Nz Airways

No Teal-Nac Merger

The Case For The

Letter to the Editor IT is wished to refer you to No vember, 1955, issue of Pacific Islands Monthly, page 107, article “Merger with NAC Suggested.”

In past years the Corporation has raised with you inaccuracies and derogatory reports of its activities published in the journal, and it now feels bound to do so again. NAC acknowledges the scope and influ

ence of Pacific Islands Monthly— this is illustrated by the fact that it has advertised in the magazine for a number of years—and it is accordingly perturbed when preju dicial implications against its opera tions are featured.

In the article now raised with you the report quoted from the Sydney Morning Herald concerning a possible merger between TEAL and NAC has since been answered in the Dominion Press by the New Zealand Minister of Civil Aviation, who very concisely commented: “Utter rubbish!” He added that a few years ago, when the future of BCPA was under determination, the possibility of a TEAL/NAC merger

was investigated; but at an e stage it was revealed as impracti Your article also refers to Corporation as a “white elephs It continues in the vein: “Sinces National Government gained poo efforts have been made to unr the non-profit making NAC. . .

You should know that in ; NAC annual financial reports tae in the NZ House of Representafj since 1947 only three have achieved a profit after the paym of full taxation and interest d capital. In addition, during financial year ended March 31, 1 a further sum in excess of £9o' was paid to the Government in port dues.

Such losses that have been j curred took place during the eo years of development and expana and after the closure to the 0 poration aircraft of the Rong and Mangere airports, which sg the two principal centres of Air land and Wellington. Profits m during the remaining years M absorbed those losses and the 0 poration to-day is in a heai financial position. It has recce ordered three Vickers “Visco Series 800”, 52/60 seater turbo-p peller airliners and has provr from reserves alone, accumulateo; earlier years, for more than £5003 of the capital cost of this ; equipment.

When operations were commen after the war, 80,000 passengers 1 annually with NAC. To-day nr than 400,000 passengers travel es year. The Corporation’s aircraft every day the equivalent of o around the world, making m than 300 landings and take-offsg 88 scheduled services.

Although a substantial part of Dominion’s air services are operas by NAC, it is by no means the © operator, as implied in your arti; Your Islands readers will aware that the Corporation £ operated for more than five ye a popular scheduled air-service tween New Zealand, Norfolk Islas Fiji, Tonga, Western Samoa, AL taki and Rarotonga. A hr regularity factor was achieved, s all flights were completed withr incident.

In the circumstances, your operation would be appreciated! providing more factual references; NAC operations in the columnsg Pacific Islands Monthly.

I am, etc.,

J. H. Driscoll

Publicity Manage]' NZNAC, Wellington, NZ. t Mr. Andre Verard, of the M Hebrides, formerly of New Caledom recently won first prize in an A J tralian lottery.