Southwest-WestJet codeshare pact is put on hold

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The sour economy is the reason for the delay in the codesharing program between low-cost U.S. carrier Southwest and Canada's WestJet.

Codesharing for the two airlines, originally scheduled to commence later this year, is being put off until 2010.

"In response to the current economic environment, Southwest is focusing its immediate attention on several critical objectives, including increasing our revenues," Bob Jordan, Southwest Airline's executive vice president, strategy and planning, said.

"WestJet understands the decision made by Southwest," Hugh Dunleavy, WestJet's executive vice president, commercial distribution, the Associated Press reported. "Our continued U.S. expansion is a key strategy for our airline, but codesharing is only one element of this. Both airlines remain committed to minimizing delays and are focused on generating revenue as quickly as possible."

Dunleavy said WestJet has already implemented a distribution agreement with Southwest and is close to starting a cargo program with the U.S. carrier.

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