Calgary International Airport II

[Bigtime]

I'd take some of the quotes with a grain of salt.

New international terminal to serve as Calgary's gateway to the world

http://calgaryherald.com/business/local-...ld?utm_source=dlvr.it&utm_medium=twitter

“I’m convinced you’ll see a few more Asian points,” Garth Atkinson, CEO of the Calgary Airport Authority, said in an interview. “Hong Kong, as well as Seoul, South Korea, are great connecting points and hubs we’ll want to tie into.

“I also see more in Europe — Paris would be great, we may start to see that on a seasonal basis in a couple of years, and probably another point in Germany as well.”

Bill Devlin, senior director of airport development with Air Canada, said his airline has been growing aggressively across its entire network in recent years, launching its low-cost leisure carrier Rouge as well as taking on new wide-body aircraft and adding new international destinations.

“We’re always looking at how we may be able to expand our reach from Calgary,” said Devlin. “That’s an ongoing process, and we’re in constant dialogue with the Calgary Airport Authority.

“But without these enhancements, it would be almost impossible to look at growing the network . . . We now have the foundation for building the network in Calgary … once we evaluate the market.”

“The gem of this airport is it makes the transfer of international passengers and trans-border passengers so much easier,” said Louis Saint-Cyr, WestJet’s vice-president of airports and guest experience. “We saw this year, with our 767 traffic, guests coming from all over the place . . . So the potential is fabulous, and it really opens the door.”

[cyeg66]

Yes, WS should only meekishly weigh in on the convo regarding international travelers. Leave it to the experienced long haul carriers until they get their a/c issues sorted out.

[yyc_engineer]

We could support Hong Kong 3X as well as Munich summer seasonal. Seoul and Paris not until after 2020.

Really disappointed overall with the WS 767 experiment. I don't know why they didn't put in for 787's a long time ago à la Norwegian, TUIfly etc. WestJet has tons of money. Tons. I know, I have given them a lot.

[jmt18325]

I doubt Westjet has all that much money. Their costs are rising and their profits are falling, and they have a relatively young aircraft fleet.

[Bigtime]

Originally Posted by jmt18325

I doubt Westjet has all that much money. Their costs are rising and their profits are falling, and they have a relatively young aircraft fleet.

If I recall they have a pretty strong cash position built up over the years.

As for new international flights I would guess HKG would be most peoples preference, but would it be better for traffic coming here than PEK? Thinking from a purely tourist perspective.

[MalcolmTucker]

WestJet is sitting on $2 billion in cash and equivalents as of the end of June, a big spike from their normal $1.2 billion ish level over the last five years. They have been loading on long term debt though, with $1.9 billion, split between unsecured debt and secured aircraft financing. The 767s seem to have been funded out of cash, probably so that the division would look a bit more healthy on the books wise, so shareholders don't pressure to kill the division prematurely.

[Bigtime]

Thanks MalcolmTucker, I remember WS saying buying the 767's "cold cash" made the experiment that much easier too. Purchase price was a drop in the bucket against their cash reserves.

[MalcolmTucker]

Originally Posted by Bigtime

Thanks MalcolmTucker, I remember WS saying buying the 767's "cold cash" made the experiment that much easier too. Purchase price was a drop in the bucket against their cash reserves.

I bet there is a nice hand back agreement with Boeing as well, that is if the frames are really worth anything more than as a base for cargo conversion. Not sure if anyone would really want high cycle frames after this experience though. Might be good for VIP transport - buy two for the price of a half, get the availability of one.

[Johnny Aussie]

Originally Posted by Bigtime

I'd take some of the quotes with a grain of salt.

New international terminal to serve as Calgary's gateway to the world

http://calgaryherald.com/business/local-...ld?utm_source=dlvr.it&utm_medium=twitter

Have they forgotten about Air Transat? They've been flying to CDG seasonally for years. Although next summer that route has been cut from YYC, seems like a misinformed statement.

And as for Air Canada... "once we evaluate the market?" So they haven't been evaluating the market at their fourth largest hub? What does that even mean? They've been adding international routes from other hubs but for some reason they haven't considered additional routes from YYC because they've forgotten to evaluate the market? Oops! Forgot about that one! Just another blanket statement to cover the fact they haven't done anything here recently.

[Big Sky]

Originally Posted by yyc_engineer

We could support Hong Kong 3X as well as Munich summer seasonal. Seoul and Paris not until after 2020.

