Ansett gets nod for Hazelton takeover

By Phil Boeyen, ShareChat Business News Editor

Friday 9th March 2001

Air New Zealand (NZSE: AIRVA) subsidiary Ansett has been given regulatory approval to take over Australian regional carrier Hazelton Airlines.

The result brings to a close a drawn-out process for control of the airline, included a bidding battle with rival Qantas.

The Australian Competition and Consumer Commission says it has accepted an undertaking from Ansett with regard to the takeover that clears the way for its bid for Hazelton to proceed.

ACCC chairman, Allan Fels, says the undertaking addresses concerns that the acquisition of Hazelton by Ansett would limit competition in regional air transport in NSW.

"The ACCC was particularly concerned to ensure that any new entrant into regional NSW would be able to access scarce takeoff and landing slots at Sydney Airport.

"The undertaking involves assurances on the use of slots at Sydney, limitations on swapping slots within the Ansett group, the requirement to make available to new regional operators up to 80 slots per week (spread across the day) and restrictions on air fare increases for certain regional routes."

Qantas pulled out of the race for Hazelton in January but Ansett kept plugging away with its bid despite having been turned down previously.

Ansett currently owns 85% of Hazelton.

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