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WestJet Inaugurates Ottawa (YOW)

Fri Jun 09, 2000 1:36 am

Today WestJet inaugurated flights from Ottawa International Airport to its Hamilton hub, with flights through to Winnipeg and Moncton from there. WestJet will operate two daily flights from Ottawa, which is the third new city it has added as part of its eastern Canada expansion. WestJet has grown significantly in the last few months, and will continue to do so with the arrival of new 737NG aircraft next year.

Montreal is to be added later this year. Montreal may be the most important decision to come, as the Montreal market will probably be the first market in which it appears WestJet will inaugurate following CanJet. Montreal will be interesting also because it will involve a choice of airports to operate from. Montreal may also prove to be a point which tells what strategy WJ intends to use, whether it will be a hub-and-spoke system (which could lose any favour whatsoever with Montrealers already sick of connecting at Toronto) or it could break WJ into a potentially valuable point-to-point market.

After an IPO last summer at $10 per share, WestJet stock was trading at $24.90 today, even with a 2 for 3 stock split last month!

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