What an article!!
Can you imagine if AC said the same thing!
http://www.canada.com/national/nationalpost/financialpost/story.html?id=6eba8d6c-6af4-4523-bfb8-c3ed2b031135
http://www.flyertalk.com/forum/showthread.php?t=424550&page=1&pp=15
Page 1, Sebring's post.
Since the link won't be there for long
There is a familiar tune being sung around the Calgary airport these days. After watching its shares skyrocket following Jetsgo Corp.'s March 11 collapse, Calgary-based WestJet Airlines Ltd. is borrowing a page from an earlier era, calling on Ottawa to guard against the future rise of "irrational, irresponsible" airline competitors in the market.
WestJet executives, who next week will report to shareholders on their progress in returning to profitability after posting a first-ever quarterly loss in February, made the submission earlier this week to the House of Commons Standing Committee on Transportation.
Exchange Magazine - Daily Business and Economic Development News ::
National Coalition Calls for Greater Competition in Wireless OTTAWA - Canada needs to permit new competitors in the wireless sector to ensure consumers are
http://www.exchangemagazine.com/html/newpublic/Q2-week-7-2007.htmHOME |
Sean Durfy, WestJet's executive vice-president of marketing and sales, went a step further in a recent interview when he questioned whether Canada is a big enough market to support more than two coast-to-coast airlines. "Two strong healthy airlines is a win-win for the industry and for the consumers," he said.
His comments immediately drew the ire of industry observers. Several were quick to point out there were two major air carriers -- Air Canada and Canadian -- when WestJet launched its business in 1996. Nevertheless, it quickly won over travellers with its exceptional service and rock-bottom air fares, allowing it to expand across the country.
The Montreal Tribune::
$10 fee for baby-free zone? Don't believe the rumours, WestJet says U.S. competition that highlights wacky and obvious consumer product warnings.
http://www.angelfire.com/mt2/montrealtribune/page_16.htmlHOME |
Canadian VAR, reseller and IT integrator channel resources ::
Policy review panel recommends easing regulation, CRTC reform. By: CN Staff (5/9 /2006 8:58:26 AM). The CRTC ruling on local competition follows the release
http://www.itbusiness.ca/it/client/en/CDN/archive.asp?cid=4HOME |
"It's appalling hypocrisy," said Doug Reid, a professor of business strategy at the Queen's School of Business. "They've clearly undergone a transformation from being the upstart, aggressive carrier to being fat, dumb and happy defenders of the status quo. They're becoming the new Canadian Airlines."
Untitled::
File Format: PDF/Adobe Acrobat - View as HTMLinternational competition. Our Association continues to thrive and be . be WestJet, CanJet, First Air, Canada 3000, Royal Aviation, Skyservice, and Air
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While that comparison is a bit of a stretch -- Canadian was wallowing in more than $1-billion of debt prior to its 1999 "merger" with Air Canada, whereas WestJet has, until recently, enjoyed multiple quarters of consecutive profitability -- it still highlights the extent to which WestJet has matured as an airline.
In particular, the airline's executives now recognize the low-cost market is essentially WestJet's to lose -- a threat that was highlighted by Jetsgo, whose rapid expansion and infamous $1 fare promotions helped drive down air fares, eroding the profit margins of the entire industry in the process.
"I'm certainly not one to put more regulation into an industry," Mr. Durfy said. "I think rational competition in the marketplace is healthy. But irrational, irresponsible competition is no good for anybody."
His comments are clearly aimed at Jetsgo, which, prior to its decision to cease operations and file for bankruptcy protection, was roundly criticized for operating on a shaky financial footing. Analysts charged Jetsgo was too reliant on paying today's bills with money pulled in from advanced ticket sales -- a model that proved unsustainable.
Mr. Durfy said WestJet is proposing Ottawa require all air carriers to hang on to the money taken in from advanced ticket sales until the airline actually delivers its services. "That was our major concern and recommendation -- that if airlines can't keep that ratio in balance, then maybe their operating certificates should get taken away."
Ben Cherniavsky, an analyst with Raymond James Equity Research, said he understands WestJet is trying to maintain its profit margins, but more government regulation is not in the best interest of Canadians or the industry.
"Frankly, I find what WestJet is proposing to be incredibly self-serving," he said.
A day late and a dollar short :o - I didn't realize it was buried somewhere else
 What dress should i wear for an interview ?
 Financial Representative =Insurance salesman?
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WestJet suggests Ottawa regulate competition