Auckland Airport defers new charges due to tough economic times

Auckland International Airport is deferring some signalled price increases because of the tough economic climate.

International and domestic landing fees were due to increase 2.5 per cent and the Passenger Service Charge (PSC) paid by international passengers was due to rise from $13 to $13.50 from July 1.

The airport said today that international landing fees will be discounted by about 5 per cent and domestic landing fees will be unchanged for the time being.

The scheduled increase in the passenger charge will go ahead to avoid complications regarding pre-sold tickets.

"This decision to defer these price increases recognises the current challenging economic conditions for the aviation industry," the airport said.

The airline expects the reduced revenue from lower international landing fees will be largely offset the higher PSC revenue.

It said it will provide earnings guidance for 2010 at a results announcement on August 28.

More than 70 per cent of visitors entering or leaving New Zealand via Auckland Airport. It is Australasian's second busiest international airport after Sydney.

- NZPA