(Calgary) Consolidating carriers Swoop and Sunwing Airlines under the WestJet banner won’t result in higher airfares because integrating low-cost carriers will also cut costs, the chief executive argued Wednesday. WestJet executive Alexis von Hoensbroech.
In a phone interview, the big boss pointed out that Canada’s second largest airline would be able to move planes more easily within its fleet and expand its range of destinations for travelers to the looking for cheap tickets.
Like rivals Flair Airlines and Porter Airlines, WestJet aims to expand its operations significantly over the next few years. It has placed orders for 61 Boeing 737 aircraft over the next five years, in addition to holding an option for 20 additional aircraft.
Over the past two weeks, the Calgary-based company told employees it would be closing Swoop at the end of October and Sunwing Airlines over the next few years, integrating the two lines into WestJet’s core business while maintaining the division. Sunwing tour packages.
Some experts have warned that the mergers will lead to less competition and higher airfares, especially for sun destinations.
While competition remains intense and prices are low on major Canadian routes, such as between Toronto and Vancouver, fares to sun destinations, US cities and European hotspots have all increased over the past year.
