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Air New Zealand (ASX:AIZ) has reported capacity increases and improved demand across all parts of the its network in October operating results.
The airline saw a 2.2 per cent passenger increase compared to the same period last year.
Group-wide yields for the financial year to date are down 1.7 per cent on the same period last year.
Air New Zealand also announced it will withdraw services between Hong Kong and London from March next year as part of a focus on returning its international network to profitability.
A strategic agreement has been reached with Hong Kong listed Cathay Pacific as part of Air New Zealands plans to implement a Pacific Rim focused alliance based network.
Air New Zealand generated a net profit of $55.6 million for its 2012 financial year.
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