Media Briefing Notes for Executive Director

Speaking notes for media briefing by Roger France, Executive Director, Air New Zealand.


* Thanks for coming. Wanted to meet with you briefly to outline the role I'll play in the management of Air NZ.

* First: this is not a permanent role. We are already actively searching for a new Chief Executive to take the position on a long-term basis.

* Second: this is a critical period for the company. There are some difficult decisions which will need to be made, and my job is to make sure that the management and board work constructively together to make the right decisions.

* Helpfully, its already been pointed out that I'm not experienced in the airline business - fortunately, there is a pool of talented Air NZ managers and staff people who are.

* But on the other hand I do have 37 years in business - I know how to assess threats and opportunities, how to identify issues that have the potential to be business-breakers, and how a successful business should be run. My background includes work in two large and successful public companies as Chief Financial Officer and I was also Managing Partner of Coopers and Lybrand, here in Auckland for 5 years immediately after the Crash.

* I'm not going to be a micro-manager.

* I will allow management to "manage". My job is to create the environment to allow them to do their job. It does not mean abdication. I will expect managers to bring "high risk" issues up the line, together with carefully considered options and recommendations, and then I will work with them to make the necessary decisions. Obviously, there will be big ticket issues which will always go to the Board.

* We have some restructuring work to get on with immediately.

* Air NZ has be trimmed to fit life without Ansett, the challenging competitive environment, and the significant international travel down-turn that's followed the terrorist attacks in the United States.

* We have to bring the organisation back to the same or smaller size that it was prior to our integration with Ansett - and into line with the reduced flight schedules that Air New Zealand will be operating as we go forward.

* My immediate priorities are:

1. Give the business and everyone in it a sense of stability and certainty

2. Complete the new business plan, which will underpin the Crown's capital injection.

3. Start rigorously examining our current competitive position and our go-forward competitive strategy, given the impact of the past year and the past month.

4. Deal with the restructuring as quickly and as sensitively as we can, recognising it will affect many people within the airline.

* Air New Zealand has just avoided financial collapse - but it is still in need of critical care.

* The task of building a sustainable future for Air New Zealand is going to be my number one priority for whatever time I spend as Executive Director.

* I have to be honest with you and say that my first priority in the business from here on is the business.

* I haven't got the time to revisit the past and all its mysteries.

* So I hope you'll bear with me and understand that right now: talking about the task won't get it done. I appreciate that there is a lot of public interest in the airline and we will do our best to keep you informed. However, no one is going to thank us if we don't focus all our effort on achieving a full recovery.

Thanks very much.