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Friday, July 04
4:32 PM


Air Canada route shrinkage continues
DAVID HUTTON
Globe and Mail Update

Air Canada has continued shrinking its route network to combat high fuel prices, cancelling or scaling back service to four more destinations.

The country's largest airline is targeting specific routes after it announced last month that it plans to reduce worldwide seat capacity by 7 per cent in its fall and winter schedules, while shedding up to 2,000 jobs.

Effective Oct. 26, the route from Toronto to Madrid will be suspended for the winter.

At the same time, daily flights from Vancouver to Beijing and Vancouver to Shanghai will be reduced to three and four times a week, respectively.

Flights from Toronto to Tel Aviv are also being reduced from five to three times weekly.

The moves are among a series of cancellations, increased stopovers and decreased flight frequencies at Air Canada as it continues to weed out marginal routes.

With oil prices hovering around $140 (U.S.) a barrel and fuel costs rising along with them, the Canadian carrier is targeting routes that are dragging down its finances.

On Monday, Air Canada announced 12 cancellations and suspensions to routes ranging from Trinidad to Comox, B.C.


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