The Globe and Mail has an article today about the possible demise of Jetsgo. An airline analyst, Ben Cherniavsky, predicts the privately-held airline will fold sometime this year, calling Jetsgo "the weakest link" in the Canadian airline sector.
A report released by Mr. Cherniavsky also cites Westjet as the main beneficiary of Jetsgo's collapse, this is why Westjet's shares (WJA) were up a whopping 12.5% on Friday. Clearly, many think Westjet has good days ahead of it. AC
stocks were also up 4%.
I always thought Jetsgo was taking too much risk by flying to about 30 cities when they've only been in the market for three years. I also don't see the wisdom of faithfully following the hub model, when they fly YHZ
and expect to compete with AC
The article is available on this link: Article
Is Jetsgo really in trouble ? Are people in Jetsgo (or Westjet) talking about this ?