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Monday, September 20, 2004

Court blocks Qantas - Air New Zealand deal
Tom Henry at 8:20 PM ET

The High Court of New Zealand ruled Monday that Air New Zealand could not proceed with a merger with the Qantas airline of Australia. The proposed merger would have consolidated some routes between the countries and given Qantas a 22.5% stake in Air NZ for US$363 million.

The New Zealand Commerce Commission had blocked the merger, arguing that the public benefits of the proposed alliance would not outweigh the efficiency detriments. The court ruling is here [PDF]. BBC News has more.




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