NewLeaf discount flight company gets clearance to sell tickets

Discount airlineNewLeaf Travelhas been given theOK to start offering seats on low-cost flights in Canada.

The Winnipeg-basedcompany, which in Januarypromised one-wayfaresas low as $89 between seven Canadian cities, hoped to begin operations last month, but that came just as theCanadian Transportation Agency (CTA)was in the midst ofconducting a review ofthelicensing requirements of so-calledindirect air service carriers like New Leaf.

As a result of the delay,NewLeafrefunded all ticketssold and suspended operations until it could sort out theregulatory turbulence.

NewLeaf'splan calledfor its flights tobe operated by Kelowna, B.C.-basedFlair Airlines, whichowns and operates its ownfleet of Boeing 737-400 jets.

• NewLeaf discount airline grounded: travellers react

Late Tuesday, the CTA cleared the air for NewLeaf byannouncingthat resellers companies like NewLeaf that purchase seats from an air carrier and resell them to the public don't haveto hold their ownair licence. Flair Airlines is a licensed carrier.

That gives NewLeaf clearance for takeoff. "This is a victory for Canadian travellers," CEO Jim Young said."We are determined to bring low-cost air travel pricing to the Canadian marketplace.With the completion of the CTA review, we will resume booking in the very near future."

At the company's launch in January, representatives saidNewLeafwould be headquartered in Winnipegwith hubs atKelowna International Airport andJohn C. Munro Hamilton International Airport in Hamilton, withservice to:

• Abbotsford, B.C.
• Halifax.
• Hamilton.
• Kelowna, B.C.
• Regina.
• Saskatoon.
• Winnipeg.

NewLeafalsoannounced one-way fares from as low as $89 to as high as $149, which includesall airline fees and additional taxes.

• NewLeaf to offer cheap Canadian flights

The fares are for seats only, which is why NewLeaf bills itself as a "no frills" company.

There will be fees for extras such ason-board snacks and drinks, checked luggage and carry-on bags that do not fit under seats.