Tourism New Zealand says taxpayer funds spent lobbying the Letterman show to secure the Prime Minister's 2009 appearance was money well spent.
An American public relations firm, Hill & Knowlton, is on retainer for about $20,000 to $30,000 a month to promote New Zealand in the United States.
Tourism New Zealand says the company was paid up to $10,000 to lobby for John Key to appear on The Late Show with David Letterman, negotiate any terms and conditions, and undertake preparations for his appearance.
It says it was excellent value for money as the exposure for New Zealand was so significant.
The Labour Party says Mr Key was happy to present the appearance as a personal coup, but was not so open about the fact that money had to spent first to secure it.
