/news/business/rss 九一星空无限 Keep up with the latest in business and financial sector news with 九一星空无限talk ZB. Thu, 19 Jun 2025 23:33:29 Z en /news/business/gdp-shows-strong-growth-in-the-first-quarter-of-2025/ /news/business/gdp-shows-strong-growth-in-the-first-quarter-of-2025/ GDP grew at 0.8% in the first quarter of 2025 - stronger than even the most optimistic of economists’ forecasts. Activity increased in the March 2025 quarter across all three high-level industry groups: primary industries, goods-producing industries, and services industries. The Reserve Bank had forecast 0.4% for the quarter, but more recently, the consensus of economists moved to 0.7%. There was a 0.5% rebound in growth in the last quarter of 2024, following a recessionary two quarters of contraction. That number was revised down today from 0.7%. Economists had suggested that if GDP landed at 0.7% it would lift the odds that the Reserve Bank will leave interest rates on hold at its next meeting in July. Today’s number signals a hold is increasingly likely. “At a more detailed industry level, nine of the 16 industries increased, with the largest rises in business services and manufacturing,” economic growth spokesperson Katrina Dewbery said. The rise in manufacturing was led by an increase in the production of machinery and equipment. This was reflected in increases for components of both investment and exports associated with this type of manufacturing output. - MORE TO COME Liam Dann is business editor-at-large for the New Zealand Herald. He is a senior writer and columnist and also presents and produces videos and podcasts. He joined the Herald in 2003. Wed, 18 Jun 2025 22:50:51 Z /news/business/bnz-cuts-mortgage-rates-for-second-time-in-three-weeks/ /news/business/bnz-cuts-mortgage-rates-for-second-time-in-three-weeks/ BNZ has cut some of its short-term mortgage rates to offer the equal lowest lending terms on the market among the major banks.  The bank said from today, its one-year fixed home loan rate would drop from 4.95% to 4.89%.  Its six-month rate would drop 6 basis points (bps) to 5.29%.  Both BNZ and Westpac now have the lowest six-month and one-year fixed rates among the big five lenders.  BNZ cut both rates on the eve of the Official Cash Rate (OCR) decision, just over three weeks ago.  The Reserve Bank (RBNZ) cut the OCR by 25bps to 3.25%.  Since the OCR drop, all major banks have been lowering their fixed lending terms.  Last week, Westpac cut its six-month special rate by 20bps to 5.29% and its one-year special rate by 6bps to 4.89%.  ASB and ANZ both have an 18-month fixed mortgage rate of 4.89%, the lowest it’s been since April 2022.  Earlier this month, ASB dropped its six-month rate by 14bps to 5.45% and its one-year offering was cut by 4bps to 4.95%.  ANZ reduced its six-month special and standard terms by 20bps to 5.29% and 5.89%, respectively. ANZ’s one-year special is also 4.95%.  Cameron Marcroft, senior adviser and director at Loan Market, previously told the Herald it felt like we were nearing the bottom of the interest rate cycle.  “We’re into the 4.8s now for those shorter-term rates… I don’t see much [lower] than that,” he said.  Marcroft said one and two-year rates had probably been more popular lately, while the three-year rate had become “semi-attractive” for some borrowers.  “Getting stability in your borrowing is really important right now.”  Lower global growth projections, based on trade disruptions, have raised expectations that the RBNZ will have to cut the OCR to a lower level than was forecast in February.  At the time, the RBNZ was projecting a pause at 3.25%, with the prospect of cutting to 3% by the end of the year.  Since then, commercial bank economists’ forecasts have shifted to a low point of 2.75% or 2.5% by the end of the year.  Tue, 17 Jun 2025 22:33:21 Z /news/business/meat-and-dairy-continue-to-drive-food-price-inflation-stats-nz-data-shows/ /news/business/meat-and-dairy-continue-to-drive-food-price-inflation-stats-nz-data-shows/ Food prices increased 4.4% in the 12 months to May 2025, following a 3.7% increase in the 12 months to April 2025, according to figures released by Stats NZ today.  Higher prices for the grocery food group and the meat, poultry and fish group contributed most to the annual increase in food prices, up 5.2% and 5.4%, respectively.  “All five food groups recorded an annual price increase in May,” prices and deflators spokesperson Nicola Growden said.  The price increase for the grocery food group was because of higher prices for milk, butter and cheese.  “The cost of a 500 gram block of butter is nearly twice as expensive as the lower prices seen in early 2024,” Growden said.  Soaring butter prices have been the focus of media attention in recent months as record dairy export prices have flowed through to the supermarket aisles.  The average price for butter was $8.42 per 500g, up 51.2% annually and a monthly increase of 13.5%.  Cheese was $13.04 per 1kg block, up 30.1% annually.  And milk was $4.57 per 2 litres, up 15.1% annually.  The increase in the meat, poultry and fish group was driven by higher prices for beef steak and beef mince, up 18.6% and 13%, respectively.  Meanwhile, the news was better for rental prices.  The monthly Selected Price Index (which measures about 51% of the quarterly Consumers Price Index) showed rents up 2.8% for the year.  That followed a 3% increase in the 12 months to April 2025.  The 2.8% increase is the lowest increase for rent prices since January 2015, when prices also increased 2.8%.  “Annual rent price increases haven’t been below 2.8% since 2011,” Growden said.  On a monthly basis, food prices were up 0.5% in May 2025, following a 0.8% rise in April 2025.  More expensive tomatoes, avocados and cucumbers drove the increase for fruit and vegetables, while higher prices for chicken nuggets and lamb leg drove the increase for meat, poultry and fish.  However, grocery prices were down for the month, by 0.7%.  Instant coffee prices fell 6.1% for the month following a spike of 10.4% a month earlier.  Liam Dann is business editor-at-large for the New Zealand Herald. He is a senior writer and columnist and also presents and produces videos and podcasts. He joined the Herald in 2003.  Mon, 16 Jun 2025 23:35:13 Z /news/business/tourism-holdings-receives-takeover-proposal-from-consortium/ /news/business/tourism-holdings-receives-takeover-proposal-from-consortium/ Tourism Holdings has received an unsolicited takeover proposal of $2.30 per share, the company told the NZX this morning. A consortium of BGH Capital (BGH) and the family interests of Luke and Karl Trouchet (Trouchet Shareholders) are spearheading a bid to acquire all Tourism Holdings (THL’s) shares, either by way of a scheme of arrangement or a takeover offer. Luke Trouchet is an executive director at THL. The proposed share price is significantly higher than the $1.46 THL shares last traded at. The non-binding proposal indicates that the consortium is also open to considering a transaction structure which results in a controlling interest but does not result in 100% ownership of THL. BGH has acquired a relevant interest in 19.99% or 44,197,503 of THL’s shares. In a statement to the NZX, THL said given Luke Trouchet’s involvement in the consortium with BGH, he has taken a leave of absence from his executive role at the company. “The board has also determined that Luke will not participate in the THL board or subcommittee meetings and processes assessing the merits of, or matters associated with or relevant to, the non-binding indicative proposal [NBIO], nor in respect of other strategic initiatives being considered by THL,” a statement to the NZX said. The board subcommittee comprises of chairwoman Cathy Quinn, Rob Hamilton and Sophie Mitchell. In THL’s interim six-month result to December 31, 2024, the firm reported a statutory net profit after tax (npat) of $25.3m, down 36% or $13.2m on the prior corresponding period. However, total sales grew, with revenue increasing to $458.3m in 1H25, up from $449.1m in 1H24. Quinn described the past year as “the most difficult period for the RV sales industry in decades”. THL told the NZX it would act in what it considers the best interest of the company and its shareholders in assessing the merits of the non-binding proposal. “THL’s board and management are very aware of THL’s recent performance, which has been largely influenced by factors beyond the company’s control, such as the impact of poor consumer confidence on the demand for recreational vehicles, and recent geopolitical and tariff developments impacting travel sentiment,” the company said. “Over the last few months, THL has been working on a range of initiatives to address these performance challenges and enhance long-term value for shareholders.” Sun, 15 Jun 2025 23:23:04 Z /news/business/du-val-property-group-heads-to-court-to-fight-decision-to-put-it-into-receivership/ /news/business/du-val-property-group-heads-to-court-to-fight-decision-to-put-it-into-receivership/ Some subbies still owed money in the Du Val collapse say their companies have barely survived and they doubt they will ever see a cent. The Du Val property group is heading to court on Monday to try to fight the decision to put it into receivership and freeze the assets of founders Charlotte and Kenyon Clarke. The group of about 70 entities and the Clarkes themselves were put into receivership by the Financial Markets Authority last year, with the companies eventually put into the more serious statutory management by the government in August. At last count its debts were more than $300 million. Despite that, Kenyon Clarke maintained none of the current situation "was our making," suggesting it was Du Val that was the victim. Deccan Property Services did painting, GIB stopping and fixing, and provided general labour at a Du Val development in Mount Wellington. Its owner, Aniket Bapat, said the company was owed about $230,000 - a debt that nearly wiped his company out. "We've... been just hanging by a thin strand of hair, not even thread," he said. His was one of about 75 companies listed by statutory managers, PWC, as being owed money by Du Val Construction, otherwise known as Blue River Holdings, a residential building arm of the property group. Many were family businesses. Bapat said his company had to use profits from all their other jobs to pay their own staff and bills from the Du Val job, and they had to use a loan and overdraft to help, he said. Most of the next year's profits had gone into paying off the loan and they were still struggling, he said. "Even now if we don't see enough jobs coming, we are paranoid... we are literally just keeping the tip of our nose above water," he said. As the company began to recover, it had put in more safeguards, and Bapat has had therapy to help with the mental health impact. "It was bloody stressful," he said. Like the other creditors, he will have to wait for the outcome of the statutory management process to see if he gets paid, but has had to move on. Lisa Moroni owns Precision Cleaning Services and said she was owed about $80,000. "It was very hard because... we are a small to medium business and we run pay cheque to pay cheque and that was a massive project for us," she said. Most of the outstanding amount was from a big, final clean of one of the developments after construction was complete, she said. "It's a lot of work done in two or three months and when you don't get paid it does affect the business a lot," she said. They had to lay off staff and move out of their downtown office to cut costs," she said. An owner of a large concrete cutting and drilling firm who did not want to be named said they were owed about $17,000. Though it was not as big as some others' debts, it had still been stressful, she said. She went to Du Val to try to get some money back to no avail. "We drill a hole through a wall... so if we don't get paid there is nothing that we can go retrieve, like our consumables or materials," she said. "We laugh that we should maybe go and fill the hole back up." Bapat said he regretted giving Du Val the benefit of the doubt that money was coming - and had learned a hard lesson to be less trusting. RNZ spoke to several more Du Val Construction creditors who did not want to be interviewed but expressed similar sentiments. They said they did not expect to get any money back but they wanted more information from PWC about what was happening in the process. A handful of other creditors said they had been paid in full and did not have a problem. One felt if Du Val had been allowed to keep operating, it could have gone on to sell its developments and everyone would have been paid. Du Val defiant The Du Val founders remain defiant, suggesting it is the company and its investors who are the victims of heavy handedness by the Financial Markets Authority and the receivers. In a lengthy statement to RNZ, Kenyon Clarke said prior to the FMA actions there were no financial concerns that were not capable of being managed and the group was on track to deliver a return to shareholders, investors and contractors. "We can confidently say that none of this