Core Viewpoint - Air New Zealand is cutting 5% of its flights, approximately 1,100 services, due to surging jet fuel prices caused by the ongoing conflict in Iran, which is disrupting travel globally [1][6]. Group 1: Flight Reductions - Air New Zealand will reduce its flight capacity by about 5% through early May, affecting both domestic and international routes [6]. - Approximately 44,000 customers out of 1.9 million will need to be reaccommodated due to these flight cuts [3]. Group 2: Impact of Fuel Prices - The airline, along with others like Qantas Airways and Thai Airways, has announced airfare hikes in response to the spike in fuel costs, which has been exacerbated by the Middle Eastern conflict [1][5]. - Oil prices have surged, with predictions that they could reach $200 per barrel, further straining the aviation industry [2]. Group 3: Industry-Wide Effects - The conflict has led to significant disruptions in air travel, with many airlines canceling flights to and from the Middle East and seeking alternative routes [2][7]. - The aviation industry is experiencing its worst crisis since the COVID-19 pandemic, with airspace closures and rising fuel prices contributing to this situation [6].