After getting kicked out a few years ago, Air Canada will return to Toronto City next year. (It was called Toronto City Centre Airport back then, the airport has since been renamed Billy Bishop Toronto City Airport.)
Air Canada says it will provide “up to” 15 flights per day to Montreal starting in February. If it does fly all 15, that would use up all 30 slots it received back in June.
The flights will be operated with Bombardier Q400 aircraft – and not by Jazz Air. While it was never certain Jazz would be serving the airport – it was reported earlier this year that the new Q400s that Jazz will be receiving next year could be used for Toronto City service.
Instead, Air Canada has formed “capacity purchase agreement with Sky Regional Airlines Inc., an associated company of Skyservice Business Aviation” for the service. (While the former CEO of Skyservice Airlines is the CEO of Skyservice Business Aviation, there’s no link to the defunct airline.)
“Selection of Sky Regional Airlines was based on a number of criteria including a competitive cost structure, a proven track record in customer service excellence and experience maintaining Dash 8 Q400 aircraft,” says Air Canada, who also notes that it “maintains a strong commercial relationship” with Jazz.
Air Canada did not mention how the aircraft would be configured in its news release. The Q400s that are headed to Jazz will seat 74 passengers. Porter’s aircraft seat 70. There’s also no word on how the flights will be branded and what livery the aircraft will wear. (For example, Air Georgian B1900s are painted in a livery close to the mainline colors.) The airline did not respond to a request for comment.
I’m also interested to see if Air Canada differentiates the product at all. Porter makes a point of providing a premium experience to its passengers.
And speaking of Porter, what does this mean for them? Fortunately, Air Canada’s number of slots puts a limit on competition, but 15 frequencies on a route like Toronto – Montreal is a big deal. Continental was also awarded slots at Toronto City, though the airline has yet to announce any service. (I would guess the slots would be used for Newark service.)
Naturally, Porter must provide a competitive schedule – which they’re already doing by flying more frequencies than Air Canada will. Price is of course a factor, and we’ll have to see if passengers will choose Porter for its amenities, such as its cushy lounges in Toronto or complimentary wine and beer onboard.
Meanwhile – the airline must continue to improve its financial results. The carrier lost $4.6 million (Canadian) in 2009, though it did turn a net profit of $455,000 in the last quarter of the year.
Porter’s traffic results continue to be interesting – with an 8.2 point boost in load factor during September, to 55.8%, on a 79.9% traffic boost while capacity rose 53.5%. Though without any revenue data we don’t get the full picture.
The airline also needs to keep on growing – though it does have a limit as to what it can do out of Toronto City. I’ve tried to take a stab at it before, but the airline said in its IPO filing it is focusing on routes under 800 miles. And it will also be very interesting if a U.S. codeshare partner were to emerge.









Basically, Air Canada had to bring an A319 down to Orange County, push in some newspapers to make the airplane weigh as if it was carrying passengers, and do a few takeoff runs. This is primarily due to Orange County’s strict noise abatement policy. I guess SNA has some vocal NIMBYs.
Latest Comments