was of our making and was action taken without us being able to fight for those we have worked closely for and with," he said. "It has been a horrible and frightening thing to witness, and we understand and feel for all those impacted." It was telling that the FMA had not taken any further action in the 10 months since statutory management, he said. Clarke also hits out at the PWC saying it lacked business acumen in the development sector and had made the group's financial position worse. The company would seek compensation, he said. At the time the government put Du Val into statutory management, it said it was an option of last resort used only where there was complex corporate failure. It did so because of the complexity and scale, saying there were between 120 and 150 home buyers and commercial lenders "tangled up" in the situation, it said. Du Val creditors spoken to by RNZ maintain there were sometimes months-long delays in getting paid in the lead up to the statutory management. PWC and the FMA declined to comment on Clarke's statements. PWC said creditors who wanted more information could find it on its website, or email the team. "To most effectively and efficiently work with the large number of entities and stakeholders related to the Du Val Group, we prioritise providing updates when significant matters are resolved or analysis completed," a spokesperson said. What will happen in court? The legal action taking place on Monday is in the civil branch of the High Court in Auckland. There are no charges against Du Val or the Clarkes. The Clarkes are challenging the Financial Market Authorities' decision to appoint receivers for both for them and Du Val last year, which culminated in the government putting Du Val into statutory management on the FMA's recommendation. PWC has been both the statutory managers and the receivers for the Clarkes' personal financial situation since then. Despite the legal challenge, the statutory management and receivership processes have been continuing. At least part of the delay to allow the Clarkes to appoint a lawyer. They now have Ron Mansfield KC. The Clarkes have also been given the right to appeal a High Court decision forcing them to be interviewed under oath by receivers, PWC. PWC wants to interview the couple about the assets in their possession - including whether they were purchased by the Clarkes themselves or by Du Val companies. So far the couple has refused and it will be up to the Court of Appeal to decide. Fri, 13 Jun 2025 03:28:45 Z /news/business/landlord-ordered-to-pay-sister-in-law-5900-over-property-unfit-for-human-habitation/ /news/business/landlord-ordered-to-pay-sister-in-law-5900-over-property-unfit-for-human-habitation/ The tenant lived in a dwelling on the landlord’s property from May 2021 until March 2024. The dwelling had visible mould, no underfloor insulation, and numerous holes in the walls and ceilings. There were also damaged windows with rotten frames, signs of roof damage, visible vegetation on the guttering and electrical cables outside the house that were exposed to the weather. The Tenancy Compliance and Investigations Team (TCIT) in the Ministry of Business, Innovation and Employment (MBIE) opened an investigation into the tenancy and visited the property after receiving a complaint in August 2023 from an employee of a social assistance provider. External window frame damage, seen at a Northland property which was the subject of a recent Tenancy Tribunal decision. The tenant told TCIT investigators that she had a tenancy agreement but did not pay a bond to the landlord, who did not inspect the property and failed to follow through on promises to help address some of the issues she had identified. The landlord admitted on more than one occasion that the property was not fit for human habitation, saying it had been empty for years for a reason and was never intended for anyone to live in. The Northland property had electrical cables outside which were exposed to weather. Brett Wilson, TCIT national manager, said all landlords have obligations they must meet under the Residential Tenancies Act. This included ensuring the property is provided and maintained in a reasonable state of repair, he said. “These obligations are not optional; they are a legal requirement. It is not an excuse for the landlord to say they had not intended to rent out the premises, the fact is they did and that means they have a responsibility to comply with the Act,” Wilson said. “Despite raising multiple issues with the landlord, who is also a family relative, these matters were either ignored or not fully resolved. In one instance, on being advised there was a large gaping hole in the end room, the landlord said he told the tenant to close the door and not to use the room as a living space.” At the Tenancy Tribunal, the landlord accepted that he had breached multiple sections of the Residential Tenancies Act. This included failing to state that he will comply with the healthy homes standards in the tenancy agreement, failing to insulate the property to the required standard, and failing to provide and maintain the premises in a reasonable state of repair. The tribunal ordered the landlord to pay $5900 in exemplary damages to the tenant and reimbursement of the application filing fee. The landlord’s name was suppressed. The adjudicator said the landlord fully engaged with the tribunal process, including mediation, and that any publication may lead to the identification of the tenant. Wed, 11 Jun 2025 23:03:12 Z /news/business/nintendo-says-it-sold-a-record-35m-switch-2-consoles-in-first-four-days-of-launch/ /news/business/nintendo-says-it-sold-a-record-35m-switch-2-consoles-in-first-four-days-of-launch/ Nintendo says it has sold a record 3.5 million Switch 2 units worldwide in the first four days after the console was launched. “This is the highest global sales level for any Nintendo hardware within the first four days,” the Japanese video game giant said in a statement. Featuring a bigger screen and more processing power, the Switch 2 is an upgrade to Nintendo’s blockbuster Switch console. It was released last Thursday to a global swell of fan excitement that included sold-out pre-orders and midnight store openings. Since its 2017 launch, the original Switch - which enjoyed a popularity boost during the pandemic with hit games such as Animal Crossing - has sold 152 million units. That makes it the third-best-selling console of all time. Analysts predicted last week that Nintendo could score record early sales with the Switch 2 - but it remains to be seen if it can match the performance of its predecessor. Challenges for Nintendo include uncertainty over United States trade tariffs and whether it can convince enough people to pay the high price for its new device. The Switch 2 costs $449.99 ($745) in the United States, compared to a launch price of $299.99 ($495) for the original Switch. Both are hybrid consoles which can connect to a TV or be played on the go. New games such as Donkey Kong Bananza and Mario Kart World - which allow players to go exploring off-grid - are also more expensive than existing Switch titles. Nintendo forecasts it will sell 15 million Switch 2 consoles in the current financial year, roughly equal to the original in the same period after its release. The Switch 2 “is priced relatively high” compared to its predecessor, so it “will not be easy” to keep initial momentum going, the company’s president Shuntaro Furukawa said at a financial results briefing in May. The Switch 2 has eight times the memory of the first Switch, and its controllers, which attach with magnets, can also be used like a desktop computer mouse. New functions allowing users to chat as they play online and temporarily share games with friends could also be a big draw for young audiences used to watching game streamers. Success is crucial for Nintendo: while the Super Mario maker is diversifying into theme parks and hit movies, around 90% of its revenue still comes from the Switch business, analysts say. - Agence France-Presse Wed, 11 Jun 2025 03:42:42 Z /news/business/reserve-bank-reveals-adrian-orr-resigned-as-governor-over-distressing-funding-disagreement/ /news/business/reserve-bank-reveals-adrian-orr-resigned-as-governor-over-distressing-funding-disagreement/ The Reserve Bank of New Zealand (RBNZ) has confirmed Adrian Orr resigned as Governor as he wanted more funding for the central bank than the Government was willing to provide. The bank said in a statement released under the Official Information Act that its board – chaired by Neil Quigley – conceded a lesser amount of funding was fine. “This led to Mr Orr’s personal decision that he had achieved all he could as Governor of the Reserve Bank and could not continue in that role with significantly less funding than he thought was viable for the organisation,” the RBNZ said. “Mr Orr and Professor Quigley entered discussions which led to Mr Orr’s decision to resign. The matter was distressing for Mr Orr. “Both parties engaged senior counsel to negotiate an appropriate exit agreement. In the circumstances, an immediate departure and special leave for Mr Orr was appropriate, although he agreed to provide handover support.” The RBNZ confirmed Orr’s resignation was brought forward by five days to March 5 – the day before the bank hosted an international conference – as Orr was cognisant some attendees may have known about his intention to resign. The documents reveal Orr wanted to stick to the original plan for him to open the conference. He was also willing to be available to discuss his resignation. “I will proudly open the conference tomorrow morning, noting I am there to discuss today’s news,” he said in an email to the board and two senior staff an hour before his resignation was announced. Orr didn’t attend the conference and hasn’t commented publicly on the matter at all, with Quigley fronting a press conference, organised at the last minute, on the afternoon his resignation was announced. The RBNZ said Finance Minister Nicola Willis’ desire for the RBNZ to require banks to hold less capital than is planned wasn’t a significant factor that led to Orr’s resignation. Coming back to the funding issue, in September last year, the RBNZ bid for more than $1 billion of government funding for the five years to 2030. Treasury advised Willis the proposal didn’t provide good value for money. In late-February, she spoke to the Herald about the RBNZ needing to trim its expectations over funding. Nine days after Orr resigned, the RBNZ submitted a more modest proposal of $786 million. Then in mid-April, Willis confirmed the RBNZ’s five-year funding package would total nearly $776m - 8% more than the funding it received in the five years to 2025. The number of full-time equivalent staff employed by the bank increased from 255 people in 2017-18 to 660 by January this year. The RBNZ’s responsibilities expanded over this time, as the Government modernised the legislation it operates under. For example, the bank is standing up a big deposit compensation scheme in July and regulating deposit-takers more tightly. The RBNZ took weeks to make its original funding proposal public. It is yet to release it’s updated one. More to come. Jenée Tibshraeny is the Herald‘s Wellington business editor, based in the Parliamentary Press Gallery. She specialises in government and Reserve Bank policymaking, economics and banking.  