Are Westjet and Air Canada getting ready to merge ?
- Thread starter EQ Planes
- Start date
FunnyDrivr
Active member
It may look like it's a somewhat good idea I disagree both airlines aren't gonna want to merge they want to take control of the other airline. If WestJet and Air Canada merge A pilot strike from both airlines is almost inevitable air Canada crew gets paid more than Westjet crew and if the market is tough they will probably lower air Canada crew pay. Customers will also probably question their loyalty to both airlines due to the change in service. Air Canada has serious financial backing so even if they are flying at a loss they will still be around due to the Canadian government who will probably take a 51% stake in the airline in the future to keep the airline flying. Westjet who is already struggling does not have government backing though this could change but it wouldn't make too much sense for the government to run 2 airlines. I would think they would just absorb WestJet into air Canada. by that time WestJet will retire their 737NGs and the rest of the fleet will be given to air Canada or sold off. In short, instead of a merger, I think government ownership of both airlines and absorbing WestJet into air Canada is more likely than a merger.
EQ Planes
Active member
Definitely also a possibility, but I agree Westjet could be liquidated into ac at somepoint something simaller to what happend with Canadian airlines and ac.
Interesting assessment! I would think the overlap would make a merger possible, but seems as their styles are fairly different. It will be interesting to see what happens from here!
FunnyDrivr
Active member
I think a merger will happen but not with westjet and air canada maybe air canada and airtransat or something. The 2 airlines are just gonna wait each other out till one fades away but I think if anything both airlines will be around for a long time to come
Who makes the move first?
EQ Planes
Active member
There styles have moved a a lot closer together though
EQ Planes
Active member
Probably mutual but if not air canada
Agreed. Really eager to see what happens.
FunnyDrivr
Active member
The airlines are getting closer together in terms of styles but I think they will never merge doesn't make much sense air Canada is already far better off than Westjet in terms of finances. I think if anything WestJet's fleet will be sold off air Canada will probably buy the MAXs and 787s. But again if any merger were to take place it would be between Air Transat and Air Canada like what they tried to do earlier and Westjet and Sunwing witch is currently being worked on Currently so there is one merger happening.
Eager to see news come on this subject.
EQ Planes
Active member
Yeah can definitely see that point, I think in a merger it is clear Air Canada would have the upper hand like how jet blue has it in there merger with spir . Air Canada would elimante a lot of competition and the planes and routes would help expand the airline in a way they couldn’t otherwise do. If westjet is doomed to failure wich is looking like a posabilty it may be better to merge now while they still have some strenght and while there financial situation is not dier, like I said it could end up like with what happened when canadian airlines went up for sale in a market simaler to what we have now but when they took on what was left of Canadian it banckrupted the company. But however it happens I think someday westjet or what is left of it will end up in air canada in some way or anothe.
FunnyDrivr
Active member
Yeah I think parts of WestJet will end up in air Canada I would assume they would try to transfer the crew to AC and aircraft but I doubt it will be a merger just transferring personnel and aircraft. both airlines are definitely recovering WestJet ordered a bunch of MAX aircraft and air Canada as of today ordered 15 more A220s the future is looking bright. Westjet doesn't own all of its 737NGs quite a fair amount are leased so if times get tough they can return those as well. Westjet is also already downsizing a little bit by moving out of eastern Canada in favor of a larger market share out west. they are also going back to their LCC roots.
Great point. Will be interesting to see what happens.
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