Really disappointed overall with the WS 767 experiment. I don't know why they didn't put in for 787's a long time ago à la Norwegian, TUIfly etc. WestJet has tons of money. Tons. I know, I have given them a lot.

I don't know what WS paid for the 767's but they wouldn't they be far cheaper than the 789? Plus wouldn't they be on a wait list for the 789's?

[CrossedTheTracks]

Originally Posted by Johnny Aussie

Have they forgotten about Air Transat? They've been flying to CDG seasonally for years. Although next summer that route has been cut from YYC, seems like a misinformed statement.

And as for Air Canada... "once we evaluate the market?" So they haven't been evaluating the market at their fourth largest hub? What does that even mean? They've been adding international routes from other hubs but for some reason they haven't considered additional routes from YYC because they've forgotten to evaluate the market? Oops! Forgot about that one! Just another blanket statement to cover the fact they haven't done anything here recently.

blah blah platitudes blah blah puff piece blah blah motherhood and apple pie.

What, you were expecting analysis?

[PPAR]

Originally Posted by Bigtime

“But without these enhancements, it would be almost impossible to look at growing the network . . . We now have the foundation for building the network in Calgary … once we evaluate the market.”

Translation: Honestly, we see no growth in this market over the next five years, and are placing our efforts elsewhere. This new terminal is certainly nice though, and if our competition manages to take market share by utilizing the sterile transfer facility, we will respond.

[Johnny Aussie]

Originally Posted by CrossedTheTracks

blah blah platitudes blah blah puff piece blah blah motherhood and apple pie.

What, you were expecting analysis?

Originally Posted by PPAR

Translation: Honestly, we see no growth in this market over the next five years, and are placing our efforts elsewhere. This new terminal is certainly nice though, and if our competition manages to take market share by utilizing the sterile transfer facility, we will respond.

Yeah typical spin... let's be vague and say something that somehow appears to sound intelligent on the surface only to realise...

Hoping someone steps in and replaces CDG and/or MAN. It's unfortunate on the eve of the opening of this amazing new facility to have lost two routes so quickly.

[cyeg66]

Yes, these market conditions (AB only) are nothing short of dire. The timing for the opening of this facility is (almost) hilariously poor, easily the worst circumstances since the 80's. I don't expect anything new coming down the pipeline (pun!) for some time, and it'll be a struggle to hold onto existing flights (here's looking at you BA).

Question is, is YYC destined to become more of a feeder to the Big 3? With each new announcement, it's looking that way a little more every day, at least in the short-to-medium term. Oh, how quickly things can change.

I've been hearing some potential horror stories of WestJet service at YEG that could potentially shift to YYC, in part due to what will essentially be an operational requirement for WS to run flights through IFP. We'll see what happens.

[cyeg66]

I'm sure most of you have heard about the Citation crash north of Kelowna, a Springbank based a/c. Crashed while on departure in poor weather. All 4 souls on board perished.

That's now a few fatalities in the past couple years of some of our local YBW pilots. It's a shame. I last talked that plane/pilot a couple of days ago when he flew out to YLW. It'll be interesting to follow the accident investigation. Single pilot IFR cockpits...? We'll see if that could've contributed.

[cyeg66]

Originally Posted by Acey

I've been hearing some potential horror stories of WestJet service at YEG that could potentially shift to YYC, in part due to what will essentially be an operational requirement for WS to run flights through IFP. We'll see what happens.

Well now, THAT doesn't have the potential to ruffle the feathers of a few contributors, now does it...?

Originally Posted by cyeg66

Well now, THAT doesn't have the potential to ruffle the feathers of a few contributors, now does it...?

No kidding. Some of those flights out of YEG going south do really well, it'd be sad to see them cut. Over the last year the only ones that didn't are PHX/PSP near the end of season (did well otherwise), and the weekly MCO didn't do so hot. Aside from that Mexico were all fine, and OGG mostly fine.

Those are loads and not yields of course, but it sounds like it might not matter; if WS literally needs planes at IFP, that would trump whatever yields out of YEG.

[DizzyEdge]

There's a rumour that Prentice was on that plane.

EDIT: not a rumour, Toronto Star is tweeting it.

Originally Posted by DizzyEdge

There's a rumour that Prentice was on that plane.

EDIT: not a rumour, Toronto Star is tweeting it.

Yeah multiple sources confirming now.