Tue, 10 Jun 2025 23:33:35 Z /news/business/another-major-bank-cuts-mortgage-and-deposit-rates/ /news/business/another-major-bank-cuts-mortgage-and-deposit-rates/ Another major bank has cut both its home loan and deposit rates in the wake of the Official Cash Rate drop last month. Kiwibank’s six-month fixed home loan special and standard rates have been cut by 20 basis points to 5.29% and 6.19% respectively. Its one-year fixed special and standard rates have fallen by 10 basis points, down to 4.89% and 5.79%. Meanwhile its two-year fixed special and standard rates have fallen by just four basis points to 4.95% and 5.85% respectively, with the banks three-year special and standard rates falling by six basis points to 5.29% and 6.09%. Kiwibank’s variable, revolving, four and five year fixed and special rates remained unchanged. The bank also cut all of its term deposit rates by between five and 15 basis points. All of Kiwibank’s changes are effective from today, June 9. Last week, the ASB and ANZ also cut their rates. Both banks are offering 4.89% over 18 months - the lowest rate since April 2022. The OCR was cut by 25bps to 3.25% on May 28 in a widely expected move by economists and financial markets. The RBNZ also lowered its forecast rate track. It now projects an OCR of 2.85% by the end of the year, down from a 3.1% forecast in February. That implies at least one more rate cut this year with mixed odds on a second. Should you fix or float? Cameron Marcroft, senior adviser and director at Loan Market, told the Herald it felt like we were nearing the bottom of the interest rate cycle. “I wouldn’t float now, I would definitely fix,” he said. “The rates are good at the moment. There’s no guarantee they’re going to go lower.” Marcroft said when consumers are sitting on floating rates at higher interest, the advantage of waiting for lower fixed rates can be taken away. Nathan Miglani, managing adviser at mortgage broker firm Squirrel, said he expected to see 4.99% for three years soon. Miglani said whether homeowners fix for a short or long period depended on the size of their mortgage. “If their mortgage is under $250k-$300k then maybe fixing for one year is actually not a bad option,” he said. Those with mortgages over half a million dollars should split their loan, Miglani recommended. Mon, 09 Jun 2025 00:13:12 Z /news/business/the-jobs-that-had-the-fastest-salary-growth-in-the-past-year/ /news/business/the-jobs-that-had-the-fastest-salary-growth-in-the-past-year/ Three of the top five fastest-growing salaried roles in the past year were for IT jobs. The role of branch manager had the highest average salary rise of 15.30%. The national average advertised salary only rose 2.6% year on year in February. Jobs in IT dominated fastest-growing advertised salaries in the past 12 months but it was an unlikely role that took top spot, new data from Seek shows. The role of branch manager within the retail and consumer industry had an average salary rise of 15.30% in the three months from February to April compared with the same period last year. The average salary for a branch manager is now $83,944, Seek said. Advertised salaries for security officers on average rose 12.80% to $55,965. Three of the top five fastest-growing salaried roles were for jobs in IT. A systems administrator saw on average a 12% rise in advertised salary to $96,755. Data engineers’ salaries rose 11.60% to $131,952, while roles for data analysts increased 11.10% to $98,265. “Businesses are increasingly building their digital capacity and preparing for the AI revolution, which requires robust IT infrastructure, resulting in salary growth for those with the skills to support the ongoing digital transformation,” said Seek senior economist Blair Chapman. “With these skills in demand across several countries, New Zealand businesses are increasingly competing to keep and attract these workers, supporting robust advertised salary growth.” Average salaries for project engineers ($120,688) and therapists ($90,153) both increased 10.60%. “With numerous infrastructure projects ongoing across New Zealand, project engineer roles for people with the skills to contribute to these projects have had relatively quick average advertised salary growth over the past 12 months,” Chapman said. Also making the top 10 fastest-growing advertised salaries were roles for a technical lead in IT, which rose 10.30% to $155,775. Meanwhile, the national average advertised salary only rose 2.6% year on year in February, according to the latest Seek Advertised Salary Index. “Annual average advertised salary growth continues to slow but remains above inflation,” Seek country manager Rob Clark said of the data. “Slower advertised salary growth in some of the largest industries is dragging down the national average, with some smaller industries like science and technology growing much faster.” Cameron Smith is an Auckland-based journalist with the Herald business team. He joined the Herald in 2015 and has covered business and sports. He reports on topics such as retail, small business, the workplace and macroeconomics. Thu, 05 Jun 2025 03:11:31 Z /news/business/genesis-energy-begins-150m-grid-scale-battery-project-at-huntly/ /news/business/genesis-energy-begins-150m-grid-scale-battery-project-at-huntly/ Genesis Energy has started building a $150 million grid-scale battery on its Huntly Power Station site, which it says will be able to power 60,000 households.  Construction of the 100-megawatt (MW) battery started today at a ceremony attended by Minister of Energy Simon Watts, local iwi, Electricity Authority chief executive Sarah Gillies, Waikato District Council chief executive Craig Hobbs and Genesis chief executive Malcolm Johns.  The battery will have a storage capacity of 200 megawatt hours (MWh), enough to power around 60,000 average households for two hours during winter, Genesis says.  “The project will provide essential back-up to the national grid during times of peak demand, such as cold winter mornings and evenings,” Johns said.  “We’ll be able to store electricity in the battery during times of high generation and release it when it’s most needed.”  Watts said grid-scale batteries would be pivotal for enhancing New Zealand’s energy security and affordability.  “By integrating grid-scale batteries, we can reduce energy price volatility, decrease reliance on fossil fuels and pave the way for a sustainable and resilient energy future,” Watts said.  Genesis recently opened its first solar farm at Lauriston in Canterbury.  Johns said the battery is the perfect partner for its generation portfolio, including Lauriston and new solar farms in its construction pipeline.  “We can store the equivalent energy generated by solar farms during the day and release it at night when customer demand is high,” he said.  An artist's rendering of Genesis Energy's battery project at Huntly.  The 70 battery units are being supplied by Saft, based in France, and installed by Northpower. The site is expected to be operational by late 2026.  Johns said the project was the first stage of a multi-stage project that would see the Huntly portfolio develop a battery system of up to 400MW by 2035.  “Huntly is evolving as it plays a critical role in backing up the electricity system through the renewable transition, providing flexible power when hydro lakes are low, the sun doesn’t shine and the wind doesn’t blow,” he said.  The battery will be connected to the national grid directly from the Transpower sub-station at the Huntly site, where Genesis’ coal and gas-powered generation is based.  “This connection made Huntly ideal for installing a grid-scale battery, along with its location close to the high-demand centres of Hamilton, Auckland and Tauranga, and our fantastic local workforce,” Johns said.  “As New Zealand’s electricity supply becomes more renewable and subject to weather, this battery will help smooth out fluctuations in supply, ensuring supply remains reliable and secure,” he said.  Last month, Meridian Energy officially opened a 100MW grid-scale battery – New Zealand’s first – at Ruakākā, near Whangārei.  Meridian said the facility would add a North Island storage asset to New Zealand’s electricity system.  Jamie Gray is an Auckland-based journalist, covering the financial markets and the primary sector. He joined the Herald in 2011.  Thu, 05 Jun 2025 00:15:52 Z /news/business/tax-refunds-inland-revenue-department-begins-paying-overtaxed-kiwis-back/ /news/business/tax-refunds-inland-revenue-department-begins-paying-overtaxed-kiwis-back/ The Inland Revenue Department has tallied the tax it has taken from people over the last financial year and has begun the process of giving any extra back - and chasing up tax owed. The IRD issued income tax assessments on Saturday and has sent them out to Kiwis. In most instances, the IRD sends income tax assessments in a letter on its online portal MyIR. Photo / Nathan Crombie And thanks to the automatic calculation and payment process, often there is nothing for you to do to claim your refund. The IRD will deposit it into the bank account it has on file for you. “We work out your income tax for you if we have all your income information for the tax year – 1 April to 31 March," the department’s website says. “This income tax assessment shows if you are due a refund, have a tax bill or have paid the right amount of tax. “We pay refunds into the bank account we have on file for you when we process your income tax assessment, so not everyone will get theirs at the same time.” Customers would be contacted if the IRD doesn’t have bank account details. “You can check and update your bank account details at any time.” The department said customers should have the money in their account within a few days, and if there was an issue with your bank receiving it, it should bounce back to the IRD. But how can you get your money faster? The IRD said keeping your details up to date would streamline the process - “and we’ll pay any refund owing straight away”. What if you owe tax? The IRD’s tax assessment letters will also tell you if you owe tax. What do you need to do then, and how is it possible to owe tax anyway? It’s tax refund season, so how do you know if you’re in for a windfall? IRD said you might get a tax bill because your income changed during the year, some of your income was not taxed correctly, your tax rates for your investments changed partway through the year, you had an employer share income that did not have tax deducted, you got the independent earner tax credit during the year but your total income was over the threshold, your income increased after tax thresholds changed during the tax year, or your schedular payment tax rate was too low, If you do have to pay tax owing, most people need to pay it by February 7, 2026. Raphael Franks is an Auckland-based reporter who covers business, breaking news and local stories from Tāmaki Makaurau. He joined the Herald as a Te Rito cadet in 2022. Wed, 04 Jun 2025 01:11:02 Z /news/business/anz-cuts-home-loan-rates-lowest-rate-in-three-years/ /news/business/anz-cuts-home-loan-rates-lowest-rate-in-three-years/ ANZ cuts 18-month fixed rate special to three-year low of 4.89%. The largest cut was 20 basis points. ANZ cut all special and standard home loan rates. ANZ has dropped all of its fixed home loan rates after the Reserve Bank (RBNZ) cut the Official Cash Rate (OCR) last week. The bank’s 18-month fixed rate special was cut by 10 basis points (bps) to 4.89%, its lowest since April 2022. The largest cuts were to its six-month special and standard terms, which fell 20bps to 5.29% and 5.89%, respectively. ANZ also cut 20bps off its standard four and five-year home loan rates, and its special three-year term. Its one-year special term drops 4bps to 4.95%. ANZ managing director for personal banking Grant Knuckey said the changes would provide relief for customers taking on new home loans and for those who are due to refix. “The vast majority of ANZ NZ customers are on fixed rates, and they’re seeing the benefits of the falling interest rate environment,” Knuckey said. “For example, our one-year home loan special rate has fallen from 7.39% in March 2024 to 4.95% – that’s a drop of nearly 2.5%. “For those who are considering locking in a fixed rate, this is something most customers can do themselves in GoMoney.” ANZ also cut the majority of its term deposit interest rates by between 5 and 15bps. Last week, ANZ responded to the OCR cut by reducing its floating home loan, floating business and savings rates. Its floating and flexible home loan rates were cut by 20bps to 6.49% and 6.6%, respectively. ANZ also cut its business floating rates by 25bps from 5.05% to 4.8%. The OCR was cut by 25bps to 3.25% in a widely expected move by economists and financial markets. The RBNZ also lowered its forecast rate track. It now projects an OCR of 2.85% by the end of the year, down from a 3.1% forecast in February. That implies at least one more rate cut this year with mixed odds on a second. ASB chief economist Nick Tuffley said he expected two more cuts to the OCR, which would take it to 2.75%. “It is possible the RBNZ pauses along the way. Our forecast of July and August cuts doesn’t reflect that, but unfolding events can easily change the timing,” Tuffley said. Tue, 03 Jun 2025 08:54:21 Z /news/business/nzme-targets-12m-savings-as-shareholders-vote-on-steven-joyce-joining-board-as-chair/ /news/business/nzme-targets-12m-savings-as-shareholders-vote-on-steven-joyce-joining-board-as-chair/ 九一星空无限 says it expects to deliver annualised cost savings of $12 million as shareholders vote on a revamped board that includes former National Party MP Steven Joyce and outspoken shareholder Jim Grenon. If elected, Joyce will take up the reins as chair from Barbara Chapman, who will retire from the board. At today’s annual meeting, shareholders are also voting on the re-election of director Sussan Turner, with two other existing directors, Guy Horrocks and Carol Campbell, retaining their seats and technology expert Bowen Pan to be appointed following the meeting. Grenon, who holds about 13% of 九一星空无限, has led a campaign to change out the board, having voiced concerns with the performance of the company, assertions that have been rejected by the board. His original plan was to replace the entire board with himself and several other nominees with support from major shareholders. However, the parties managed a compromise deal with Joyce as the proposed chair, Grenon as a director, and an editorial board that includes blogger and lawyer Philip Crump. 