Air New Zealand Welcomes First Boeing 777-200ER into Its Fleet.

SEATTLE -- Air New Zealand today announced the delivery of its first Boeing 777-200ER aircraft. The plane is the first of eight ordered by the airline. Air New Zealand's second 777 is also nearing completion at the same facility and is expected for delivery on November 8, 2005.

Air New Zealand's Chief Executive Officer, Rob Fyfe, who is in Seattle for the delivery, says the new Boeing aircraft will extend the airline's new capabilities for its long-haul operations. "These aircraft will be introduced onto our Auckland-San Francisco route in late November and increase services to six times per week," said Rob Fyfe, Chief Executive Officer. "This will enable us to look at new markets, such as non-stop services between Auckland and Shanghai as an indication of our growth plans for the airline."

The first 777-200ER is being leased from International Lease Finance Corporation (ILFC), with the second and third aircraft to be owned by Air New Zealand. All the aircraft will be powered by Rolls Royce Trent 800 series engines. The interior for the new 777s mirror the new product being fitted into the airline's fleet of eight 747 aircraft, and includes mood lighting throughout the premium cabins.

In total, four of the new 313-seat Boeing 777-200 ER aircraft will be purchased and four leased from ILFC. The purchase cost of the four aircraft and the necessary infrastructure to maintain the fleet of eight is in excess of $700 million.

"These eight new aircraft will eventually replace many of our 767-300s and also enable us to expand the international fleet," said Fyfe. "In addition, we are doubling our 787 order and purchasing two more 787-8s, with delivery of all four expected in 2010 and 2011. With the progressive expansion and improvement of our international fleet, our customers will have even more options and luxury when flying Air New Zealand."

By early 2007, the fleet will consist of 6,826 available seats across 21 aircraft, representing a nearly 30 percent increase in long-haul seats. The new interior is configured in a three-class layout of Business Premier, Pacific Premium Economy and Pacific Economy.

Business Premier

Seating for 26 in Business Premier is in a unique herringbone configuration, the first such time these seats and this configuration have been used in a 777. The innovative seating design in Business Premier includes a comfortable, 22" wide leather armchair that converts into a 6ft 7.5" (2.02m) bed, the longest available in business class today. The seats also make Air New Zealand the only airline to currently offer a truly lie-flat bed at a business class price into and out of New Zealand. Other features include an ottoman footrest that doubles as a visitor's seat, in-seat power, a high resolution 10.4" screen to view the on-demand digital entertainment system and active noise-cancellation headsets.

Pacific Premium Economy

18 Pacific Premium Economy seats in two rows of a 3-3-3 configuration are situated immediately behind Business Premier in a dedicated cabin. The seats feature the largest pitch in its class at 39" in the 777, together with on-demand digital entertainment through a personal 8.4" high resolution screen. The new class makes Air New Zealand the only airline offering premium economy seating on services to and from New Zealand.

Pacific Economy

Pacific Economy seating is in two cabins of 153 seats and 116 seats respectively, with a row configuration of 3-3-3. Seats include on-demand digital entertainment through high resolution 8.4" in-seat video screens. The seat, designed by well known seat manufacturer Recaro, includes a slim-line shape, memory foam cushioning to shape to the passenger and a flexible seat edge for extra comfort.

"The addition of the new Boeing 777 aircraft is another exciting component of the transformation our airline has undergone this year," said Fyfe. "As a leader in long-haul travel, we continue to raise the standard in the skies and revolutionize the industry."

About Air New Zealand

Air New Zealand offers more direct flights to the South Pacific than any other airline, including flights from Los Angeles to New Zealand, the United Kingdom, Australia, Fiji, Tahiti, the Cook Islands, Tonga and Samoa. Air New Zealand now offers non-stop service from San Francisco to Auckland and Los Angeles to Christchurch, the gateway to New Zealand's South Island. United Mileage Plus, US Airways Dividend Miles and Air Canada's Aeroplan members earn and redeem mileage on selected flights. The readers of leading travel magazines consistently rate Air New Zealand among the world's best international airlines. Visit Air New Zealand online at www.airnewzealand.com/usa or www.airnewzealand.com/canada or call 1-800-262-1234 in the USA and 1-800-663-5494 in Canada.