Further Flight Cuts Mulled as Air NZ Forecasts Full-Year Loss

Air New Zealand expects a substantial full-year loss as the Middle East conflict stokes jet-fuel costs, forcing it to cut costs and reduce services.

The loss before tax will be NZ$340 million to NZ$390 million ($202 million to $232 million) in the year through June, the Auckland-based airline, which is 51% owned by the government, said Thursday. That compares with average analyst estimate of NZ$275 million loss, and assumes fuel prices average $145 a barrel in the six months through June.