九一星空无限, which owns the NZ Herald, 九一星空无限talk ZB, BusinessDesk, a suite of music stations and property website OneRoof, provided a trading update to shareholders at the annual meeting. Chief executive Michael Boggs said the first four months of 2025 had delivered a “higher operating ebitda” than for the same period in 2024. “While the market outlook remains uncertain, the first four months of trading combined with our cost savings initiatives see us well placed to deliver improved operating results for 2025,” he said. “A number of cost reduction initiatives have been completed in the first half of this year and are expected to deliver annualised savings of $12 million.” That included some $4m previously announced relating to the loss of 30 newsroom roles at the Herald and BusinessDesk. Boggs said the restructuring costs relating to those initiatives were not reflected in the year-to-date operating ebitda figure. No guidance was issued for the first half or the full financial year. “Unfortunately, the market remains volatile and economic commentators have softened their outlook from what was expected earlier in the year. “Pleasingly, the economy is showing signs of recovery and lower interest rates are supporting overall economic activity. “However, the market is not improving as much as we originally expected – it remains volatile and therefore we are taking a cautious yet optimistic approach." In February, 九一星空无限 reported a post-tax loss of $16 million for the 2024 financial year after a non-cash impairment of intangible assets. Its earnings before interest, tax, depreciation and amortisation (ebitda) of $54.2m was in line with revised guidance of $53m-$55m. Operating revenue had increased 2% from $340.8m to $345.9m. It also said it was considering separating its property brand, OneRoof, into an entirely new business and had launched a strategic review to accelerate OneRoof’s growth and realise its” full potential in delivering value for shareholders”. Opportunities included the potential separation of OneRoof “to enable raising external capital, either public or private, to surface its value”; “potential pathways to value recognition and monetisation”; consolidation opportunities; and “additional resourcing and extra capacity opportunities”. At today’s annual meeting, Chapman welcomed Joyce and Grenon whom the board was supportive of joining the board. Chapman said despite the tough environment, 九一星空无限 continued to make progress on its 2023 three-year strategic priorities - OneRoof, audio and news. In terms of OneRoof, Chapman said the property brand continued to be a strong performer with “significant future growth potential”. “We have commenced an independent strategic review of the OneRoof business, which will look at a number of opportunities to realise its full potential in delivering value for shareholders and an update will be provided at 九一星空无限’s half year results.” MORE TO COME Tue, 03 Jun 2025 03:00:19 Z /news/business/air-new-zealand-says-it-ll-add-36-000-domestic-winter-and-spring-flights/ /news/business/air-new-zealand-says-it-ll-add-36-000-domestic-winter-and-spring-flights/ Air New Zealand says it will add more seats to flights departing Auckland to three domestic destinations this winter. The airline said it would add 36,000 seats on flights to Wellington, Christchurch and Queenstown. Some of these routes will use Airbus A321s from June 28 to October 25, instead of Airbus A320s. The newer A321 has more passenger and cargo capacity than the smaller model. Domestic airfares have faced scrutiny in recent weeks with Consumer NZ saying a market study was long overdue. Air New Zealand today said the extra seats on the A321 followed last week’s launch of a new jet service between Hamilton and Christchurch. Some Auckland to Dunedin flights will also “upgauge” or use larger aircraft for what the airline called key “student movement dates” and for the July 5 All Blacks-France test. The University of Otago’s second semester begins on July 14, then takes a break on August 30 and resumes on September 8. Another “upgauge” will be applied to Dunedin flights for the Big Sing, a national secondary schools choral festival, in late August. “This isn’t just about adding flights, it’s about supporting our regions,” Air NZ chief commercial officer Jeremy O’Brien said today. Tue, 03 Jun 2025 02:32:50 Z /news/business/tiwai-pt-aluminium-smelter-to-ramp-up-production-as-hydro-lakes-fill/ /news/business/tiwai-pt-aluminium-smelter-to-ramp-up-production-as-hydro-lakes-fill/ New Zealand Aluminium Smelters’ plant at Tiwai Pt in Southland will ramp up production sooner than expected thanks to improved hydro lake storage.  The smelter has a demand response agreement with NZX-listed Meridian Energy that enables the power generator to request Tiwai, the country’s biggest power user, to reduce production when the system is stretched.  “New Zealand’s hydro storage is looking healthier than it was just a few weeks ago, and we are confident regarding the security of electricity supply for this winter,” Meridian chief executive designate Mike Roan said.  “As a result, we want NZAS to get back to business,” he said.  National grid operator Transpower last week reported that New Zealand hydro storage was running at 92% of the seasonal mean.  South Island hydro storage remained steady at 91%, while North Island storage decreased from 109% to 102%, Transpower said.  NZ Aluminium Smelters (NZAS) will ramp up production from June to bring the current demand response to an end early, targeting a completion date of August 11 rather than November 25.  The demand response option - struck in February - is Option four under a deal brokered last year. It was for 185MW but was later modified to 50MW.  Meridian will next have the ability to call for demand response Option three (100MW) or Option four (185MW) under the demand response agreement between the parties to take effect from April 12.  The electricity sector is still smarting from last August’s shortage, which saw wholesale prices hit $820 per megawatt hour (MWh) due to constrained gas supply, low hydro lake levels and calm wind conditions.  Last minute gas supply deals with methanol producer Methanex, plus demand response deals with major power users, were used to take pressure off the system.  Prices so far this year have been firm.  In March, prices neared $400 per megawatt hour (MWh) – compared with an average winter price between 2018 and 2023 of just $180/MWh.  Late last week, the daily average wholesale power price was around $159/MWh.  The aluminium smelting process requires constant energy. Under normal conditions, NZAS consumes about 12% of New Zealand’s total production.  Jamie Gray is an Auckland-based journalist, covering the financial markets, the primary sector, and energy. He joined the Herald in 2011.  Tue, 03 Jun 2025 00:19:27 Z /news/business/media-insider-trade-me-buying-50-of-stuff-digital-lucrative-payday-for-stuff-owner-sinead-boucher/ /news/business/media-insider-trade-me-buying-50-of-stuff-digital-lucrative-payday-for-stuff-owner-sinead-boucher/ Stuff owner Sinead Boucher, who bought the company for just $1 five years ago, has announced a partial sale of the company’s digital arm to Trade Me - a likely lucrative multi-million-dollar payday. As Media Insider first revealed in March, Trade Me - which has been in an intense battle with 九一星空无限’s OneRoof property platform - is buying into Stuff Digital, including the Stuff news website. Details of the price paid by Trade Me for the 50% stake have not been revealed in a press statement today. The parties say this is confidential but it is likely to be in the millions. “This is the first time since the management buyout of Stuff five years ago that I have accepted an equity partner into the business,” Boucher said in the statement. The timing comes on the fifth anniversary of Boucher buying Stuff for the nominal $1 sum from Australia’s Nine - and on the same day that shareholders from rival media firm 九一星空无限 gather for their annual meeting. The Stuff/ Trade Me deal is likely to be the focus of some attention at today’s 九一星空无限 meeting. Boucher said it was “important to me that we found the right partner at the right time in our growth strategy”. Under the agreement, Stuff’s property section will become Trade Me Property, with listings, advertisements and some content shared across both platforms. Trade Me has been under pressure in an increasingly competitive digital property classifieds market, where 九一星空无限’s OneRoof property portal has overtaken Trade Me Property in pure website audience terms in several recent months. Trade Me Property (with an audience of 779,000) did take back the lead from OneRoof (747,000) in April. Boucher said editorial independence and integrity were “intrinsic” to Stuff, and “Trade Me is committed to upholding Stuff’s editorial code of ethics and practice”. Stuff chief executive Sinead Boucher and Trade Me chief executive Anders Skoe. The companies announced that Boucher would chair the new Stuff Digital Ltd board, which will include Trade Me chief executive Anders Skoe, “with equal representation from both organisations”. “Stuff will retain operational control of the business through the chair’s casting vote. The 50% stake in Stuff Digital excludes Stuff Group’s Masthead Publishing business, Events and Neighbourly.” The deal - announced shortly after Media Insider sent questions to both companies this morning - “is subject to some standard conditions and expected to complete within the next few months”. All financial details of the investment remained confidential, said the statement. Skoe said the acquisition brought together “two highly successful Kiwi brands”. “This is an exciting investment to accelerate our growth.” Boucher said the deal provided “for brilliant new opportunities together, and for Stuff Group, continued investment in technology and talent for the future.” Skoe said the advantages of the deal were clear, particularly for Trade Me Property. As Media Insider reported in late March, the two companies have been in talks for what would represent a bold digital media move and a potentially big payday for Boucher. Neither company would comment specifically at the time and the report was later followed up by Stuff itself. In December, Stuff confirmed it had officially separated Stuff into two companies – Stuff Digital, which looks after the free Stuff and Neighbourly websites, and Stuff Masthead Publishing, which looks after the company’s publishing assets, including The Post, The Press and Sunday Star-Times newspapers and paywalled websites. A notice to the Companies Office on February 7 revealed a change in the number of shares for Stuff Digital – Boucher went from holding the single share in the business to being the sole holder of one million shares. Devon Funds head of retail Greg Smith told RNZ in March that increasing the number of shares might be a move to bring others into the company ownership. “Typically, when you have just one shareholder, a motivation for issuing new shares is potentially when you want to bring on additional shareholders. Stuff did not answer a set of specific Media Insider questions in March but said in a statement: “As in all previous inquiries regarding potential third parties interested in investing in the Stuff Group of businesses, we would never comment on whether discussions had been held or not.” Skoe also did not answer the specific questions at the time but said in a statement: “Trade Me has an ongoing commercial relationship with Stuff, which in recent months has included discussions regarding content sharing among other collaborations”. In response to a follow-up question asking specifically, again, about a possible acquisition, Trade Me said: “We won’t be commenting further”. Earlier in March, it was revealed NZ Herald owner 九一星空无限 had been in talks with Stuff about buying the other arm of the company – Stuff Masthead Publishing. Those talks were halted in light of what was then a brewing board battle at 九一星空无限. However, peace has since broken out at 九一星空无限, with a new board set to be confirmed today. It remains to be seen whether the new board is keen to resurrect talks with Stuff for the digital mastheads. The Commerce Commission A deal might yet be subject to Commerce Commission consideration. The commission has been approached for comment about the acquisition. In March, a spokeswoman said: “We haven’t had any discussions with the parties but can provide some broad comments about the merger clearance regime. “Filing for merger clearance in New Zealand is voluntary, so the decision whether to seek clearance from the Commission for a transaction sits with the merger parties. “However, if parties do not file for clearance, and the Commission forms the view that their transaction may have, or may have had, the effect of substantially lessening competition, the Commission can open an investigation into the transaction and ultimately take enforcement action which could result in significant penalties or a court reversing the transaction. “We assess mergers using the substantial lessening of competition test. This test asks whether a merger is likely to substantially lessen competition by comparing the likely state of competition if the merger proceeds with the likely state of competition if the merger does not proceed. “We will give clearance to a proposed merger if we are satisfied that the merger is unlikely to have the effect of