Montreal (Quebec) and Calgary (Alberta), February 13, 2009
Transat A.T. Inc. (TSX: TRZ.B, TRZ.A) and WestJet (TSX: WJA) have mutually and amiably agreed to terminate an air transportation agreement initially contracted in 2003 and set to expire in 2010. The termination will take effect at the end of the current winter season on May 10, 2009. The agreement allowed tour operator Transat Tours Canada, a Transat business unit, to charter WestJet aircraft to sun destinations.
Transat and WestJet may enter into an ad-hoc charter agreement that would see WestJet offer Transat charter flying in the future.
“This has been a mutually beneficial commercial partnership, but market conditions have evolved and we agreed that terminating the agreement was in the best interest of our respective shareholders,” said Nelson Gentiletti, President of Transat Tours Canada and Executive Vice-President, Tour Operators, of Transat.
“I am pleased that both companies have maintained a positive working relationship that will benefit both of us in the years to come,” said WestJet Executive Vice-President Guest Experience and Marketing Bob Cummings. “WestJet remains very confident of our capacity plan going forward. The success of our capacity deployment strategy has provided significant, profitable growth to U.S. sun destinations as well as Mexico and the Caribbean. In addition, the success of WestJet Vacations combined with the current strength of the WestJet brand positions us for substantive positive growth over the next five years.”
WestJet is Canada's leading high-value low-cost airline offering scheduled service throughout its 55-city North American and Caribbean network. Named one of Canada's most admired corporate cultures in 2005, 2006, 2007 and 2008, WestJet pioneered low-cost flying in Canada. WestJet offers increased legroom, leather seats and live seatback television provided by Bell TV on its modern fleet of 77 Boeing Next-Generation 737 aircraft. With future confirmed deliveries for an additional 44 aircraft, bringing its fleet to 121 by 2013, WestJet strives to be the number one choice for travellers.
Transat A.T. Inc. is an integrated international tour operator with more than 60 destination countries and that distributes products in over 50 countries. A holiday travel specialist, Transat operates mainly in Canada and Europe, as well as in the Caribbean, Mexico and the Mediterranean Basin. Montreal-based Transat is also active in air transportation, destination services and distribution. (TSX: TRZ.B, TRZ.A)