The New Zealand Government will take an 83 per cent stake in financially troubled Air New Zealand.
Finance Minister Michael Cullen has announced the Government will invest $885 million in two stages.
There will be an initial loan of $300 million that will later be converted to shares at 24 cents a share.
A second payment of $585 million will be made at a share price to be determined later.
As part of the bailout package, Air New Zealand will pay its former subsidiary Ansett Australia $150 million in settlement of its claims.
Government takes control of Air New Zealand
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