WestJet Airlines is upset with federal government interference in a competitive airline industry. Thursday night, the Liberal government approved the takeover of Transat by Air Canada. WestJet President and CEO Ed Sims says, “This decision shows blatant disregard for all Canadians who believe in healthy competition.” Sims is concerned that travelers will face fewer choices and higher fares.
The government’s own competition bureau warned about allowing the takeover. WestJet says that, according to the bureau, “Eliminating the rivalry between these airlines would result in increased prices, less choice, decreases in service and a significant reduction in travel by Canadians on a variety of routes where their existing networks overlap.”
Sims says, “It is hard to imagine a deal as anti-competitive in any industry where the number one player buys number three without meaningful remedies.”
















