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Air New Zealand confirms entry-level fare drop on over 40 domestic routes - but won't front with details

Air New Zealand has confirmed it's dropping entry-level prices by up to 50 per cent on more than 40 domestic routes.

The airline has been looking for ways to stimulate domestic demand since announcing a profit downgrade last month.

Prices are to fall by up to half on some entry level fares.

Chief executive Christopher Luxon was unavailable for an interview to provide more detail.

1 NEWS sought clarification on how many seats will be available, and if they will available at all times of the day, but an answer was not forthcoming. 

In a written statement, a spokesperson said: "The new fares are available for purchase from today for travel from 25 March 2019."

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The Regional Economic Development Minister, a frequent critic of Air NZ, says he's taking its domestic fares announcement as “gospel”. Source: 1 NEWS

"Naturally, as the cheapest fare class, lead-in fares tend to sell first and we always recommend customers book early in order to secure the best possible deals."

Last month, the company announced they were expecting $340 million to $400 million in earnings, down from its earlier guidance of $425 million to $525 million.

New domestic fare structure. Source: Air New Zealand

This includes the financial impact of the global Rolls-Royce engine issues which continues to be challenging for the business, both commercially and operationally.

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The national carrier hasn’t said just how many tickets will be available at the cheaper rates. Source: 1 NEWS