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Air Canada stops its service between Toronto and Charlottetown because of WestJet

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  • Air Canada stops its service between Toronto and Charlottetown because of WestJet

    yyznews.com
    Air Canada has announced today that it will discontinue its year-around service between Toronto and Charlottetown because it is livid about the PEI government's subsidies for rival WestJet Airlines Ltd. Air Canada will be placing advertisements in local newspapers in PEI this week to notify travellers about the airline's withdrawal, beginning in October. PEI Premier Pat Binn's government had lured WestJet to launch service in the province by providing about $500,000 in marketing and revenue incentives. WestJet made its PEI debut on June 28th with a daily Toronto-Charlottetown service through to September 15th. Air Canada points out that it uses profit from the summer to bolster weaker winter months to maintain the route year-round, so the carrier is disturbed that the government chose to subsidize WestJet at the height of tourist season. "Despite numerous discussions and meetings with PEI officials, including the Premier, over the past few months, we were unable to come to an agreement that would have levelled the playing field and enable Air Canada to maintain its year-round service," said spokeswoman Laura Cooke. Air Canada through its Jazz subsidiary, will continue to provide year-round flights to Halifax and Montreal from Charlottetown

  • #2
    just shows you who the People and the Government want there!!!

    Da BoB

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    • #3
      shows how much class they have too.....riding the greyhound of the canadian skies!

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      • #4
        Air Canada is still operating all of its other services, only the YYZ service is cut. Years ago AC was ordered by the feds to operate from YYZ to all of the provincial capitals. They did. Even in winter the YYZ-YYG-YYZ service operated but with such a crummy load factor for an A319 (average 47 pax per flt) AC went to the CRJ. Of course we all know how great the CRJ-100 series is!

        PEI (with a population lower than the County of Peterborough where I live) kept asking for more and more services that were unprofitable and AC said they can't do more non-stop YYZ-YYG-YYZ flights. There are a number of connecting flights through YUL and YHZ.

        Then the PEI government gives Westjet $500,000 to operate there this summer. If Westjet stays past mid September it will be a miracle because those B737's will be empty. Add that to the number of times YYG is closed for snow or high winds in the winter. How long will Westjet last?

        Even after crummy weather had closed YYG for days in past winters AC would put an A319 on the YYZ-YYG-YYZ flight just to move the pax, the bags and the cargo.

        I guess Premier Binn's thought he had a good plan.

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        • #5
          The Gander (YQX) airport authority gave Westjet one year free from landing fees, office rentals etc. As soon as the free ride was over, it was bye bye westjet. Expect the same here.

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          • #6
            Originally posted by onlyboeingifly
            shows how much class they have too.....riding the greyhound of the canadian skies!
            Have you flown WJ before?? They are hardly the greyhound of the canadian skies. I don't recall greyhound getting awards for their customer service. If any canadian airline was the greyhound of the skies it would have clearly been SG.

            AC is just whinning cause for a change someone else got some gov't money and it wasn't them, seriously AC should stop their whinning. Its not like AC has not received countless gov't subsidies, they just can't handle it when another airline gets free money. Suck it up AC

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            • #7
              Originally posted by BlueMatt
              AC is just whinning cause for a change someone else got some gov't money and it wasn't them, seriously AC should stop their whinning. Its not like AC has not received countless gov't subsidies, they just can't handle it when another airline gets free money. Suck it up AC
              ... but (unless I missed reading something), there is no binding agreement with Westjet. They could come and leave whenever they wish, so they can pretty much make their bucks and get their butts out

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              • #8
                Gees Blue Matt where have you been? AC is a private company now. When it was government owned and ordered to fly to every rinky dink airport that the government wanted them to they had to do it.

                Why is PEI making a fuss? Because the airline they have never given a subsidy to has told them "see you next summer". This is no different from other non government airlines that show up in the busy season to skim the cream and then blow away for the winter.

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                • #9
                  Question Dale, what is so bad about the CRJ 100? I have never been on one so what up?

                  PS - Now I want to fly on one for the experience...
                  My Flickr Pictures! Click Me!

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                  • #10
                    The CRJ-200 has higher performance engines. The 100 series engines are CF34-3A1 (General Electric) and the 200 has CF34-3B1 engines. The 200 has better performance in hot and high areas. Thus on the YYZ-ATL run the 100 is weight restricted practically all summer while the 200's get in and out with fewer weight restrictions.

                    Max take-off wgt for a 100 is 21,523k (47.450lb) and the 200 is 24,040k (53,000lb). The 200 is a better performer.

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                    • #11
                      It is no real surprise that the PEI government offered such a deal to Westjet in the first place. Golfing is a huge tourist industry for PEI and having no jet service could be a burden to the tourism industy. They just signed a deal that benefits both groups.

                      Air Canada lost out...similar to the Yukon (Air North) and isn't happy about it. What about Saskatewan...aren't they without Air Canada service soon.

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                      • #12
                        Yes the Saskatchewan routes move to JAZZ CRJ-700's in October. There will be an increase in service to 4 flts a day.

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                        • #13
                          Air Canada is still technically serving PEI...just using the Jazz wing of the operations. I fail to see what the big fuss is.

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                          • #14
                            The Gander (YQX) airport authority gave Westjet one year free from landing fees, office rentals etc. As soon as the free ride was over, it was bye bye westjet. Expect the same here.
                            ... but (unless I missed reading something), there is no binding agreement with Westjet. They could come and leave whenever they wish, so they can pretty much make their bucks and get their butts out
                            You both bring up valid remarks... WestJet is in the game to make money, and if the Premier of PEI is going to be silly enough to make such agreements with WestJet... then who cares... it's a win in the pocketbook for WS.

                            shows how much class they have too.....riding the greyhound of the canadian skies!
                            Considering WestJet has a more favorable domestic product than AC on almost all competing routes, that's a pretty silly remark.

                            Oh... and your name indicates a strong love for Boeing... how many Airbuses does WestJet have in their fleet.. and how many does AC currently hold..?

                            AC is just whinning cause for a change someone else got some gov't money and it wasn't them, seriously AC should stop their whinning. Its not like AC has not received countless gov't subsidies, they just can't handle it when another airline gets free money. Suck it up AC
                            Very true.. but since when has AC backed down from a snivelling bitch fest? AC has rolled around in taxpayer dollars many times in the past...

                            Oh.. and let's not forget AC received cash in return for flying the YUL-YYG route back in 2001... talk about hypocrisy at it's finest.

                            It is no real surprise that the PEI government offered such a deal to Westjet in the first place. Golfing is a huge tourist industry for PEI and having no jet service could be a burden to the tourism industy. They just signed a deal that benefits both groups.
                            Exactly... the Premier is looking out for the best interests of his province and if he believes bringing in tourists on more favorable aircraft (737 vs CRJ-100), then he has every right to do so.

                            What a ridiculous bunch of drivel from AC as of late.
                            My Jetphotos.net Images

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                            • #15
                              "Considering WestJet has a more favorable domestic product than AC on almost all competing routes, that's a pretty silly remark."

                              Where is your proof? Air Canada won "Best North American Airline" Westjet did not.

                              "Oh.. and let's not forget AC received cash in return for flying the YUL-YYG route back in 2001... talk about hypocrisy at it's finest."

                              Again where is your proof of this? As a Crown Corporation Trans-Canada Airlines and Air Canada were funded by the Federal government as TC/AC was the flag carrier and the airline was in place to operate routes that the government decided they wanted covered.

                              "What a ridiculous bunch of drivel from AC as of late."

                              You sound like someone from Ontario who has moved to the West and now sounds hard-done-by.

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