Canada's Westjet to launch ultra low-cost airline

The startup fleet of 10 Boeing 737-800s, close-packed with extra seats, is scheduled to take off later this year. The move is subject to regulatory approvals and an agreement with its pilots, the company said in a statement.

Westjet chief executive Gregg Saretsky said this marks a "complete unbundling of services and products" that used to be included in ticket prices, but did not elaborate.

Most Canadian airlines already charge extra for checked bags, meals and other services.

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 last year.

Source: AFP