Australia watchdog rejects Air NZ-Air Canada pact

SYDNEY (Reuters) - Australia's competition watchdog on Thursday refused to approve a cooperation agreement between Air New Zealand and Air Canada , saying it would harm competition on the Australia-Canada route.

In a draft determination, the Australian Competition and Consumer Commission said it would deny the airlines the authority to put the agreement into effect. "Air New Zealand and Air Canada are two of the four main carriers on the route," it added.

(Reporting by Mark Bendeich)