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Posted AT 10:31 PM EST on 30/10/07

Domestic airlines face low-cost rival from U.S.

Globe and Mail Update

Low-cost U.S. carrier JetBlue Airways Corp. is applying to launch charter and scheduled service between Canada and the United States, a move that is expected to shake up Canadian rivals and reduce transborder fares. JetBlue, which built its reputation on a combination of low fares and in-flight services such as free snacks and seatback screens with live television, proposes to use 150-seat Airbus A320s and 100-seat Embraer ERJ-190s for new flights into Canada.

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