Brian Dunn/MONTREAL
Skyservice Airlines has joined the growing list of carriers moving to fill the void left by Canadian Airlines.
The Toronto-based aircraft maintenance, executive aircraft and charter operator plans to create a new full-service airline modelled on Virgin Atlantic, targeting Canadian business travellers. The unnamed airline plans to begin daily services in November between Vancouver, Calgary, Edmonton, Winnipeg, Toronto, Montreal, Ottawa and Halifax. Daily flights to a few key US destinations will also be offered.
The company's business plan calls for its fleet of five Airbus A320s and A330-300s to rise to nine in time for its November launch, and hopes to add another nine before its third year of operations. Negotiations with leasing company Orix are underway. To finance its expansion, the firm has hired Research Capital Group of Toronto, to raise C$50 million ($34 million) in a new share offering.
Skyservice currently operates its Airbus fleet on charters for various tour operators including Toronto-based Sunquest Vacations and Alba Tours, which are both subsidiaries of the UK's Airtours.
The new airline joins WestJet of Calgary which recently began operating in eastern Canada, CanJet of Halifax, which also announced plans to begin domestic services, while Canada 3000 is to expand and boost services in the Canadian market.
Some analysts are sceptical about the fledgling airline's ability to lure business travellers away from Star Alliance member Air Canada. "Any airline that takes on Air Canada will not be successful, because business travellers tend not to like airlines that don't offer frequency," says Jacques Kavafian of Yorkton Securities, Toronto.
But Skyservice chairman and chief executive Russell Payson says he is not about to take on Air Canada. "We are targeting the price-sensitive and connecting business traveller from international airlines that are not Star Alliance partners."
Source: Flight International
