Investment research firm Morningstar expects the company's first half pre-tax loss of 59-million dollars to balloon to 125-million by the end of this financial year.
It says maintenance, labour and airport costs all increased more than expected.
Forsyth Barr Research Head, Andy Bowley, says the only question is how big Air New Zealand 's next half year loss will be.
He says it's going to be similar or worse than the first-half, and the concern is how much worse.
