After NewLeaf, Canada may get 2 more ultra low cost airlines
Canada has aggressively protected its existing airline industry from foreign investments and takeovers with a key regulation, one that restricts foreign ownership to 25%.
On November 3rd, the Canadian government announced its intention to increase the foreign ownership limits to 49% (no single investor to own more than 25% ). While this is yet to pass the parliament as a regulation, the government has approved an immediate exemption for two Canadian airlines – Calgary based Enerjet and Richmond (British Columbia) based Canada Jetlines Ltd. , that had applied for an increase in foreign ownership limits. This is incredible news for the two players that have been trying to break into the low cost carrier market and brings tremendous growth potential in the Canadian aviation industry. This may also be a big boost to Bombardier and the C-Series jets that traditionally target this segment.
If you are interested, more details and stats on my blog, here - http://travelupdate.boardingarea.com...cost-airlines/