AC buying/bought AT

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Gear Up
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AC buying/bought AT

Post by Gear Up »

OK, so don;t start beakin off at me that I'm spreading rumours and yadda yadda yadda, I'm just saying what I'm hearing today and you guys and trolls can flame away all ya want, but rumours are that AC has bought AT and will make an annoucement tomorrow.

Have at'er kids !!
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justwork
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Re: AC buying/bought AT

Post by justwork »

I can't see how that would make any sense. Stranger things have happened.
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Big Pistons Forever
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Re: AC buying/bought AT

Post by Big Pistons Forever »

That's so crazy it is probably true :rolleyes:
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voodoomech
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Re: AC buying/bought AT

Post by voodoomech »

Doubt it
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ScudRunner
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Re: AC buying/bought AT

Post by ScudRunner »

hmm lets see;

A company just out of bankruptcy who currently has their triennial bankruptcy proceedings pre booked and forms stamped for 2016 is buying another company going through some difficult times. Additionally Air Canada is launching rouge their low cost carrier, and WestJet Encore about to begin flying against AC on other routes I conclude:

What you heard its completely true! This makes absolute sense in terms of Canadian Aviation.

Oh BTW I heard it was WJ that bought AT.
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Scuba_Steve
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Re: AC buying/bought AT

Post by Scuba_Steve »

I heard it was sky regional...
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Brize
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Re: AC buying/bought AT

Post by Brize »

No no no no no no no..

Jazz has cut it's dividend in half so it can save up and buy AC... which has bought AT.

Duhhh
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dashx
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Re: AC buying/bought AT

Post by dashx »

Makes sense.

170's are gone. 190's are next.

AT has 330's. AC has 330's. Perfect match.

Yuuuup. Got-r-done.

And nobody got hurt.

And all done in the wonderful country of Quebec.
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727driver
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Re: AC buying/bought AT

Post by 727driver »

Strategically makes sense. Buy the tour operation cut the airline division loose because of its high cost structure. Rouge gets instant market share, eliminates their main competitor for the euro market and has one less headache for the winter. I'm sure the bean counters are looking at this option. Mergers and acquisition are the name of the game and we are all just pawns in the millionaires club game. Just look at the euro and american legacies. This is nothing new, been going on hard and fast in the post 9/11 era of aviation. I also find it ironic that they used a French word for the new brand, targeting the Transat loyal French Canadian travellers in PQ and looking to establish a new brand loyalty?
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iflyforpie
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Re: AC buying/bought AT

Post by iflyforpie »

I'm buying them both. I am going to become the Frank Lorenzo of Canadian aviation. :twisted:
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Re: North Cariboo Air

Post by Scuba_Steve »

727driver wrote:Strategically makes sense. Buy the tour operation cut the airline division loose because of its high cost structure. Rouge gets instant market share, eliminates their main competitor for the euro market and has one less headache for the winter. I'm sure the bean counters are looking at this option. Mergers and acquisition are the name of the game and we are all just pawns in the millionaires club game. Just look at the euro and american legacies. This is nothing new, been going on hard and fast in the post 9/11 era of aviation. I also find it ironic that they used a French word for the new brand, targeting the Transat loyal French Canadian travellers in PQ and looking to establish a new brand loyalty?
TS has a higher cost structure than Rouge? :lol:
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727driver
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Re: AC buying/bought AT

Post by 727driver »

Have you seen the pay scale at Rouge for fa's and pilots. Lots of of skippers are at year 10 pay at AT, not to mention senior fo's making +100k in Yul. Mostly all new right seat meat and year 2-3 skippers starting at little red.
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Takeoff OK
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Re: AC buying/bought AT

Post by Takeoff OK »

Perhaps this would be more interesting if the OP gave us an idea of where he heard it.

Also, I find it hard to imagine that any announcement would be made on a Saturday.
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CID
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Re: AC buying/bought AT

Post by CID »

This isn't much if a secret. There's been speculation in the press already.
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Dockjock
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Re: AC buying/bought AT

Post by Dockjock »

Merger [shudder]
With a Quebec company [oh god]
Wait we're a Quebec company [oh god why]
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Panama Jack
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Re: AC buying/bought AT

Post by Panama Jack »

Wonder what they will rename it?

Air Canada Bleu?
Air Canada Etoile?
or, perhaps keeping with their musical repetoire after Tango, Jazz, etc., and a name that sounds OK in both official languages, how about "Air Canada les Blues"?
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trey kule
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Re: AC buying/bought AT

Post by trey kule »

Was there an announcement?
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bmc
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Re: AC buying/bought AT

Post by bmc »

What would they be buying? A330's and A310's. Their routes have no value as AC can operate them if they wish. They risk opening the union can of worms.

I don't see the strategic value to AC. What am I missing, except for a cold beer in my hand?
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bizjets101
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Re: AC buying/bought AT

Post by bizjets101 »

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727driver
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Re: AC buying/bought AT

Post by 727driver »

Established client base, extensive network of nationwide travel agencies, hotels, established travel products, marketing programs and infrastructure. Group Transat is not an airline, it is vertically inter grated tour operator. That's something you need to be in order to compete in the leisure market and what rouge will need to establish to be a player.
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JZA
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Re: AC buying/bought AT

Post by JZA »

Short of eliminating the competition for rouge, and picking up more A330s for mainline, I dont see a logical benefit at all.

As for an established tour/vacation operator....check that they already have; Air Canada Vacations.
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Independence
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Re: AC buying/bought AT

Post by Independence »

CATSA are very close to buying out Nav Canada. Final sticking point is figuring out how to allow controllers to handle your junk before they allow you to land.
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bmc
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Re: AC buying/bought AT

Post by bmc »

727driver wrote:Established client base, extensive network of nationwide travel agencies, hotels, established travel products, marketing programs and infrastructure. Group Transat is not an airline, it is vertically inter grated tour operator. That's something you need to be in order to compete in the leisure market and what rouge will need to establish to be a player.
Your post just described Air Canada Vacations.

Air Canada has far greater global reach, not only on it's own but also through the Star Alliance, to far more markets, accessing far more capacity and destinations than Air Transat will ever achieve. The revenue settlement agreement between the Star members, which I have some intimate knowledge of, gives AC great access to the planet without having to commit dedicated aircraft to.

Air Canada is one of the oldest airlines in the world. They've been at this for years, much longer than Group Transat.

Again, I'm not convinced. I could very well be wrong. I've been wrong before. Just ask my wife.
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tjtailwind
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Re: AC buying/bought AT

Post by tjtailwind »

I agree with 727driver. AC would be interested in AT for everything but the airline. Hotels, Travel Agencies and the Tour Operator. It might help explain why AT has been working so hard to get their balance sheet in order. It would also give AC a significant majority in the southern vacation market and an almost 100% lock on the European market.
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Re: AC buying/bought AT

Post by bmc »

So an AC/AT deal would give them 100% market share, pushing AF, LH, BA, Air Berlin and every other charter operator out of the Canada Europe Market? Really?
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