AC increases YYC-LHR, decreases YEG-LHR for S15
Feb 23, 2015, 8:05 am
#106
Join Date: Dec 2011
Posts: 2,237
Also please spare us the AC is cutting capacity in Edmonton crap - Its cutting LHR on the whole it will deploy something like 15% (the stat was posted somewhere from the horses mouth in a press release/news piece) more seats to the airport this year. Thats not a cut.
Personally I think once there are 787-8s to spare Edmonton will get LHR back for the summer. The higher density configuration will give them back a cost advantage of KLM -AirFrance, HD has allowed them to be more aggressive with KLM-AF in the east.
Personally I think once there are 787-8s to spare Edmonton will get LHR back for the summer. The higher density configuration will give them back a cost advantage of KLM -AirFrance, HD has allowed them to be more aggressive with KLM-AF in the east.
As for more AC flights out of YEG, adding more Q400's to match Westjet Q400's and calling it adding flights is comical
Feb 23, 2015, 8:21 am
#107
Join Date: Aug 2010
Posts: 3,130
Another pull down from a foreign carrier serving Canada.
US (AA) have cut YOWCLT. There goes another 18,000 seats. FFS
I don't want to give AC more credit than they deserve but Ottawa/Gatineau > South Florida is a (relatively) huge market. CLT feeds Southeast USA. AC extends YOWFLL year-round, goes double-daily on some days .... And now we get the cancellation of YOWCLT. Hard to argue US/AA's decision to cut was not heavily impacted by AC.
In the last 18 months, AA (and US) have pulled over 60,000 annual seats out of Ottawa market. This "undersupplied" talk needs to go away
US (AA) have cut YOWCLT. There goes another 18,000 seats. FFS
I don't want to give AC more credit than they deserve but Ottawa/Gatineau > South Florida is a (relatively) huge market. CLT feeds Southeast USA. AC extends YOWFLL year-round, goes double-daily on some days .... And now we get the cancellation of YOWCLT. Hard to argue US/AA's decision to cut was not heavily impacted by AC.
In the last 18 months, AA (and US) have pulled over 60,000 annual seats out of Ottawa market. This "undersupplied" talk needs to go away
Frankly, can't be bothered with developments on one route, but you're entitled to believe what you want. Compare prices on YVR-LAX to YOW-LGA/DCA to get a better idea of what under supply means.
Feb 23, 2015, 9:00 am
#108
Join Date: Jul 2005
Location: Ontario, CAN
Posts: 5,813
Oh, OK. So the demand for Canadian air travel to their largest market has declined precipitously? Can one assume we're no longer undersupplied?
Feb 23, 2015, 10:02 am
#110
Suspended
Join Date: Mar 2013
Location: YVR
Programs: AC SE*2MM. SPG Plat life
Posts: 4,644
The US carriers are at a disadvantage to AC now - while both have to buy fuel in US dollars, AC gets revenue from US Pax in USD that covers a substantial portion of that. Unfortunately US carriers get Canadian revenues in CAD.
So when it comes to employees AC can augment its fuel bill with USD and pay its crews and staff in CAD. The US airlines can pay for nothing in CAD. Air Canada's relative cost of labour (biggest airline expense) is dropping, while it may not have the same fuel gains as the US carriers it has the effect of a broad across the board cost cut at AC.
And if you don't think this is a factor take a look at when the US carriers really started flying to all of the cities in Canada (like YQR and YXE) - it was when the Canadian dollar was much closer to par in a better economy. If you look across the board the US carriers are on retreat. YHZ->ORD is done for example... I never flew on it when it wasn't full... Me thinks this is just the beginning.
Also please spare us the AC is cutting capacity in Edmonton crap - Its cutting LHR on the whole it will deploy something like 15% (the stat was posted somewhere from the horses mouth in a press release/news piece) more seats to the airport this year. Thats not a cut.
Personally I think once there are 787-8s to spare Edmonton will get LHR back for the summer. The higher density configuration will give them back a cost advantage of KLM -AirFrance, HD has allowed them to be more aggressive with KLM-AF in the east.
So when it comes to employees AC can augment its fuel bill with USD and pay its crews and staff in CAD. The US airlines can pay for nothing in CAD. Air Canada's relative cost of labour (biggest airline expense) is dropping, while it may not have the same fuel gains as the US carriers it has the effect of a broad across the board cost cut at AC.
And if you don't think this is a factor take a look at when the US carriers really started flying to all of the cities in Canada (like YQR and YXE) - it was when the Canadian dollar was much closer to par in a better economy. If you look across the board the US carriers are on retreat. YHZ->ORD is done for example... I never flew on it when it wasn't full... Me thinks this is just the beginning.
Also please spare us the AC is cutting capacity in Edmonton crap - Its cutting LHR on the whole it will deploy something like 15% (the stat was posted somewhere from the horses mouth in a press release/news piece) more seats to the airport this year. Thats not a cut.
Personally I think once there are 787-8s to spare Edmonton will get LHR back for the summer. The higher density configuration will give them back a cost advantage of KLM -AirFrance, HD has allowed them to be more aggressive with KLM-AF in the east.
Feb 23, 2015, 10:21 am
#111
Join Date: Feb 2013
Location: Never home.
