Paul Bickford
Northern News Services

Hay River (Oct 28/02) - Canadian North is cutting back its service to Hay River and Fort Smith.

Beginning Nov. 5, the airline will no longer fly into the two towns from Edmonton on Tuesdays and Thursdays.

That will leave service on four days a week: Monday, Wednesday, Friday and Sunday.

Last week, two officials from Canadian North travelled to Hay River and Fort Smith to explain the change.

At a public meeting at Hay River Town Hall, Kelly Kaylo, the airline's director of marketing and sales, explained the change was caused by low passenger numbers on Tuesday and Thursday.

On those days, there are an average 18-20 passengers on the 55-seat jet -- 37 per cent capacity. There are also low numbers on Wednesday, but the airline decided not to cut that day.

Over the last two years, the airline has tried several tactics to increase the number of passengers, including reducing rates and offering special packages, Kaylo said.

"It was pretty clear those did not produce the results we were expecting," she said.

Kaylo says the only viable option was changing the frequency of the flights.

She said it is hoped the change will increase traffic on the remaining days of service.

The remaining flights would require about 60 per cent capacity to break even. Currently, they average about 45 per cent capacity.

"We have not done this lightly," said Gary Reid, the director of commercial services with Canadian North. "It is a sensitive issue."

The airline officials heard numerous objections to the change from the 16 people at the Hay River meeting.

In particular, concerns were expressed the change will disrupt business travel and the flow of supplies and products, and hamper the economic and tourism possibilities for the town.

"You're handicapping us," said Deputy Mayor Dean McMeekin.

The airline representatives were asked if the service would be cancelled altogether if the number of passengers doesn't increase.

Reid said it is not Canadian North's intention to leave the marketplace, but it needs to see some growth.

"We think a four-day-a-week schedule should be right for this marketplace."

He also noted the service would return to six days a week beginning in June for the summer season.

Reid responded to a suggestion the airline service the two towns with smaller aircraft as being hugely expensive, because the airline doesn't have such aircraft in its fleet.

The Canadian North representatives were warned that, instead of the change increasing the number of passengers on the remaining flights, the airline would lose business as people turned more toward less-expensive highway travel.

"Contrary to what you thought it would do, we think it will hurt you," said Mayor Duncan McNeill.

Pointing to the option of highway travel, the mayor told the airline representatives, "You don't have a fare that would get me on your airplane."

In Fort Smith, Mayor Peter Martselos is not pleased by the cut in service. "I don't like it at all."

Martselos says it will not help efforts to build the economy of Fort Smith.