Business

WHO CRIES, WHO CHEERS

If Air Canada goes bust, there will be a lot more losers than winners.

April 26 2004
Business

WHO CRIES, WHO CHEERS

If Air Canada goes bust, there will be a lot more losers than winners.

April 26 2004

WHO CRIES, WHO CHEERS

If Air Canada goes bust, there will be a lot more losers than winners.

LOSERS

Air Canada employees: around 30,000 worldwide (down from 40,000 in 2002)

Travellers: especially business people seeking frequent flights to many destinations

Paul Martin: politician famous for managing economy would see a large employer and country’s flagship carrier vanish on his watch

Most Canadian cities with fewer than 750,000 people: likely to see service cut or reduced

Greater Toronto Airports Authority: would lose its biggest customer just as it’s pumped $2.4 billion into a grand new terminal

Cara food services: would lose its top client

Air Canada debt holders: unsecured creditors, mostly banks, are owed $2.7 billion, which will be up for grabs

Aeroplan members: what happens to all those points you’ve been collecting?

WINNERS Buses, limos and Via Rail: particularly in the Windsor-Quebec City corridor

Short-haul carriers: especially WestJet, Air Canada’s blood enemy U.S. carriers: particularly American and United, which already fly to Canada and may be permitted to expand here