=20 ---------------------------------------------------------------------- This article was sent to you by someone who found it on SF Gate. The original article can be found on SFGate.com here: http://www.sfgate.com/cgi-bin/article.cgi?file=3D/news/archive/2002/11/24/f= inancial1411EST0005.DTL ---------------------------------------------------------------------- Sunday, November 24, 2002 (AP) Qantas, Air New Zealand reportedly near deal, New Zealand trading halted (11-24) 11:11 PST WELLINGTON, New Zealand (AP) -- The New Zealand Stock Exchange suspended trading in Air New Zealand shar= es Monday amid widespread speculation of a deal for Qantas Airways to buy a stake in the company. Air New Zealand called its main union groups to a briefing on "company business" Monday as analysts suggested a Qantas-Air New Zealand tie-up involving their international services. Stock Exchange chief executive Mark Weldon said he expected a "clarification" from the two airlines before midday. Qantas has been seeking up to 25 percent of Air New Zealand, which could inject 500 million New Zealand dollars ($248 million) into the airline. The New Zealand government owns 83 percent of the carrier after last year's bailout. Air New Zealand refused to confirm that a deal would be announced Monday and chief executive Ralph Norris said nothing had been signed. "There is a lot of speculation and I am not willing to comment at all," Norris said. Any agreement would be announced to the Stock Exchange, and shareholders would then have to agree to the deal. Any buy-in by Qantas also would face approval by New Zealand's Commerce Commission and the Australian Competition and Consumer Commission. The airlines would have to prove to the two regulators that some level of competition would remain to keep fares down. The two airlines dominate the New Zealand and Australian domestic markets and air travel between the two nations. They also carry nearly 90 percent of the traffic to and from Los Angeles. =20 ---------------------------------------------------------------------- Copyright 2002 AP