Canada's WestJet Sets Sights On Transborder Growth, U.S. Partner

WestJet today said it plans to nearly double its marketshare between the United States and Canada from 13 percent to more than 25 percent in the next six years, while the Canadian carrier continues to seek a partner to help it grow its presence among U.S. passengers.

"If you want to travel to more of the business-type destinations in the U.S., you need year-round service and you need a partner," WestJet executive vice president of strategy and planning Hugh Dunleavy said today during the carrier's annual investor day. Southwest Airlines earlier this year terminated plans to develop a codeshare with WestJet, claiming its would-be Canadian partner made "significant changes" to the deal forged in 2008.

The carrier last year transitioned to the SabreSonic reservations system, which Dunleavy said affords it deeper interline and codeshare capabilities, prompting WestJet to flirt with new potential partners. "Seventy airlines have been in discussions with us about what we want to do in terms of interline and codeshare, and we're currently having discussion with a number of airlines in the U.S. marketplace to decide what's the best partnership for us going forward," Dunleavy said.

Despite abundant conversations, Dunleavy said the carrier would take a deliberate approach to new partnerships, claiming, "You're not going to see us signing 150 interline and codeshare deals with carriers around the world."

Dunleavy said the carrier has had conversations about full-on alliance membership, but stressed plans to take a market-by-market approach to its partners. "At this stage, WestJet has made it clear that we have no plans to join one alliance versus another. What we want to focus on is identify which partner in which part of the world can drive the most benefits to us and our partners," Dunleavy said.

Dunleavy suggested that unlikely partners include carriers in the Star Alliance, which counts among its members Air Canada, WestJet's biggest competitor.