Air NZ
(ASX:AIZ) has strengthened its profit outlook despite agreeing to pay $7.5 million to settle a longstanding legal dispute with the New Zealand Commerce Commission.
The airline says the settlement avoids further protracted and costly litigation.
The agreed settlement, in relation to fuel and security surcharges on air cargo, is $7.5 million subject to court approval.
Air NZ says the amount was already factored in to its guidance.
The airline says it has continued to perform soundly amid stable market conditions and expects its full year earnings to be at the upper end of the range.
Air NZ generated a net profit of $79.3 million in the first half of the current financial year.