substantially lessening competition in a New Zealand market.” Editor-at-Large Shayne Currie is one of New Zealand’s most experienced senior journalists and media leaders. He has held executive and senior editorial roles at 九一星空无限 including Managing Editor, NZ Herald Editor and Herald on Sunday Editor and has a small shareholding in 九一星空无限. Mon, 02 Jun 2025 23:29:34 Z /news/business/more-than-2000sq-m-of-north-shore-land-on-the-market-for-25m-but-it-s-a-mess/ /news/business/more-than-2000sq-m-of-north-shore-land-on-the-market-for-25m-but-it-s-a-mess/ A North Shore property stacked with derelict cars and rubbish is up for auction on June 19. The 2367sq m site includes a three-bedroom bungalow and is near Westlake Boys’ High School. Harcourts agent Ben Potter calls it a “golden opportunity” for development or landbanking. Fancy owning a junkyard worth $2.5 million? More than 2000sq m on Auckland’s North Shore is up for sale, marketed as “an excellent opportunity”. A Wairau Rd, Forrest Hill property covered in dense bush, derelict cars and other rubbish was listed nearly two weeks ago and will go up for auction on June 19. A Range Rover amid the junk. Photo / Trade Me The house on the 2367sq m plot, a three-bedroom, one-bathroom weatherboard bungalow, which listing photos show filled with even more rubbish, had a capital value of $55,000. It is a rear property down a long driveway, with Westlake Boys’ High School over the fence and the Northern Motorway and Busway about 40 metres from the house. It is in-zone for Forrest Hill, Takapuna Intermediate and Westlake Girls’ High schools. Harcourts agent Ben Potter said: “Whether you want to develop, landbank, or build your dream home, this property gives you many exciting options. “With such a great location and school zones, this is a golden opportunity you do not want to miss.” What items can you pick out in the overgrowth? Photo / Trade Me The property will be sold as-is-where-is. Photo / Trademe Photographs on the property listing show decaying vehicles, some filled with building materials and other hard rubbish, spread out amid the overgrown grass. Near the house, sheets of corrugated metal and wooden planks lie scattered, alongside discarded car and bicycle tyres. More junk includes lawnmowers, jerry cans, an exercise machine, bundles of kindling and window panes. Potter, who works for Harcourts Cooper & Co, told Stuff the owner was an elderly man whose family had owned the property for generations. He told Stuff the property was being sold as-is-where-is, including the rubbish. Sheets of corrugated metal and wooden planks sit against the house. Photo / Trade Me Real estate agent Ben Potter says there are at least 15 cars on the property. Photo / Trade Me There were at least 15 vehicles covered in undergrowth, Potter told Stuff, including a Holden Commodore station wagon, a Range Rover, and a Nissan S13, none of which appeared to be in good condition. The property has been zoned as Mixed Housing Urban and would be “great for multi-unit development”, Potter’s listing said. “I think any property is salvageable. Who knows? You could fix it up and put tenants in there, potentially,” he told Stuff. Mon, 02 Jun 2025 03:43:45 Z /news/business/sybos-sells-9519m-in-ebos-shares-reduces-stake-to-49/ /news/business/sybos-sells-9519m-in-ebos-shares-reduces-stake-to-49/ Sybos Holdings, a unit of Zuellig Group, said it had entered into a block trade agreement with a financial institution to underwrite the sale of about 27 million shares (13.2%) in Ebos Group at $35.50 a share. Following the sale Sybos - once a cornerstone shareholder - will have a 4.9% shareholding in Ebos. Sybos said it had agreed to an escrow arrangement with respect to its retained shareholding for a period of 90 days following the sale. Prior to the sale, Sybos said it had not sold any of its shares in Ebos since 2020 and it continued to remain supportive of the company’s business and announced strategy. “Sybos’ decision to reduce its ownership in Ebos supports diversification of assets and redeployment of capital to other growth opportunities,” Sybos Holdings’ Thomas Zuellig said in a letter to the Ebos board. “As you will be aware, we have not had any director representation on the Ebos board for several years and Sybos confirms that it does not possess any information that is not generally available that a reasonable person would expect to have a material effect on the price or value of Ebos’ shares,” the letter said. Ebos is the largest and most diversified Australasian marketer, wholesaler and distributor of healthcare, medical and pharmaceutical products in Australia and New Zealand. The sale went through the exchange this morning, with almost $27m shares, worth $951.9m, trading. In June 2020, Sybos sold 15m Ebos shares at $21.52, raising $322.8m. Ebos shares last traded on the NZX at $36.40, down $2.55 or 6.55%. With a market capitalisation of $7.4 billion, Ebos is one of the market’s biggest companies. Jamie Gray is an Auckland-based journalist, covering the financial markets and the primary sector. He joined the Herald in 2011. Thu, 29 May 2025 01:49:08 Z /news/business/official-cash-rate-announcement-banks-drop-interest-rates-after-reserve-bank-cuts-ocr/ /news/business/official-cash-rate-announcement-banks-drop-interest-rates-after-reserve-bank-cuts-ocr/ Retail banks have begun to cut their mortgage interest rates after the Reserve Bank dropped the Official Cash Rate from 3.5 to 3.25%. The Bank of New Zealand (BNZ) cut its fixed and floating mortgage rates yesterday, ahead of the Reserve Bank’s decision. And today, ANZ followed, announcing it would drop its floating home loan rate to 6.49% and its flexible home loan rate to 6.60%. Westpac then announced a special rate of 4.95% for home loan rates across one-, two- and three-year terms. The bank cut its variable home lending rates by 0.15%. ANZ said it would also lower its business floating rate from 5.05 to 4.80%. Rates for its serious saver account were to drop from 2.55% to 2.3%, and its online call and business premium call account rates will drop by 10 basis points. ANZ said the home loan rate changes will take two business days to take effect for new customers and four business days for existing ones. Grant Knuckley, ANZ’s managing director for personal banking, said: “We’ll always endeavour to provide the best rates for our customers. As people navigate the changing interest rate environment, we encourage our home loan customers to connect with the bank to ensure they are aware of all the options available to them. “For those who are considering locking in a fixed rate, this is also something most customers can do themselves in GoMoney. “Customers should be mindful that fixed rates have fallen considerably and generally reflect interest rate changes expected in this cycle.” Westpac’s general manager of product, sustainability and marketing, Sarah Hearn, said: “Today’s OCR [Official Cash Rate] cut should give consumers confidence that cost pressures are continuing to ease after several years of elevated inflation and interest rates.” BNZ cut its fixed-term rate to 4.89%, effective since yesterday. The bank’s six-month fixed home loan rate was cut to 5.35%. Its one-year rate will drop from 4.99 to 4.95%. BNZ’s standard variable rate was cut from 6.69 to 6.44%. James Leydon, BNZ general manager for home lending, said the bank was confident to pass on savings to home owners, saying there was wide expectation the Reserve Bank would cut the OCR today. “We know many of our customers are looking beyond the very short-term fixed rates as the interest rate environment evolves,” Leydon said. “By cutting our fixed rates across all terms, we’re giving customers more choice and the ability to lock in a competitive rate for a longer period. “Lower interest rates should also help relieve some pressure on household budgets by making borrowing more affordable.” Leydon said they were starting to see the impact of lower interest rates with increasing activity in the housing market. “The number of customers applying for home loans with BNZ in the six months to April 2025 has increased 20% compared to the same time last year.” BNZ said it was also opening all its branches five days a week to accommodate customer needs. Raphael Franks is an Auckland-based reporter who covers business, breaking news and local stories from Tāmaki Makaurau. He joined the Herald as a Te Rito cadet in 2022. Wed, 28 May 2025 04:01:13 Z /news/business/ocr-call-reserve-bank-expected-to-cut-rate-and-deliver-new-forecasts-for-future-cuts/ /news/business/ocr-call-reserve-bank-expected-to-cut-rate-and-deliver-new-forecasts-for-future-cuts/ The Reserve Bank has cut the Official Cash Rate by 25 basis points to 3.25%. The move was widely expected by economists and had been priced in by financial markets. “The New Zealand economy is recovering after a period of contraction. High commodity prices and lower interest rates are supporting overall economic activity,” the Reserve Bank (RBNZ) said. But recent developments in the international economy were expected to reduce global economic growth, it said. “Both tariffs and increased policy uncertainty overseas are expected to moderate New Zealand’s economic recovery and reduce medium-term inflation pressures. However, there remains considerable uncertainty around these judgements.” The New Zealand dollar was unchanged in the minutes following the 2pm release, at US59.43c.The vote to reduce the Official Cash Rate (OCR) was not unanimous. An option to hold the rate at 3.5% was discussed by the committee. “In considering the merits of holding the OCR unchanged at 3.5% for this meeting, some members noted that this would allow the committee to better assess whether increased economic policy uncertainty was having a noticeable impact on household and firm behaviour.” The committee voted on the two options. By a majority of five votes to one, the committee agreed to decrease the OCR by 25 basis points. Hawkesby faces a difficult balancing act with US trade policy creating a great deal of uncertainty about the economic outlook. Lower global growth projections, based on trade disruptions, have raised expectations that the RBNZ will have to cut the rate to a lower level than was forecast in February. At the time, the RBNZ was projecting a pause at 3.25%, with the prospect of cutting to 3% by the end of the year. Since then, commercial bank economists’ forecasts have shifted to a low point of 2.75% or 2.5% by the end of the year. “We think the end point for the RBNZ’s OCR track will be lower relative to the February MPS [Monetary Policy Statement] – reflecting the risks to growth, but not by as much as market consensus,” ASB economist Wesley Tanuvasa said. “We still think the RBNZ will need to provide modest policy support by way of a 2.75% year-end OCR. But it’s a highly uncertain and changeable environment, including for estimates of where the OCR ends up.” Westpac chief economist Kelly Eckhold said he expected the RBNZ would still assess the economy as being on a “recovering trend”. “However, it will probably view the recovery in domestic activity as somewhat weaker than hoped, but stronger than expected in externally focused sectors.” Eckhold expected the RBNZ to present downside and upside scenarios. Liam Dann is business editor-at-large for the NZ Herald. He is a senior writer and columnist, and also presents and produces videos and podcasts. He joined the Herald in 2003.  Wed, 28 May 2025 01:11:36 Z /news/business/bnz-cuts-home-loan-rates-ahead-of-ocr-decision/ /news/business/bnz-cuts-home-loan-rates-ahead-of-ocr-decision/ The Reserve Bank makes its latest OCR decision tomorrow at 2pm.  A 25-basis-point cut to the OCR is widely expected.  BNZ has the lowest fixed mortgage rate among major banks at 4.89%.  BNZ has cut fixed and floating mortgage rates ahead of tomorrow’s Official Cash Rate (OCR) decision.  BNZ now has the lowest fixed rate among the major banks after its 18-month offering fell to 4.89%, effective today.  Its six-month fixed home loan rate was cut by 14-basis-points (bps) to 5.35%.  BNZ’s one-year rate will drop from 4.99% to 4.95%.  The largest cut was to its four-year term, which fell 30bps to 5.39%.  BNZ was also dropping its standard variable rate from 6.69% to 6.44%.  James Leydon, BNZ general manager home lending, said the bank was confident to pass on savings to home owners with the Reserve Bank widely expected to cut the OCR tomorrow.  “We know many of our customers are looking beyond the very short-term fixed rates as the interest rate environment evolves.  “By cutting our fixed rates across all terms, we’re giving customers more choice and the ability to lock in a competitive rate for a longer period.  “Lower interest rates should also help relieve some pressure on household budgets by making borrowing more affordable.”  Leydon said they were starting to see the impact of lower interest rates with increasing activity in the housing market.  “The number of customers applying for home loans with BNZ in the six months to April 2025 has increased 20% compared to the same time last year.”  