WestJet announces plans for 'ultra-low-cost-carrier'

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Canadian airline WestJet announced on Thursday its plan to launch a new ultra low-priced carrier by the end of 2017.

The Canadian airline expects the service to start in late 2017 with an initial fleet of 10 high-density Boeing 737-800s.

"The worldview on low-priced airlines has changed since the launch of WestJet in 1996 and we are responding", said Gregg Saretsky, WestJet president and CEO. "That's from checked bags to bags that you bring in onboard with you, but ultimately driving lower costs for consumers".

WestJet has not yet announced the name of the new airline, nor which destinations it will serve.

Air Canada launched its discount brand Rouge with flights in 2013 with service to Europe and the Caribbean.

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Together with regional airline WestJet Encore, which it launched in 2013, WestJet offers scheduled flights to more than 100 destinations in North America, Central America, the Caribbean and Europe.

Travel Best Bets President Claire Newell is excited and says because WestJet is an established airline, they could make a go of it.

But ultra-low-cost carriers take it a step further.

Westjet started in 1996 as a discount carrier but has recently faced increased competition on prices from Air Canada's discount brand Rouge and new carrier NewLeaf, which began offering ultra-low fares past year. "We see nothing like that here in Canada".

"How much more "no frills" can it get? Seats?" reader John Smith posted on public broadcaster CBC's website.

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