robsaw

As long as Jazz/Chorus is operating the flights under a CPA it would seem costly and confusing to change the main AC Jazz brand. Brand recognition is high value, changing it without a good reason is risky.

YEG USER

I agree that brand recognition is high, but think that AC's brand recognition is much higher than Jazz's. I don't think there would be any risk in removing the "Jazz" name, especially if Jazz is changing its name anyways (IMHO Chorus would have zero brand recognition).

IIRC about a year ago AC took steps to remove "Jazz" from much of its signage at airports, etc. as people were getting confused by the difference between AC and Jazz. Now at airports you see all the flights listed on screens as AC (whereas before a lot were listed as Jazz), and I believe AC counters, etc. now typically say Air Canada instead of Jazz.

What will the branding be for the YTZ flights operated by skyservice? I highly doubt these will be "Air Canada Jazz." What happens if skyservice operated flights are expanded to other routes? Will it be more confusing to have other airline brands added to the mix.

IMHO, now would be a time for AC to implement a system similar to the US airlines where there is typically 1 regional brand operated by various carriers. For example, UA Express has several airlines that provide service (operated by Sky West, Republic Airlines, etc.). I think it would be better to have something like Air Canada Regional (or something else, keeping in mind that the word would have to be the same in english and french), where all tier 2 airlines are branded in a similar manner.

I agree that it would be costly to do this (and repaint all planes, etc.). I would suggest that AC/Jazz not repaint planes immediately, but repaint planes at times when planes would go for their regular repainting (I have no idea what that cycle is).

CPYVR

Per the article:

"Although the income fund will change its corporate name to Chorus with the conversion, its planes will continue to be branded Jazz."

tcook052

http://www.financialpost.com/news/Di...263/story.html


When Jazz Air Income Fund converts to a corporate structure later this year, it will cap a year of intense diversification and chart a course for the future.


In the past 12 months, the regional affiliate of Air Canada not only took an equity interest in South American carrier, Pluna Líneas Aéreas Uruguayas S.A., but also struck a bold new partnership with Thomas Cook Canada Inc. that will see it begin flying its largest planes to date, Boeing 757-200s, and pit it against Air Canada on flights down south this winter starting on Nov. 5.


But both moves were important steps in Jazz’s diversification away from its long-standing partnership with Air Canada, which currently accounts for about 99% of Jazz’s sales.


With so much change afoot, Joseph Randell, Jazz chief executive, said a name change was also appropriate post-conversion, with the company deciding on Chorus Aviation Inc.


“We wanted to have a name that was really reflective of what our plan is in terms of continuing to grow and diversify the business,” Mr. Randell said in an interview Tuesday. “We selected a name that was reflective of a few things coming together in harmony, which is what a chorus is.”

why fly

you dont invest in an airline to make money in North America

CorSter

Does AC not own the trademark "Air Canada Jazz", and simply license it back to Jazz Air? If so, a name change makes perfect sense now that they're expanding their focus beyond simply AC.....

Wonder if the YTZ flights will be branded "Air Canada Jazz" despite not being operated by Jazz Air, or if Jazz Air has an exclusive license to the "Air Canada Jazz" trademark.

Rejuvenated

Well with a Chorus, they'll definately havemore singing. Unlike Jazz where most are instruments being played with little singing.

tcook052

http://www.montrealgazette.com/busin...902/story.html

Unitholders in Jazz Air Income Fund, the regional affiliate of Air Canada, approved a plan Tuesday to convert to a corporate structure and change its name to Chorus Aviation Inc.

The move, which is still subject to court approval, was approved with 99.9% of the votes cast in favour of the plan, which is expected to be completed on Dec. 31, 2010.

jlisi984

Staying in a musical thing, eh? Air Canada Chorus...

LeSabre74

Not according to this photo from yyznews.com

Solomon2

Very cool picture! AC has a slick logo, looks way better than if it were Jazz.

tcook052

http://online.wsj.com/article/BT-CO-...09-717149.html

TORONTO (Dow Jones)-Within hours of Jazz Air LP (JAZ.UN.T) securing approval for its plans to convert into a corporation, the income trust fund's units nosedived amid concern its promised dividend isn't sustainable.

global happy traveller

i wonder what the lyrics would be like if chours breaks a person's guitars

tcook052

http://www.newswire.ca/en/releases/a.../04/c8208.html

HALIFAX, Jan. 4 /CNW/ - Chorus Aviation Inc. ("Chorus") confirmed today that the previously announced plan of arrangement providing for the conversion from the income trust, Jazz Air Income Fund ("the Fund"), to the dividend paying corporate structure, Chorus, has been completed. As a result of the conversion, Fund Unitholders will receive one share of Chorus for each unit held.

The new Chorus shares will be posted for trading on the Toronto Stock Exchange ("TSX") with the trading symbols of CHR.A (for the new Class A Variable Voting Shares) and CHR.B (for the new Class B Voting Shares) on January 4, 2011. As part of the conversion Chorus has assumed all of the obligations of the Fund's convertible debentures which will also be posted for trading on the TSX on or before January 4, 2011 under the trading symbol CHR.DB. The Fund's trust units and convertible debentures (TSX: JAZ.UN, JAZ.DB) will be de-listed by the TSX.

"Completing this corporate conversion is a key step in support of our growth strategy," said Joseph Randell, President and Chief Executive Officer, Chorus. "As a corporation we intend to continue to offer our shareholders one of the industry's highest dividends and long-term value. The new organizational structure to be put into place upon conversion will help facilitate a strategy of growth and diversification."

The board of directors of Chorus has established a dividend policy pursuant to which a fixed dividend is anticipated to be paid to Chorus shareholders on a quarterly basis. The amount of any dividends payable by Chorus will be at the discretion of its board of directors and will be established based on certain terms and conditions. It is anticipated that dividends will initially be set at $0.15 per Chorus share per quarter, with the first Chorus dividend to be declared in respect of the quarter ending March 31, 2011.

It is anticipated that the corporate structure of Chorus will attract new investors, and provide a more active and attractive market for its shareholders.

Chorus, like its predecessor Jazz Air Income Fund, is subject to restrictions on voting by non-residents under the Canada Transportation Act. As previously described in the Fund's proxy circular, Registered Unitholders who have delivered the required Declaration of Canadian Status with their Letter of Transmittal and non-registered Unitholders have provided the required information as to their Canadian status to their nominees will receive one Class B Voting Share per unit held and non-Canadians and person who have not completed such Declarations will receive one Class A Variable Voting Share per unit held. Any former registered Unitholders who have not yet completed such forms are urged to do so and any former non-registered holders who have not provided the required information to their nominees should contact such nominees.

Unitholders are also advised to contact their own tax advisors to obtain tax advice in connection with the conversion. The exchange of units of the Fund for shares in the capital of Chorus will trigger a capital gain or capital loss depending on each Unitholders' circumstances. If the exchange of units for shares results in a capital gain, eligible Unitholders may obtain a partial or full tax deferral by filing a tax election with the Canada Revenue Agency. You may request a tax election form and tax instruction letter from the Fund by writing to Investor Relations at 310 Goudey Drive, Enfield, Nova Scotia, B2T 1E4 or by fax at 902-873-2098.

The final cash distribution of $0.05 per unit for Unitholders of the Jazz Air Income Fund covering the period from December 1, 2010 to December 31, 2010 was segregated for the benefit of Unitholders prior to December 31, 2010 and will be distributed on January 10, 2011 to Unitholders of record at the close of business on December 31, 2010 without any further action on the part of such Unitholders.