BNZ said it was also opening all its branches five days a week to accommodate customer needs.  Significant economic uncertainty  Financial markets and economists have priced in another 25 bps cut to the OCR tomorrow, which would take it to 3.25%.  So far 200 bps have been cut from the OCR since August last year.  “There is always significant uncertainty about the economic outlook and the corresponding appropriate monetary policy. But rarely is there the sort of uncertainty we are experiencing now, thanks largely to Donald Trump’s tariff policy gyrations,” BNZ head of research Stephen Toplis told the Herald earlier this week.  Forecasts for the OCR have shifted in recent months with a low point of 2.75% or 2.5% by the end of the year, compared with the previously expected 3% by the end of the year.  “We, and the Reserve Bank, follow the BNZ-Business NZ PMI and PSI closely for indications of the current state of the economy,” Toplis said.  “Unfortunately, these indicators, when combined, suggest that the acceleration in growth that we had bargained on starting soon may be under threat.”  Mon, 26 May 2025 23:05:59 Z /news/business/bar-c%C3%A9leste-announces-closure-ending-five-year-run-on-auckland-s-k-road/ /news/business/bar-c%C3%A9leste-announces-closure-ending-five-year-run-on-auckland-s-k-road/ Bar Céleste in Auckland will close in June. The venerated eatery opened on Karangahape Road in 2019. Owners Nick Landsman and Emma Ogilvie hinted at future projects. Popular central Auckland wine bar and neo-bistro Bar Céleste will close next month. After five years of operating on Karangahape Road, business owners Nick Landsman and Emma Ogilvie announced on Instagram they were winding down the business. “After five incredible years, Bar Céleste will be closing its doors on 14 June. We’re so grateful to everyone who has dined with us, supported us, and helped make this little spot on K Road feel like home,” they said. “There are still a few weeks to go — we’d love to see you for one last drink and to share a proper farewell." View this post on Instagram A post shared by Bar Céleste (@bar_celeste) Landsman and Ogilvie opened Bar Céleste in 2019, taking over the space formerly occupied by Revel Café. The relaxed wine bar was the couple’s first bricks-and-mortar operation, though they’d already built a loyal following in Auckland through their pop-up dinners under the banner La Pêche Projects. In a review that touted Bar Céleste’s French charm and late-night verve, Viva’s Dining Out editor Jesse Mulligan dubbed the self-styled neo-bistro Auckland’s best new opening of 2019 “by a long shot” and scored the restaurant 19/20. That same month, Canvas restaurant reviewer Kim Knight visited the eatery and described the restaurant’s signature dessert, a chocolate ganache served with flaky sea salt and olive oil, as “less of a pudding and more of a small, chocolatey bridge between how we used to eat and how we’d like to eat now”. Though their menu largely centred around modern reworkings of classical French dishes such as carottes râpées and bavette steak with beurre maître d’hôtel and jus, reflecting their time living and working in Paris, the couple also included culinary influences from closer to home. A version of raw fish salad otaika was often available on the menu as an homage to Ogilvie’s Tongan heritage. To meet market conditions during its half decade in business, the restaurant adapted its approach a number of times. During the Covid-19 lockdowns, the restaurant operated under the name Cantine, a takeaway-only model that served burgers, sandwiches and cookies. Bar Celeste's Oyster Happy Hour was a favourite with punters. Last winter, the restaurant rebranded as Pizzeria Céleste, a seasonal pizza bar pop-up serving New Haven-style pizzas and organic wines. Returning to its wine bar format in September 2024, the restaurant launched promotional campaigns to encourage business, including an Oyster Happy Hour in which the bivalves were offered for $3.50 each Wednesday-Saturday between 5pm and 6pm. Last year the business earned a spot on Viva’s list of Top 60 Restaurants in Auckland. Deputy Editor Johanna Thornton praised the restaurant’s adaptability and stated, “there’s no better place to enjoy a glass than Céleste’s outdoor tables in the early evening sun”. The closure sees Bar Céleste join a growing list of venerated Auckland Eatery’s winding down their operations in recent months. Last week Tokki, a celebrated Korean restaurant in Milford announced they would have their last service on June 21. In April Ponsonby Road Bistro announced it was closing after 18 years in operation, and Sid and Chand Sahrawat announced they were closing their restaurant Kol, citing challenging trading conditions. In December 2024 a quarterly report from the Restaurant Association of New Zealand outlined that national restaurants and cafes sales reached $1.8 billion, down 2.5% year on year, “underscoring continued challenges for dine-in services as customers tighten discretionary spending”. The report stated that 57% of surveyed Restaurant Association members reported worse or significantly worse profitability compared to the same period in the year prior. A downturn in customer numbers was cited as the biggest challenge for operators, with 38% of respondents identifying it as their primary concern. Announcing the closure of Bar Céleste the hospitality duo hinted at potentially re-visiting the format in years to come. “While this chapter is coming to a close, we’re looking forward to carrying what we’ve built at Bar Céleste into future projects — and we hope to cross paths with many of you again soon." Landsman and Ogilvie also operate Gloria’s, a sandwich deli in Downtown Auckland’s Commercial Bay precinct. The daytime eatery first opened in 2022, a few doors down from Bar Céleste on Karangahape Road, taking over the space that formerly held their natural wine shop, Star Wines. Mon, 26 May 2025 02:14:54 Z /news/business/summer-concerts-fuel-economic-growth-in-auckland-wellington-christchurch/ /news/business/summer-concerts-fuel-economic-growth-in-auckland-wellington-christchurch/ All three of New Zealand’s biggest cities received economic boosts of more than $10 million in the 2024/25 summer period, when live entertainment abounded. Councils and local businesses tell Mitchell Hageman what the results meant to them. Auckland Aotearoa’s most populous city was also its biggest event host, with$31.9 million gained between November and March. Tātaki Auckland Unlimited credits this to concerts from Pearl Jam, Coldplay, Luke Combs, Six60 and Synthony at The Domain, which contributed 212,900 visitor nights. “The biggest impact was created by British pop-rock band Coldplay, with 170,000 people attending across the three Auckland dates at Eden Park,” Nick Hill, the chief executive of Tātaki Auckland Unlimited, tells the Herald. “Accommodation occupancy peaked at 95.1% on Friday, November 15 – the night of the second Music of the Spheres Coldplay concert." Coldplay's three Eden Park concerts were responsible for a major economic boost in Auckland over summer. Photo / Hayden Woodward The economic and cultural agency also says the events heavily impacted the vibrancy of the city, as well as supporting small businesses, hotels and restaurants. “Major events also make Auckland a great place to work, live and play – providing vibrancy to our streets and venues and an uplift in social health and wellbeing," Hill adds. “Over the summer period, we saw an influx of visitors booking out hotels and flooding into cafes, bars and restaurants, and this is what ultimately helps many businesses get through the quieter periods.” Hospitality NZ chief executive Steve Armitage told the Herald last year that events such as concerts were “a real boost” for businesses, including hospitality and accommodation operators. “The run of Coldplay and Pearl Jam concerts in Auckland brought the city to life, filling our venues and restaurants with visitors keen to experience more than just the music." This sentiment was echoed by Claire Baxter-Cardy of the Kingsland Business Society, who said the hospo community had felt first-hand the positive impacts of the big Eden Park concerts. “We advocated quite strongly for Eden Park to get the additional concerts, because we know from, say, test matches or any of those large sporting events that there’s a 500 to 600% increase in business that night.” She said concerts saw a wider demographic of people come to the Kingsland area, with a similar increase in business for the hospitality sector of 500 to 600%. “If it’s a Saturday event, you’re getting these groups and families that will be there quite early, like for three or four hours before the event, really experiencing all the offerings around the Kingsland and Morningside area.” For the P!nk concerts in 2024, Baxter-Cardy said the owner of popular pizza joint Papa’s sold out. It was their first time opening again after being closed since the Auckland Anniversary floods. “It was so cool to see that happen. We are a community that is deeply passionate. It might be a husband or wife team, or it might be someone who owns a very small business that’s owner-operator driven. “Every time there’s a special event, we’re getting more and more involved in the activation side of things to make sure when people come into Kingsland or come into Morningside, that there are things for them to see, things for them to do, and things for them to be involved in, as well as the great hospitality that we have.” Wellington The capital received a $15.9m economic boost between December and March, according to tourism body WellingtonNZ. Between December 2024 and March 2025, the city hosted 72 events. WellingtonNZ reported 211,686 people attending events over that period. This included Jim Beam Homegrown’s final outing in the region, as well as sold-out comedy shows at the Michael Fowler Centre from the likes of Sarah Millican, Paul Smith, Jack Whitehall, and three Graham Norton shows. Nineties rave legends Groove Armada also performed to large crowds at the TSB Arena on the waterfront. “Events bring vibrancy, liveliness and atmosphere to Wellington for both locals and visitors – and this summer was no exception," WellingtonNZ events and experiences general manager Heidi Morton says. The final Jim Beam Homegrown festival to be held in Wellington helped contribute to the region's summer tourism boost. Photo / Andy McDonald Locals are seemingly on board as well, with recent research figures from WellingtonNZ revealing that 90% of Wellingtonians agreed that hosting events made Wellington a great place to live. Guests to the region were also 88% satisfied during their stay in the capital, according to the research. “Events don’t just fill calendars – they ignite civic pride and bring communities together. Wellingtonians are strong supporters of our events schedule and it’s important that continues,” Morton says. “The accommodation, hospitality and retail sectors have all seen a benefit from the breadth of events that have taken place over the last few months.” Wellington Chocolate Factory general manager Matt Williams agrees, saying major events and a stacked calendar are great not only for the business, but also for the city. “It’s really important that businesses make the most of the opportunities on offer too, think outside the square about how they can leverage what’s happening to drive foot traffic and build up some buzz.” Lydia Suggate, co-owner of hospitality venues Nolita, LBQ, The Botanist, Bebemos and Otto, says events are crucial for business owners during a tough economic climate. “Events in Wellington make a huge impact for our businesses, especially when people are watching their spending a bit more these days, as they like to plan where they’re going to spend their money.” Karaka cafe owner Paul Retimanu adds that events like Matariki and Mana Moana help bridge the gap during the quieter winter months but also give locals a reason to come out and enjoy the experiences. Christchurch For Ōtautahi Christchurch, it was Electric Avenue Festival’s two-day expansion in February that saw the biggest economic return over the summer, resulting in a visitor spend of $10.5m in the city. Featuring major headline acts like Empire Of The Sun, The Prodigy, and Chase and Status, the festival was the biggest event for local tourism body ChristchurchNZ and is believed to have produced the largest visitor spend of any Christchurch event since the 1974 Commonwealth Games. This summer, from December to February, there was a $12.4m visitor spend, which was just shy of the $12.8m spend of the 2023-24 December to February period. While the 2024-25 results are still in progress, ChristchurchNZ says the figures should come close to, but may not top, the $35.7m from the full year 2022-23. The FY22-23 period featured events such as an Elton John concert and a one-day Electric Avenue Festival. There were also strong survey figures from FreshInfo on behalf of ChristchurchNZ that supported the city’s efforts when it came to hosting large-scale events. 