Hey here it is I will also copy and paste. This is courtasy of CBC North news:
Yukon to punish Air Canada for flooding market
WebPosted Sep 27 2002 08:48 AM CDT
Whitehorse, Yukon - The Yukon government is punishing Air Canada for unfair business practices. A government air travel committee has determined Air Canada flooded the market last summer with an unreasonable number of flights. However, the airline says they're just doing what the government wanted.
'It's sure going to make a big difference to our flights.'– Joe Sparling
Last summer was Air Canada's busiest summer schedule ever, with four flights a day going to Vancouver. The schedule began even before Air North, a Yukon-owned carrier, began its new service to Vancouver and Alberta.
Air North complained, arguing Air Canada was putting far more seats in the market than was reasonably necessary. The Yukon Government's Air Travel Committee has ruled the complaints are valid.
Infrastructure Minister Scott Kent says Air Canada will be penalized accordingly.
"What we are going to do is shift our spending pattern in the amount that of the damage that was done to Air North," he says. "So they will get their equitable share of travel, plus whatever the amount the committee determines Air Canada had this excess amount of capacity in the market."
Kent says he doesn't know exactly how much government money will be shifted to Air North, but says it has already started. He says Air Canada got no government business last week on the days Air North was flying.
That's good news for Air North President Joe Sparling.
"The evidence was pretty clear but, we're talking 10 per cent of the market and that sort of shift in number isn't going to warrant extra flights or anything," he says. "But going into winter it's sure going to make a big difference to our flights."
Sparling estimates the government spends about $250,000 a month on air travel.
However, Air Canada executives say they're puzzled by the decision.
They say Premier Pat Duncan asked for the extra summer flights when she met with Air Canada boss Robert Milton.
"We are surprised at that considering this summer we put an additional flight on at direct request of the Yukon Government," says Angela Mah. "Premier Duncan met with our CEO and a request for an overnight flight was put in at that meeting. Subsequently we made a decision to put that flight in at the request of the Yukon Government."
Mah says the extra evening flight is now off the schedule because of lower demand.