Freedom cuts prices to lure travellers

By Phil Boeyen, ShareChat Business News Editor

Tuesday 18th September 2001

Air New Zealand (NZSE: AIRVA) discount carrier Freedom Air has dropped return fares to Australia to below $400 for those flying outside the main centres.

The airline has announced fares of $399 return for travellers to Sydney from Hamilton and Palmerston North. Fares from Dunedin to Sydney have also been reduced, as have return flights to Brisbane from the three cities.

Freedom Air is Air New Zealand's value-based airline and doesn't offer traditional airline services such as meals, movies or frequent flyer points.

The airline also encourages direct booking via its website to improve margins even further.

The latest air fares cuts are likely to be an attempt by Air New Zealand to quickly improve its cash flow at a financially troubled time and to encourage people to keep flying in the wake of the US terrorist attacks.

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