FlyerTalk Forums - View Single Post - Transport Minister Lapierre to move fast to allow U.S. airlines to fly within Canada
Old Feb 9, 05, 6:37 pm
Join Date: Jan 2005
Location: Seattle, WA
Programs: AC Elite
Posts: 298
Originally Posted by yyzprincess
It cannot come soon enough. Just had a rude agent on SE Desk.Unfortunately it is too late for me to book YYZ-YUL for Sunday with UA via ORD,so I hung up called Westjet and booked with them. What a pleasant experience. So I will lose some status miles and will not have MlL access.
AC has continued to give its passengers poor service in spite of JETSGO & WESTJET,because they know that status hungry passengers will continue flying them. AC does not see Jetsgo & WJ as a threat.
With US Airlines within Canada,AC will be forced to improve its service,no longer the only game in town for status hungry passengers.
AP Benefits will improve.Like getting 100% status miles on all non-Tango fares as we do on transborder.
We'll get 100% benefits, sure, until AC is bought out or bankrupted by some other airline(s). Then that's the end of *A in Canada.

And as for the "status hungry" passengers, I am quite sure that the 180 or so pax on a typical 767 YYZ-YVR are not all looking for status; they are looking for a good flight time, a meal, a safe plane, decent service, and connections, all at a competitive price.

All the US airlines will do is continue to lose money, get bailed out by their government, offer cheap "loss leader" fares, force the other Canadian carriers to follow suit, and then reap the rewards when AC goes belly-up! I am talking about the most pessimistic situation mind you, but does anyone see a long term healthy, profitiable AC out of this measure? Does Milton think that AC can compete and win against the US carriers? Will AC compete with US hub cities? Maybe AC will start its own hub in St. Louis? New Orleans? Can't see it.

This argument parallels free trade agreements I know. Free trade ultimately drives further competition, and improves pricing and service, as long as the protectionist barriers are not there. In the end, the hope is that we end up with the winner being the consumer whom will reward the airline with the best safety, value, and service out there. My hope is that AC doesn't go bankrupt trying to be that way, as three other US carriers currently are and as AC just was.
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