You're right WestJet has changed. Some people made suggestions and guesses - some were wrong, some were right. WestJet today/tomorrow isn't the WestJet of yesterday. Not sure what point you're trying to make?
On the surface it's easy to suggest there are similarities of WS vs. AC circa 2002 or whatever and Flair vs. Swoop/WestJet. I say there isn't. Back then AC's costs were around 40% higher than WJ. Back then AC was losing billions of dollars a year. Back then AC launched Tango and Zip - really, just repainting some planes and not doing much else to lower costs (I stand to be corrected, I don't recall any initiatives that drove lower costs for either). Back then pricing was more or less all-in - none of the ancillary fees you see today.
The environment today is very much stripped down. In the ULCC space - a space that hasn't been touched since Flair started operating - you pay for a seat and that's it. What's it worth? I don't know the answer. But everything else costs money - a drink, your bag, a boarding pass, a change fee, preferred seat, etc. Swoops costs are significantly lower than WJ's and in-line with Flairs. I watched back in 2004-2005 when Jetsgo decimated the Canadian industry. People criticized WJ for taking too long to react to the competition (Jetsgo). The launch of Flair and others (Jetlines? Whatever the Enerjet is attempting to launch as) forced WJ to react. WestJet couldn't compete with Flair - it's costs are too high (there's a similarity for you!). Launching Swoop was a competitive move to be competitive and open up a new market.
I'll be the first person to admit I am wrong if Flair succeeds in its suit. I just don't see it happening.