35,000 people packed into Electric Ave in Hagley Park this year, giving the city a major economic boost. Photo / George Heard The research found that 93% of resident attendees agreed that hosting events like Electric Ave increased their pride in Christchurch, and 96% agreed that hosting events like Electric Ave made Christchurch a more enjoyable place to live. “Ōtautahi Christchurch has proven the city has the infrastructure, experience, and capability to host major events,” Karena Finnie, ChristchurchNZ head of major events, tells the Herald. “With new venues coming on stream and the momentum we can see...we can indeed go bigger, although these opportunities require investment.” Various businesses also supplied feedback to ChristchurchNZ about the positive impact of Electric Avenue, including Chiwahwah and Zodiac restaurants’ general manager, Amanda Keenan. “We certainly saw an increase in sales, not just for Friday and Saturday [of the festival] but for the entire week,” Keenan says. “Overall, [there was] a 5% increase in sales for the week compared to the same week the previous month.” Keenan also says visitors are well-behaved during their visits, adding to the positive community experience. “Both Chiwahwah and Zodiac saw an increase in numbers through the door both nights, and our security team reported a significant decrease in denials due to intoxication compared to previous weeks, even considering the increase in headcount.” And with the opening of the new One New Zealand Stadium set to draw thousands to the region, there will continue to be more opportunities to draw punters to the region. Elsewhere across the country, events like the upcoming Metallica concert in Auckland and WoW and Peppa Pig’s Fun Day Out in Wellington are also set to give these regions an economic boost in 2025. Mitchell Hageman joined the Herald’s entertainment and lifestyle team in 2024. He previously worked as a multimedia journalist for Hawke’s Bay Today. Mon, 26 May 2025 02:09:16 Z /news/business/kiwisaver-cut-off-for-government-contribution-nears-why-funds-could-last-30-longer/ /news/business/kiwisaver-cut-off-for-government-contribution-nears-why-funds-could-last-30-longer/ June 30 is the last date for KiwiSaver members to get the $521.43 Government contribution before it is halved from July 1. Minimum employee and employer KiwiSaver contributions will rise to 4% by 2028. The Retirement Commission says KiwiSaver changes announced in Budget 2025 should result in KiwiSaver funds lasting 30% longer. The cut-off is nearing for KiwiSaver members to receive the Government’s full contribution – the last time before it halves. For every $1 a member pays into KiwiSaver up to $1042.86 each year, the Government puts in 50c – or $521.43 annually. But from July 1, the Government contribution is decreasing to 25% (or 25 cents for every $1 contributed) to a maximum of $260.72. The annual cut-off to receive the Government contribution is June 30. Despite the decrease in Government contributions, the Retirement Commission says most KiwiSaver funds should last 30% longer under new changes announced in Budget 2025. Those changes include minimum employee and employer KiwiSaver contributions moving from 3% to 3.5% from April 1 next year and then to 4% from April 1, 2028. This would offset decreases in the Government contribution. Analysis from the Retirement Commission found the contribution change should increase retirement savings for around 80% of contributing KiwiSaver members. For a 35-year-old on an average salary of $80,000, the change in contribution from 3% to 4% could result in a 25% higher KiwiSaver retirement balance at age 65. A 16-year-old earning $30,000, who is not currently contributing but intended to begin contributions at 18 pre-change, is modelled to have about 26% more in additional savings between 2025 and age 65, compared to 22% for a currently contributing 16-year-old. “Our findings show that the increase of the default employee and employer contribution settings could result in retirement funds lasting on average approximately 30% longer than under the pre-Budget 2025 settings for median salary and wage earners who contribute without interruption over a 40-year working life,” said Retirement Commissioner Jane Wrightson. But for the about 200,000 members receiving only a Government contribution – including self-employed workers – the changes will result in a decrease in their KiwiSaver retirement savings balance, the analysis found. “It’s clear further work needs to be done to consider how we can better support the other 20% who are missing out on savings, which includes low-income earners, the self-employed and many women, Māori and Pacific peoples,” Wrightson said. The Retirement Commission said $1 billion was spent on the KiwiSaver government contribution last year. About two-thirds (2.2 million) of KiwiSaver members received a government contribution, with 77% of those receiving the full amount of $521.43. Finance Minister Nicola Willis told Ryan Bridge on Herald Now that the changes to KiwiSaver would provide people with “a lot of financial security” and “a much bigger nest egg”. Asked whether Kiwis would be worse off overall – by paying more now for our retirement later – Willis responded: “I just don’t accept that at all”. “We are also doing other pro-growth, pro-wages policies including Investment Boost and other growth initiatives, so that overall we’re confident that wages will keep growing,” Willis said. Mon, 26 May 2025 01:05:41 Z /news/business/fonterra-divestment-not-about-waving-the-white-flag-says-chief-executive-miles-hurrell/ /news/business/fonterra-divestment-not-about-waving-the-white-flag-says-chief-executive-miles-hurrell/ Fonterra seeks strong support from farmer shareholders for divesting its consumer brands and Oceania assets. Chief executive Miles Hurrell emphasised the need for a strong mandate to proceed with the proposal. Hurrell argues a simplified co-operative structure would enable faster growth in new areas. Fonterra will be seeking “strong support” from farmer shareholders when the board puts a proposal to them for the divestment of its consumer brands and the co-operative’s Oceania division assets in Australia and New Zealand. “If you’re getting 50% plus a tickle-up, it doesn’t really give you the mandate or the endorsement,” Fonterra chief executive Miles Hurrell told BusinessDesk. “We’d be seeking something from farmer shareholders that gives us the strong support that we want, to go forward with this.” Hurrell and his management team have been building a case to those shareholders that a simplified co-operative structure would support faster growth. “It’s not about waving a white flag, it’s about saying we’re going to go harder and faster on new areas. It starts with what we’re good at,” Hurrell said. Read more on BusinessDesk. Sun, 25 May 2025 23:36:46 Z /news/business/turners-profit-up-17-eyes-early-2028-targets-amid-economic-challenges/ /news/business/turners-profit-up-17-eyes-early-2028-targets-amid-economic-challenges/ Turners Automotive reported another record profit for the March year, despite challenging New Zealand economic conditions. The result capped off what the company said was a decade of sustainable growth. Turners’ dividends have grown almost threefold, from 10 cps in 2025 to 29 cps in 2025. The company’s net profit came to $38.6m, up 17%. ”The resilience of this result demonstrates a diversified platform to navigate extremely challenging economic conditions,“ the company said. “With strong momentum in place, the business now moves into its next stage of growth and is on track to reach its 2028 full year targets earlier than expected.” Turners said its outlook for 2026 pointed to a recovering New Zealand economy, which would cement in a return to margin growth, with anticipated further growth in profits in 2026. In its result, Turners said its revenue eased 1% to $414.2m in the year. The company’s net profit before tax came to $54.3m up 10% and well ahead of its own earnings guidance. Earnings before interest and tax came to $62.3m, up 6%. The final dividend was 9.0 cps, taking the full year dividend to 29 cps, up 14%. Auto retail revenue and profits were down for the year, reflecting New Zealand’s economic downturn and a tough consumer environment. “However, margins and volumes improved in the second half, supported by disciplined pricing, a shift to domestic sourcing and repositioning inventory to lower priced cars,” the company said. Turners Finance achieved strong revenue and profit growth, as the interest rate environment became a tailwind with net interest margin building. Arrears remained well below market levels and the loan book continued to expand with improving quality metrics and a prudent provisioning buffer maintained, it said. Insurance delivered solid revenue and profit growth, with momentum building in the digital/direct to consumer platform. Jamie Gray is an Auckland-based journalist, covering the financial markets and the primary sector. He joined the Herald in 2011. Sun, 25 May 2025 22:31:37 Z /news/business/popular-auckland-restaurant-tokki-announces-impending-closure/ /news/business/popular-auckland-restaurant-tokki-announces-impending-closure/ Tokki, in Milford, will close on June 21, 2025, after three years of operation. Chef Jason Kim opened the restaurant in 2022, offering modern Korean cuisine and earning high praise. The closure follows other recent hospitality shutdowns, with Tokki expressing optimism for new beginnings. Popular Milford restaurant Tokki is set to close its doors three years after it opened. The business announced its impending closure on Instagram. “After three incredible years of sharing our take on modern Korean cuisine with the Auckland community, we have made the decision to close the doors of Tokki,” the post reads. “This journey has been filled with unforgettable moments, beautiful connections, and so much gratitude. What began as a small restaurant became a space for creativity, stories, and a deeper expression of Korean flavours.” The Tokki announcement said the team were “stepping away not out of loss, but to make space for new beginnings”. “We thank you, our guests, friends and supporters for being a part of this chapter. We hope to welcome you in the coming weeks as we celebrate Tokki’s final season.” The restaurant’s last day of service will be Saturday, June 21. Tokki chef and owner Jason Kim migrated to New Zealand when he was 13. His family opened a small Korean restaurant in Birkenhead. After working in the family business, Kim earned a Diploma in Culinary Arts at Auckland University of Technology, while gaining experience in some of Auckland’s leading eateries such as Jervois Steak House and Euro. He worked alongside chef Sid Sahrawat at The Grove and Sidart before opening his own restaurant, Gochu, in Auckland’s Commercial Bay in 2020. Chef Jason Kim opened Tokki in 2022. Kim opened Tokki in 2022. The restaurant’s name is a direct translation of the Korean word for rabbit. According to its website, the animal serves as the restaurant’s symbol because Kim was born in 1987, a year of the rabbit. “Tokki was born to represent our head chef Jason Kim’s spiritual animal, with the main purpose of encouraging customers through a Korean taste palette adventure like no other,” the website said. The restaurant implored customers to follow it “down the rabbit hole into Jason’s culinary adventures”. Tokki's signature dish is a crispy chicken wing stuffed with prawns. Photo / Babiche Martens Reviewing the restaurant shortly after it opened, Viva’s resident dining-out editor Jesse Mulligan praised the “sensational” food. “It’s all a great mix of refined cheffery and hot comfort food and, between courses, you get to enjoy the room and drink from one of the best short wine lists in the city,” Mulligan wrote. “For a local, this is a no-brainer; for those south of the bridge, it’s worth a special trip.” The Milford restaurant featured in Viva’s Top 60 Auckland Restaurants For 2024, with deputy editor Johanna Thornton saying Kim had “brought some magic to Milford” with a “charming 26-seat restaurant serving a seasonal, Korean-inspired menu alongside a serious, 12-page drinks list that includes standout New Zealand wineries and rare cellar bottles”. The restaurant is welcoming customers until its last service and will honour all outstanding vouchers up to this date. “If you have a Tokki gift voucher, we warmly encourage you to visit us and use it before our final day of service.” The closure is the latest in a string of hospitality shutdowns. Last month, Ponsonby Road Bistro owner Blair Russell announced he was closing the business after 18 years, with the restaurant having its last dinner service on May 3. In April, Sid and Chand Sahrawat announced they would close their restaurant Kol, citing challenging trading conditions. Fri, 23 May 2025 20:17:13 Z /news/business/pals-founders-mat-croad-and-nick-marshall-surfing-buddies-to-rtd-moguls/ /news/business/pals-founders-mat-croad-and-nick-marshall-surfing-buddies-to-rtd-moguls/ “It’s a hell of a burden to have on your shoulders,” says Matt Croad, co-founder of drinks brand Pals. He could be talking about the tough economy, which he says the company is feeling to some extent. But he’s