The launch of Canadian start-up CanJet has been scrapped by the Nova Scotia-based IMP Group, which blames the decision on Air Canada's near-monopolistic position in the domestic sector after its takeover of Canadian Airlines. CanJet was to have operated out of Hamilton, Ontario. In addition, Air Canada plans to start its own discount carrier out of Hamilton, dubbed Air CanadaLite. Services to Canada and the USA are expected to start late this year. At the same time the Canadian Government is moving to push through legislation preventing Air Canada from abusing its position in the domestic market. It is also opening up some scheduled routes to Europe to Transat and Canada 3000.
Source: Flight International
