22 replies to this topic

[GDR]

I hate to think what will happen when WJ gets its Q400's. AC & Jazz should have locked up the production line for some time to come by replacing all of the Dash8-100's and growing the airline by starting some of the routes that WJ is now undoubtedly going to serve.

I don't see how AC can in the long run focus on the international. As WJ sucks up more and more of the domestic they will just start eating away at the international with their international alliances.

[boestar]

Currentl Fleet Jazz Aviation:

757-200    6
CRJ-100    17
CRJ-200    26
CRJ-705    16
DHC-100    37
DHC-301    14
DHC-311     14
DHC-400     11

Total active fleet 141 aircraft

Not all of these aircraft are operated under the Jazz-AC CPA and are operated for Charter use only.  The 757s are exclusively Thomas Cook aircraft.

[jkavafian]

GDR, on 21 February 2012 - 04:07 PM, said:

I don't see how AC can in the long run focus on the international. As WJ sucks up more and more of the domestic they will just start eating away at the international with their international alliances.

There is not enough international feed traffic in secondary markets to worry about. All you need are the top seven or eight cities which account for over 95% of all international traffic: Toronto, Montreal, Vancouver, Calgary, Edmonton, Ottawa, Winnipeg (and add one of Victoria/Halifax/Quebec/City/St. John's). If you are connecting those cities, which Air Canada already is, you don't need to worry about the rest. The additional cost of getting the feed from those smaller centres does not cover the potential revennue. Remember that a passenger from Rouyn/Noranda to Paris may pay a premium and on the surface it might appear that's a high yield fare, but you have to look at the overall cost of providing that service year-round and match that with the few passengers who actually do fly international. And I believe that number is very small.

Edited by jkavafian, 22 February 2012 - 06:35 AM.