not. In this case, the big stress is picking the new flavours and colours for the Pals RTD range, which has built its brand on a soft pastel palette of sophisticated fruit flavours. “When it’s finally released into the market. It’s not like a celebration moment. It is for the team, but for Nick and I, it’s just this huge sigh of relief.” It’s no small thing for a drinks brand that has built its reputation on fresh flavour and a colourful non-gendered approach to look and feel. “I think the portfolio has to adapt over time, which is quite hard because you get your loyalists who are like, not the pink one or the yellow,” says Croad partner and long-time pal Nick Marshall. “How can you kill those flavours? But there’s a mixture of data, there’s some intuition, there’s some trend-based stuff.” Being in a consumer business, you have to be adaptable, he says. “For us it’s making sure that we’re not always chopping and changing, but we are trying new things and still taking risks...which has definitely been part of our business model from day dot.” For the record, Croad and Marshall aren’t about to give away what the next flavour will be. The pair have been friends since they were 11. So the Pals name is pretty apt. They founded the drinks company in 2019 with another old friend, broadcaster Jay Reeve (and his wife Anna). But in a sense, it’s a partnership that was forged at Ōtūmoetai College in Tauranga and in years of surfing at Mount Maunganui. But despite that early connection, the pair have had long and different career paths. Both studied commerce at university, although Croad went to Waikato and Marshall headed to Otago. Apart from catching up during summer holidays, that’s where their paths diverged for many years. Marshall’s career path is a diverse one. He started out in sales – selling HRV air conditioning systems door to door, before moving to real estate and then heading to Australia to work in mining. “I always, from quite a young age, wanted to do my own thing. What that was gonna materialise into, I never really knew, but I tried a lot of things,” he says. Croad took a more traditional corporate path. He started straight out of university in marketing roles in the fast-moving consumer goods (FMCG) sector. He ended up in senior marketing roles for NZ Wine Cellars and Woolworths. It was from there that the passion for building something in the liquor industry started. Croad and Marshall had stayed in touch. “It was sort of like a once every few months [we’d] Skype and talk about different business ideas,” Croad says. There was always a plan to start a business of some sort, he says. “It just got to a point, it was like, let’s just start something. It may not be 100% the right option from day one, but it’s gonna give us the learnings to evolve.” So the pair (with the Reeves) started a wine brand in 2016. “Wine was really trending and in particular, rosé was trending,” Croad says. “It was the big rosé boom globally. That was when people were already starting to move out of beer and looking for other alternatives. So we decided to jump into it.” “We knew at that point it probably wasn’t gonna be our business unicorn.” But the idea of a drinks brand that appealed across genders was something they started to think about at that point. It was really tough, he admits. “The wine business is as hard as it gets. It’s so price-driven.” He says they created an “amazing brand and learned plenty along the way”. “And that’s where I guess the idea of something like Pals started to be formed.” Pals was born of necessity to some extent, Marshall says. “We were looking at all sorts of things. “We were quite innovative, doing the first five-litre bottles, we did a collaboration with Stolen Girlfriends Club, which was an amazing brand partnership, we looked at wine-based slushies, wine-based ice blocks, you name it, we tried it.” Eventually, though, they realised it was selling wine itself that was the problem. “Growing something that changes every year, and the yields are different and the quality. We wanted to take back that control and actually make something that we were really, really proud of, that we could make consistently the best product that we could.” Looking back at the almost immediate success of the Pals brand, it all seems quite obvious, Marshall says. “But at the time, it was actually quite novel.” There were plenty of RTDs on the market, but people would bring a couple to a party and try and hide them, he says. “No one really resonated with the brands, that’s where we felt we had real connection with consumers.” Croad credits the success to a combination of small things they got right with the brand. “[It was] the little incremental things that were hard, more expensive,” he says. The goal was to create the best product they could afford to. “That meant there were no shortcuts in terms of sourcing the most premium spirits, in using real fruit extracts...Central Otago peaches etc.” When it comes to how they approach the financial side and generally deal with money, Croad says he has a highly analytical approach. “Not through choice. It’s just how I’m wired. For me to make any decision with a financial implication, I look at every possible scenario there is.” Marshall admits he started with a more relaxed attitude to money. “Early on, it was whatever came in went out, and [his spending] was mostly experience driven,” he says. “For me, money has always been more of a freedom thing than it has been about buying stuff. I’ve certainly stuck with that. But I’ve learned over time that, for a rainy day, it’s good to have some in the back pocket. Mat’s been really good for that.” “We’ve grown up and we are a proper business now with official titles and proper responsibilities.” It isn’t always easy and the business environment has been tough. “I don’t think it’ll be news for anyone,” says Marshall. “That’s rising input costs, less discretionary spending, just the general challenges out there that most businesses are facing.” “We’ve seen it in our industry. It’s not just us, which makes us feel not alone, which is good. And it just feels like the cycles of business. This is a bit more of a prolonged one, but nothing that we can’t get through.” Listen to the full episode to hear more from Mat Croad and Nick Marshall. Money Talks is a podcast run by the NZ Herald. It isn’t about personal finance and isn’t about economics - it’s just well-known New Zealanders talking about money and sharing some stories about the impact it’s had on their lives and how it has shaped them. The series is hosted by Liam Dann, business editor-at-large for the Herald. He is a senior writer and columnist, and also presents and produces videos and podcasts. He joined the Herald in 2003. Fri, 23 May 2025 02:11:08 Z /news/business/hamilton-to-australia-flights-the-start-of-huge-opportunity-for-regional-airport/ /news/business/hamilton-to-australia-flights-the-start-of-huge-opportunity-for-regional-airport/ International flights will return to Hamilton Airport after a 13-year hiatus. Danielle Zollickhofer checks out the upgraded terminal before travellers start checking in. It’s almost time for Hamilton Airport’s first international boarding call since 2012 - and the airport is more than ready. An empty duty-free space, a bit of sawdust, and no queues in front of the customs or security check are the only hints that there are still a couple of weeks to go until the airport’s new chapter starts. Waikato Regional Airport chief executive Mark Morgan said the team was excited to see the Jetstar flights from Hamilton to Sydney lift off on June 16. Flights to and from the Gold Coast will start on June 18. “This is the beginning of a huge opportunity,” Morgan said. While the airport team was “very much focused” on establishing the new Jetstar flights, Morgan said there was potential for further expansions. “We look to expand international services and start domestic jet flights in the future, but like any business decision this needs a measured approach. “Hamilton seems very appropriate for expanded trans Tasman and Pacific Island services, but we are currently not in active conversations - you [have to] walk before you run.” Morgan said “well into the future” a strong commercial business case and an investment in infrastructure would allow Hamilton Airport to consider the potential to accommodate flights to Asia. Waikato Regional Airport Ltd chief executive Mark Morgan, board chair Barry Harris and the Hamilton Airport team after last year's announcement that direct flights between Hamilton and Australia will resume. Photo / Stephen Barker However, it wasn’t the airport that decided which international services would arrive and depart from Hamilton. “It‘s the airlines. Our role is to make sure airlines know about us. We’re the enabler, not necessarily the instigator. “Once we are established [with the Sydney, Gold Coast services], the next opportunity will probably be domestic jet services.” Preparations for going international Morgan said conversations with Jetstar about flights from Hamilton to Sydney and the Gold Coast started about 15 months ago. Last September, the parties were ready for an announcement. The new security check and customs area at Hamilton Airport. Photo / Danielle Zollickhofer A lot of work had gone into preparing the airport for international flights again, Morgan said. “We had to have conversations with key border agencies, like MPI, customs et cetera to see if they would establish a border here. “It was around a $7 million investment.” No extension of the runway or airport building was required, with Morgan saying the airport always had the space, it had just been used in other ways, including for offices. In 2022, the existing terminal received a $15 million upgrade, including structural strengthening. For the international flights, the team had to set up a new terminal, with security check, duty-free store, café, baggage claim and a departure lounge to accommodate 230 passengers. Waikato Regional Airport chief executive Mark Morgan at the new international security check and customs area. Photo / Danielle Zollickhofer There is also the option to separate a part of the lounge for domestic jet aircraft flights. Morgan said the biggest challenge, but also the most important component had been establishing an international border in Hamilton. “The operational set up was a challenge, there will be 40-50 border staff here that needed to be employed and trained. “Our location close to Auckland Airport and the Port of Tauranga was an advantage for this. “It’s important for us to be a safe first point of entry - efficient and protected.” HLZ International flight history The last airline to fly internationally from Hamilton was Virgin Australia, which announced in August 2012, it would pull the plug on its service due to deteriorating demand and the service losing the company money. Hamilton Airport is owned by five Waikato councils. Photo / Hamilton and Waikato Tourism The final Virgin Australia flight flew from Hamilton to Brisbane on October 27, 2012, ending 18 years of transtasman flights. Morgan said Hamilton Airport always remained open to be an international airport again, but it hadn’t been a priority for airlines until the end of 2023. When asked if he was concerned about repeating history, Morgan said a lot had changed in the past 13 years. “It is a use it or lose it deal. If our local catchment doesn’t use this service, the airlines can redeploy services. “But the airport company has a robust balance sheet and Hamilton is the fastest-growing city in New Zealand. “Our catchment now is not only Waikato, but Rotorua, Taupō, Bay of Plenty and Coromandel and I would go as far as saying New Plymouth. “[Jetstar] wouldn’t be doing it if we couldn’t back it up. “What happened last time is always in the back of people’s minds but we are feeling confident.” When the flights were announced last year, Jetstar Group chief executive Stephanie Tully said the airline was in a period of “unparalleled growth” in New Zealand. “As the country’s only low-cost airline, Jetstar provides critical competition in New Zealand and helps keep travel affordable for Kiwis.” Flight details The first service from and to Sydney will take place on June 16. Going forward, this will operate four days a week on Monday, Tuesday, Thursday, and Saturday. The first service from and to the Gold Coast will take place on June 18. Going forward, this will operate three days a week on Wednesday, Friday, and Sunday. The aircraft used will be a 188-seater A320 Neo. Jetstar, a subsidiary of Qantas, will become the fourth airline using Hamilton Airport. Other carriers include Air New Zealand, Sunair and Originair. Morgan said the services would bring benefits to the Waikato, including a $45m economic boost per year, 60 new airport-based jobs and 100,000 more passengers per year using Hamilton Airport, on top of 360,000 passengers already handled. Australian visitors currently account for 19% of international visitor spend in the Waikato. This story has been updated to clarify the investment made to welcome international flights to Hamilton. Fri, 23 May 2025 01:32:43 Z