Plans to Launch a New Canadian Carrier

[flopnfly]

    Plans to Launch a New Canadian Carrier

Four former WestJet Airlines Ltd. executives are drawing up plans to launch a new Canadian carrier. The fledgling venture's first round of private financing has been oversubscribed and the second phase is now under way, industry sources say. Using the name NewAir & Tours, the business model is still being fleshed out, but the goal is to fly travellers in smaller cities to larger centres and U.S. holiday destinations.

Calgary-based NewAir believes it will carve a niche by pursuing routes either neglected or underserved by WestJet and Air Canada. NewAir’s service could begin as early as spring 2008.

While NewAir would likely initially focus on Western Canada, the venture could easily expand into Central Canada.

Porter Airlines Inc., which celebrated its first anniversary this week, currently flies from its base at Toronto's island airport to Montreal, Ottawa and Halifax. Porter hopes to expand within four years to smaller Ontario sites such as Sault Ste. Marie and Sudbury – two cities that would also fit NewAir's target market.