“The real losers in all of this are Canadians who believe in open and healthy competition,” Sims wrote on the company’s website.
The Liberal government nonetheless disregarded its own advice and approved the $180-million acquisition on Thursday. In a press release, federal Transport Minister Omar Alghabra said the transaction would be “subject to strict terms and conditions that are in the interests of Canadians.” “For the relatively low cost of $190 million , years of effort to foster true competition has been undone,” Sims wrote. “This is akin to telecommunications giants Bell and Rogers becoming one without significant concessions.”Article content
“Sadly, in the months ahead, it is possible that we will see a rise in merger transactions involving failing businesses,” he said. “In assessing these transactions, we must maintain our normal rigour and analytical framework. Relaxing our standards in a crisis period could cause irreversible enhancement of market concentration, leading to deeper and longer-term harm to consumers and the economy.”
“Noting the effects of the pandemic on air service in general, and on Transat A.T. in particular, the Government of Canada has determined that the proposed acquisition offers the best probable outcomes for workers, for Canadians seeking service and choice in leisure travel to Europe, and for other Canadian industries that rely on air transport, particularly aerospace,” he said in the release.
isn’t this an opportunity to disrupt which is what WestJet was founded on?
Air Canada has also been the Feds baby, as it is French based out of Montreal. The older people will remember when they favoured Air Canada over Canadian Airlines.
He's bang on.
“Industry” ?
Well, lets hope the border opens soon.
It’s just as disappointing that a formerly well run Canadian company is being run by a corporate pirate that farmed out thousands of jobs to the lowest bidder and will leave once they’ve extracted everything they can from WestJet.
. Air Canada has no money, laid off 1,500 employees, have Federal Gov't subsidies ; yet have deep pockets for Transat takeover? 🤔 Corporate welfare at its best. Trudeaus' corruption. .