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Air Canada to Launch LCC in 2013

Air Canada to Launch LCC in 2013

Air Canada plans to launch a new low-cost carrier subsidiary in 2013 to help it better compete in the international market. The LCC will operate up to 30 Airbus A319s 20 Boeing 767-300ERs – transferred from the Air Canada fleet – and serve leisure destinations in the Caribbean and Mexico, and possibly Europe and Asia.

Air Canada B767-300

Air Canada’s Executive Vice President and Chief Financial Officer, Michael Rousseau, said: “The launch of a LCC represents growth of Air Canada flying. Although we are not yet in a position to confirm specifics of the business the venture will enable us to return to some markets we have had to abandon previously and enter new markets where we can’t currently compete effectively.”

The announcement follows 19 months of negotiations with the International Association of Machinists and Aerospace Workers (IAMAW) and the Air Canada Pilots Association (ACPA) through binding arbitration, which ended with an arbitrator selecting Air Canada’s final offer at the end of July.

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NEIL STEEDMAN has been a trade journalist, editor and proofreader for 53 years, and ITTN's News & Features Editor for 43 years. His travel blog is at www.thetravelbuddhist.com.

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