Controversial, island airport-based regional airline has lofty expansion plans
Chris Sorensen
Business Reporter
From his second-floor office, Robert Deluce has a bird's-eye view of Porter Airlines' turboprops taking off and landing as orange-vested workers mill about the site of a major terminal-expansion project – physical evidence that Porter intends to be around for the foreseeable future.
Deluce, who launched Porter from the City Centre Airport one year ago today amid a storm of local controversy, says he's confident the stylish regional carrier has managed to successfully navigate its do-or-die start-up phase and is now able to focus on growth.
"This coming year ... we expect it to be our first full year of profitability," Deluce said yesterday, adding that Porter managed to turn a profit last June. "That's somewhat reassuring to all of us."
Porter, which faced stiff opposition from some local residents and politicians who oppose further development of Toronto's waterfront, is not required to disclose its financial position because it is a privately held company.
Don Carty, the chair of Porter's board and a former CEO of American Airlines, said he too believes Porter is here to stay despite what critics have said about the airline's slim chances in a notoriously difficult industry.
"All of us, the management team, investors and directors, are quite confident that we're past the `are we going to fall off the end of the Earth' point," Carty said.
On the island, Porter's growing confidence is evidenced by its decision to triple the size of its swank passenger lounge and add new gates to house six additional Bombardier Q-400 turboprops, which are scheduled to arrive next year.
The new aircraft will bring the total number of planes in Porter's fleet to 10 and will be used to launch flights to New York, via Newark Liberty International Airport, early next year. That is to be followed by flights to Boston or Chicago, Philadelphia and Washington.
Carty said Porter may also look at forming partnerships or code-share relationships with U.S. carriers in a bid extend Porter's reach.
Porter now flies daily to Ottawa and Montreal and also offers service to Halifax.
The airline caters primarily to business flyers who wish to avoid the long lineups and traffic snarls associated with Toronto's Pearson International Airport.
Rick Erickson, a Calgary-based aviation consultant said Porter appears to be successfully executing a business plan that avoids direct competition with Air Canada and WestJet Airlines Ltd., both of which fly from Pearson.
He praised as "innovative" Porter's decision to offer weekend flights to Mont Tremblant's tiny airport this winter, allowing skiers and snowboarders to travel from downtown Toronto to the slopes in a matter of hours.
Porter's one-year milestone comes amid rumblings a handful of former WestJet executives are drawing up a business plan for a new airline that would connect smaller Canadian cities to large urban centres – a market some say is being ignored by WestJet and Air Canada.
Carty, who is also the chair of Virgin America, a new U.S. carrier started by Sir Richard Branson, said Porter isn't worried about the threat – particularly with soaring fuel prices.
"If you're coming into this business, you better have a unique value proposition," he said.
With all due respect, Ali, with only 57 posts I'm gonna go out on a limb here and assume you haven't been here that long and don't know 'what' Blastor is.
I agree, you're absolutely right, it doesn't make sense, but Blastor likes to try and rile people up in here with what can only be described as his own stupidity and ignorance.
leftyxl wrote:Ok Mr. Blastor :
You need to put your helmet back on. You sneaky seakerson you. Now take your medication and back to the day room for you.
If you don't behave you won't be able to go on the field trip to the mall.
oh and by the way your mother hasn't called yet.