Posts: 2,971
So, right now AC decided the 763 and slot pairs are better used to YYC an extra 4x/week than daily YEG. Logic would suggest if AC had a spare 788, they would put it on YYC which is not only more profitable but could use a capacity bump.
Feb 23, 2015, 10:32 am
#112
Join Date: Aug 2010
Location: YVR
Programs: aeroplan Elite, Priority Club. HHonours
Posts: 314
Don't forget. . . . not too many years ago Ac had 3 (that's THREE) daily flights YVR to LHR vs BA 1. Now its 1 a day for AC vs BA's 2. I realize aircraft size comes into the discussion but BA runs 2 x 747's vs Ac's single HD 777.
Feb 23, 2015, 12:27 pm
#113
Join Date: Dec 2014
Location: YVR
Programs: Bottom feeder Star Gold
Posts: 2,652
BA flies once daily to YVR. In the summer, I believe they increase to 10x/week, but it's certainly not double daily. Not sure what the implications of VS' retreat may mean for frequencies to LHR by AC/BA.
Feb 23, 2015, 5:50 pm
#114
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I think you may want to re-think this US $ thing. AC does not have a advantage, but has a disadvantage with the low CDN $. First, US airlines have a lower operating cost(Wages, Fee, Benefits, Labour rules). AC has a lot of capital costs in US dollars. Finally, I would say most of AC US flights are Canadian pax, paying in CDN $, where US airlines flights, mostly have US pax, paying in US $.
(not to ignore the slight bias as well, as a dual citizen would be required to enter the USA on a US passport, even if they reside in Canada.)
Feb 23, 2015, 7:20 pm
#115
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Location: YVR
Programs: AC SE*2MM. SPG Plat life
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No-on AA (sample routes: YYZJFK, YYZMIA, YVRDFW), the amount of Canadian and US passport holders is about equal (for YYZJFK) and Canadians are the majority (on the last 2 routes.)
(not to ignore the slight bias as well, as a dual citizen would be required to enter the USA on a US passport, even if they reside in Canada.)
(not to ignore the slight bias as well, as a dual citizen would be required to enter the USA on a US passport, even if they reside in Canada.)
Feb 23, 2015, 8:05 pm
#116
Join Date: Aug 2010
Posts: 3,130
Meanwhile KL is adding flights to YEG (incidentally, what this thread is about) - marking a significant increase in international capacity to YEG (KL wiil be offering ~50,500 seats). AF is coming to YVR. TK has increased its capacity to Canada by ~70%, and AC and WS have both increased their capacity by over 6% over the past year (and those are just the examples of the top of my head - wait till Transport Canada's annual report comes out). All of this in a country with a population growth rate of 1.2%. Let me know where these seat fillers appeared from; apparently they didn't exist 1-2 years ago.
But, as you've pointed out, the only important thing to note here is that US cut 18,000 seats to Ottawa, which basically negates all the capacity increases above because...well...I don't know, but you do.
As for your biggest market, Canadian travel to the US in Dec 2014 was 8.6% lower than it was in Dec 2013. Go figure. Its on the Statscan website.
Last edited by yulred; Feb 23, 2015 at 8:13 pm
Feb 23, 2015, 9:29 pm
#117
Join Date: Aug 2010
Posts: 3,130
Unless I'm reading the timetable wrong (entirely possible), its 12 weekly, with a second flight on M, T, W, S, S
Feb 24, 2015, 12:25 am
#118
Join Date: Apr 2006
Location: YYZ
Posts: 595
YOW is a Star Alliance market these days - I doubt YOWPHL will last much longer either.
Feb 24, 2015, 12:33 am
#119
Join Date: Nov 2012
Location: BGI (ex-YYC, YYZ)
Programs: AC*G-E100K (once again)
Posts: 1,701
Feb 24, 2015, 7:35 am
#120
Join Date: Jul 2005
Location: Ontario, CAN
Posts: 5,813
It's your undersupply assumption I keep trying to wrap my head around as I read monthly schedule reductions from airlines serving Canada.
Agree, all nice additions to Canada. Great to see.
Meanwhile, UA, US/AA, and AS cut 500,000 annual seats from Canada last year. Sounds like the ups and downs one would expect of market providers acting and reacting to customer demand
Well, just those and the other 500,000 annual seats pulled from the market off the top of my head. (Not even including Air India, VS ... Were those pull downs in 2014?)
Ummm, OK. Does that mean CAN<>USA air travel is close to equilibrium?
Whoa, whoa. Let's pump the brakes a little. Surely US won't totally abandon the Ottawa market.
Meanwhile KL is adding flights to YEG (incidentally, what this thread is about) - marking a significant increase in international capacity to YEG (KL wiil be offering ~50,500 seats). AF is coming to YVR. TK has increased its capacity to Canada by ~70%, and AC and WS have both increased their capacity by over 6% over the past year (and those are just the examples of the top of my head - wait till Transport Canada's annual report comes out). All of this in a country with a population growth rate of 1.2%. Let me know where these seat fillers appeared from; apparently they didn't exist 1-2 years ago.
Meanwhile, UA, US/AA, and AS cut 500,000 annual seats from Canada last year. Sounds like the ups and downs one would expect of market providers acting and reacting to customer demand
Whoa, whoa. Let's pump the brakes a little. Surely US won't totally abandon the Ottawa market.