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Air Canada pulls out of Iqaluit
Company said flights did not meet 'profitability targets'

Jeanne Gagnon
Northern News Services
Published Tuesday, July 5, 2011

IQALUIT - Air Canada will stop offering flights between Iqaluit, Montreal and Ottawa after Aug. 1, the company confirmed Monday.

NNSL photo/graphic

Air Canada has decided to shut down its service between Iqaluit and Montreal, with a stop in Ottawa, due to a lack of profit. A spokesperson for the airline said Air Canada will keep its options open to returning in the future. - photo courtesy of Air Canada Jazz

Air Canada Jazz started offering daily flights between Montreal and Iqaluit with a stop in Ottawa on March 28, 2010.

"The route did not meet the profitability targets set," spokeswoman Angela Mah wrote in an e-mail. "I can't disclose the specifics (due to competitive information) but can confirm that in an environment of high fuel costs, we have to look to ensure each and every route we operate meets profitability targets set."

Air Canada is contacting customers booked on flights beyond Aug. 1 to arrange to put them on Canadian North flights, she added.

"We would look to potentially resume service to Iqaluit at another time depending on demand, other economic factors, such as fuel prices and aircraft availability," Mah stated.

Travellers wanting to fly between Iqaluit and Ottawa still have the option to board Canadian North and First Air. First Air also offers service to Montreal.

Canadian North President Tracy Medve said as discussions with Air Canada are ongoing, she does not know how many passengers they will accommodate and what the fare arrangements will be.

"We're working with Air Canada to accommodate their passengers to the degree that we're able to do that," she said. "We have a little bit of flexibility to add seats but we also have very important cargo customers we need to make sure we accommodate.

"It will be a question of establishing which Air Canada passengers were travelling on which days. Do we have the ability to add more seats to accommodate them or do we already have cargo that we have to accommodate on that day?"

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