Air Pacific: Still more

of the same

Embarrassment, and some irritation, were being expressed both in Fiji and in Australia over the eleventh-hour delay to completion of the agreement under which Qantas would take over operation of Fiji’s insolvent and beleaguered airline, Air Pacific.

As this issue went to press the prime minister of Fiji, Ratu Sir Kamisese Mara, was reported to have indicated in strong terms his disapproval of the Air Pacific board’s decision to accept the Qantas offer in pre ference to one from major Australian internal airline, Ansett.

Almost immediately after Air Pacific’s announcement that they had accepted the Qantas offer Ansett executives flew to Fiji with a further offer which they apparently delivered directly to the prime minister on his home ground, Lakeba, in the Lau group. Ratu Mara sent it on to Air Pacific and told them to think again about Qantas.

They responded by reaffirming their earlier decision. Ratu Mara then decreed a three-week de lay while he went off on his highly-successful state visit to the United States.

The delay caused acute embarrassment at Air Pacific where the board of directors, led by the courtly and highly respected lan Thomson, was fully aware of considerable irritation among Qantas senior managers over what was being seen in Sydney as Fiji’s inex plicable and feckless examina tion of a gift horse’s mouth.

Some Qantas managers were saying fairly openly that if Air Pacific wished to ’’fool about” with what was clearly a very generous offer, then the best thing Qantas could do was withdraw it, and meet Air Paci fic in competition in the market place.

Fiji travel industry interests looked on this with dismay for it would mean an end to the lucrative Boeing 747 ’’piggy back” deal Air Pacific has en joyed with Qantas for some time, and it would possibly also

signal the beginning of very vigorous competition, and perhaps cut-rate fares, offered by Qantas to destinations other than Fiji.

However, these were fears expressed inside Fiji. Qantas, and Australian sources, had, at the time, given no reason for believing that such would, in fact, occur. Yet it was more than clear that Qantas senior management was very annoyed and felt personally hurt over the affair.

Air Pacific’s directors were similarly unhappy, for what they faced was the prospect of a knock-down, drag-out, argu ment with their autocratic prime minister, a high-born Fijian chief not accustomed to being thwarted.

Observers remain mystified over the reasons for what appears to be Ratu Mara’s opposition to Qantas. Specula tion in Australia was that he felt himself beholden in some way either to the Australian prime minister, Mr Bob Hawke, or to Sir Peter Abeles, chief execu tive of Ansett Transport Indus tries.

The Hawke connection is now discounted in Australia.

Those who know Ratu Mara well say that he has held a dislike, and perhaps even a distrust, for Qantas for some years, because of dis agreements with them during their earlier involvement with Air Pacific and management of Nadi international airport. Qan tas withdrew from both about five years ago.

Meantime, Ansett’s enthu siasm for the Air Pacific connec tion seemed to grow by leaps and some slightly mysterious bounds.

Suva lawyer Vijay Parma nandam, who has been on both sides of the Fiji parliament, is reported to have ’’made a dash” for Sydney in a Stillwell Aviation Learjet, in company with Fiji’s Home Affairs Minis ter, Militoni Leweniqila. Suva reports suggested that Leweni qila had been asked by the prime minister to make the trip

and Parmanandam was quoted as saying it was on Ansett business.

Senior Ansett management said they knew nothing about it.

Simultaneously with all this activity there was a sharp ex change in the Fiji newspapers between Ansett and Air Pacific executives.

Ansett deputy general mana ger, Graeme McMahon, ac cused Air Pacific of deliberately misleading him over the sort of deal they sought. He also asserted that Ansett’s proposals had been leaked to other air lines in the ’’race” Qantas, Air New Zealand and Continental all submitted offers.

McMahon was also critical of comments in the Fiji press which, he said, had maligned his airline.

Captain Neil Ganley, acting Air Pacific chief executive, said he was ’’flabbergasted” by the accusations and protested that the Air Pacific board could not have been more fair in its dealings with all its suitors.

The situation remained un happy and unresolved as PIM went to press, but most qual ified observers in Fiji continued to think Qantas remained front runner.

Militoni - Jet dash

Parmanandam On Ansett business?