Company News

Air New Zealand has drawn down $72 mln of government loan

SYDNEY, Sept 29 (Reuters) - Air New Zealand Ltd said on Tuesday it had drawn down NZ$110 million ($72.20 million) of a NZ$900 million government loan facility to date as it shored up liquidity to help weather the coronavirus pandemic.

The airline reiterated it expected to report a second consecutive annual loss in the financial year ending June 30, 2021 and said it was not able to provide earnings guidance.

It said it had around NZ$1 billion of liquidity, comprising NZ$215 million of cash on hand and NZ$790 million remaining on the government loan facility. The airline forecast it would burn through NZ$65 million to NZ$85 million of cash a month under current conditions. ($1 = 1.5235 New Zealand dollars) (Reporting by Jamie Freed; Editing by Jacqueline Wong)