Buy back national airline: watchdog

[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

 



Buy back national airline: watchdog
Grant Robertson    The Edmonton Journal
Wednesday, March 26, 2003

CALGARY - The federal government's former independent airline observer
called on Ottawa Tuesday to take a complete ownership role in Air Canada,
saying it may be critical to the sector's future.  Travel consultant Debra
Ward, who was recruited by Ottawa two years ago to assess the state of
Canada's airline industry, said the time has come to undo the privatization
of the country's flagship carrier.  "Ownership by Canadians is a laudable
goal ... Canadians - 30 million of us - have to come first," Ward told a
gathering of the transportation sector in Calgary.  The comments came after
federal Transport Minister David Collenette said this week that Ottawa is
prepared to discuss "any options" that may help cash-strapped Air Canada
survive, including the government taking an ownership role.  The carrier,
which was fully privatized in 1989, is $12 billion in debt and has
scrambled to cut $650 million from its operating costs. Last week, Air
Canada grounded more than 50 planes and announced it would lay off 3,600
employees.

But industry officials are skeptical federal ownership would help the
ailing sector, which has been hit by a two-year downturn made worse by the
uncertainty of war in Iraq.  Cliff Mackay, president of the Air Transport
Association of Canada, said the airline industry must be left to survive on
its own with as little government involvement as possible.  "As an
industry, we are not prepared to say that the market should not prevail,"
Mackay said.  Rail, trucking, airline and marine officials gathered at the
two-day conference, hosted by the University of Calgary's Van Horne
Institute, to form a response to the federal government's blueprint for the
transportation sector.  Released last month, the blueprint has stirred
controversy among industry groups for the changes it proposes.  A
spokeswoman for Air Canada said the carrier wouldn't comment on speculation
regarding its ownership status.


***************************************************
The owner of Roger's Trinbago Site/TnTisland.com
Roj (Roger James)

escape email mailto:ejames@xxxxxxxxx
Trinbago site: www.tntisland.com
Carib Brass Ctn site www.tntisland.com/caribbeanbrassconnection/
Steel Expressions www.mts.net/~ejames/se/
Site of the Week: http://www.thehummingbirdonline.com
TnT Webdirectory: http://search.co.tt
*********************************************************

[Index of Archives]         [NTSB]     [NASA KSC]     [Yosemite]     [Steve's Art]     [Deep Creek Hot Springs]     [NTSB]     [STB]     [Share Photos]     [Yosemite Campsites]