hide You are viewing an archived web page, collected at the request of University of Alberta using Archive-It. This page was captured on 16:55:22 Dec 08, 2010, and is part of the HCF Alberta Online Encyclopedia collection. The information on this web page may be out of date. See All versions of this archived page.
Heritage Community Foundation Presents
Alberta Online Encyclopedia
table anchor table anchor table anchor
Alberta's Aviation Heritage
spacer    Home   |   About Us   |   Contact Us   |   Partners   |   Sitemap spacer
spacer History, Planes, People and Virtual Heritage
Quicklinks

Alberta Government

Deregulation

Canadian Pacific

Small Airlines Bought Up

Max Ward Sells to Canadian

Quicklinks

Search Database Collections

Alberta Aviation Museum Tour
 
 

Canadian Pacific Sells its Airline

Canadian Pacific jetRussell Baker founded and built Pacific Western Airlines (PWA) into one of the strongest aviation companies in Western Canada, and by the late 1950s and early 1960s, the company was ready to continue expansion. Baker died in 1958, and the PWA president who succeeded him was a man named Donald Watson. Watson was a very savvy entrepreneur, and he moved to replace the bush planes of the company with DC-6Bs that could be used for long distance charter flights to destinations like Asia, the Cayman Islands, and England.

The expansion of PWA included new C-130 Hercules and Lockheed Electras that could be used to continue services to the north for civilian passengers and oil companies. As a result of federal regulations PWA could not fly from Vancouver to Toronto, so it started flights to Buffalo, New York, and Seattle, which brought substantial profits.

In 1974, Premier Lougheed of Alberta bought all the shares of PWA and moved the head office to Calgary. Watson resigned and was replaced by Rhys Eyton. With the change, PWA continued to grow in strength.

PWA was able to purchase the regional airline Transair, and showed record profits generated from its charter passenger service in 1983. With such a strong showing, PWA was privatized in 1983. PWA showed such a strong performance that it was able to buy Canadian Pacific Airlines when deregulation came into effect in 1986.

PWA was able to pay $300 million for Canadian Pacific Airlines and assume its debt of $600 million. The new airline that was formed when PWA bought Canadian Pacific Airlines was Canadian Airlines International.
 

divider
spacer    Copyright © 2004 Heritage Community Foundation All Rights Reserved spacer
Alberta's Aviation Heritage

Albertasource.ca | Contact Us | Partnerships
            For more on aviation in Alberta, visit Peel’s Prairie Provinces.
Copyright © Heritage Communty Foundation All Rights Reserved