30-Jun-2011 10:21 AM

Jetstar dismisses financial claims over groundings as 'absurd'

Jetstar dismissed claims the LCC cancelled services during the recent ash cloud crisis for financial reasons as “absurd” (NZPA, 30-Jun-2011). Jetstar CEO Bruce Buchanan said the airlines acted purely on safety concerns alone. "The claims ... that our position taken had anything to do with a cost cutting measure are absurd. The mere suggestion that grounding your entire operation in market - hundreds of flights over a two-week period - would improve financial performance is out of touch with the tough reality of running an airline," Mr Buchanan said. Jetstar had cancelled more than 460 New Zealand flights during the ash cloud crisis and said its "safety before schedule" approach of grounding flights would cost it more than NZD13 million.