Calm Air codeshare flights not affected by First Air-Canadian North codeshare end

The end of the codeshare agreement between First Air and Canadian North will not affect agreements between those airlines and Calm Air, says the airline's president.

Calm Airoperates flights to communities in Manitobaand Nunavut's Kivalliq region.

Gary Bell, president of Calm Air, says thecodeshareagreement between Canadian North and First Air is "completely different than thecodeshareagreement that Calm Air has with either of those carriers."

He said the termination of the First Air-Canadian Northcodeshareshould have no effect on Calm Air or its relationship with either carrier.

"I don't think that this is going to be a catalyst for any change in pricing or any other change in the market dynamics," he said.

Last week, First Air gave notice to Canadian North that it willterminate theircodeshareagreement, effective May 16, 2017. Both airlines operate flights to communities in Nunavutand the Northwest Territories.

Thecodeshareagreement, selling seats and cargo space on each other's flights,came into effect in the summer of 2015, less than a year after Canadian North and First Air called off merger talks. At the time, Canadian North said the two Northern airlines' "extraordinarily high operating costs versus relatively low passenger and cargo volumes" meant the scheduled flights of both airlines were not sustainable.

Nunavutgovernment monitoring situation

In a statement, Nunavut's assistant deputy minister of transportation said it's too early to tell what outcome these changes will have when the codeshare ends in May, or how Canadian North's coming suspension of its Ottawa-Iqaluit flights will affect travellers.

"The Government of Nunavut will continue to advocate for the best possible airline service for Nunavummiut, and we will monitor this situation when it takes effect," he said in the statement.

The Competition Bureau had beenreviewing the codeshare agreement between First Air and Canadian North, as well as allegations that the airlines have engaged in predatory pricing.

The bureau says First Air's announcementthat it's ending the codeshare agreement with Canadian Northwill not affect the investigation into the predatory pricing allegations.

GoSarvaqfiled a complaint withthe Competition Bureau after its discount air servicenever got off the ground. Ithad aimed to sell seatsonflightsbetweenIqaluitandOttawaat discount prices, but First Air and Canadian North held steeply discounted seat sales at the same time GoSarvaq's tickets were on sale.

Recentlyfederal court granted a court order for the two Northern airlines to provide information to the Competition Bureau for its ongoing investigation into their alleged anti-competitive conduct.

Mixed reaction

In Iqaluit, passengers who rely on First Air and Canadian North are still processing the news that the airlines'codesharewillend in May.

"I don't like it," saidTrudy Taylor. "It was great having it because you get on either flight no matter where you were."

Others are more optimistic about the end of the agreement.

"I am happy about the change," saidMialia Tikivik.

"The time when I was travelling I was delayed another day because they were not communicating well, now that's going to end."