the consideration set entailed, she added: “We’re not looking to operate London any time soon.”
Walsh also pointed out that Christchurch, not Auckland, had been the city of choice lately for new widebody services.
The airline leaders did emphasise the widebody fleet of 777s and 787s was back at full strength with interior refurbishments progressing.
Only one narrowbody is still grounded, marking a big change from years of crippling engine issues.
The choice of virtual rather than hybrid meeting again usurped the conversation.
A New Zealand Shareholders’ Association member said “shareholders view hybrid costs as good costs”.
Another question asked when Air NZ would start “making healthy earnings” again.
“We have no guidance,” Walsh replied.
Air NZ chief executive Nikhil Ravishankar said the airline had made some savings on labour costs.
“Recently we’ve had to go through another round of restructure. But the rate of change delivery across the airline has not slowed down.”
He added: “To stay competitive in the airline industry we’ve got to do the basics right” and “the thing that is not replicable by any other airline is our very unique Kiwi hospitality”.
About 98 minutes in: “When will Cookie Time cookies return to domestic routes?”
“The Cookie Time cookie is frequently offered,” Walsh said. “It is part of a suite of products we offer.”
So, not much guidance on that, or many things else, as the airline faces volatile jet fuel prices while trying to claw its way back from years of upheaval.
John Weekes is a business journalist covering aviation. He also has experience covering consumer affairs, crime, politics and courts.
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