U.S. government approves alliance between WestJet and Delta, with conditions

Photo: The Canadian Press

A pilot taxis a WestJet Boeing 737-700 plane to a gate after arriving at Vancouver International Airport in Richmond, B.C., on February 3, 2014. THE CANADIAN PRESS/Darryl Dyck

The U.S. Department of Transportation has granted tentative approval of an alliance agreement between WestJet Airlines and Delta Air Lines.

The airlines intend to co-ordinate services, including network planning, pricing, and sales activities.

Capacity is expected to be expanded on some existing routes while some services will be introduced on new routes that will increase travel options to and from Canada.

One condition of approval is the removal of WestJet discount carrier Swoop from the alliance and the selling of 16 slots at New York's LaGuardia Airport.

Canada's Competition Bureau approved the joint venture in the summer of 2019.

The airline industry has struggled amid a massive drop in traffic following the COVID-19 pandemic.