Highlights

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1. In 2005, the all-fare index (2002=100) for domestic and international (including Canada-United States) scheduled services operated by Canadian Level I air carriers rose 0.6% from 2004 to reach 90.9, the first growth after two consecutive annual declines. The air fare index for all fares for domestic scheduled services was 91.1, up 5.0% from the 2004 level of 86.8, while the all-fare index for international scheduled services posted a decrease of 3.1% from 2004, to stand at 90.3.
2. In 2005, the average domestic and international one-way air fare (all types) paid by passengers was $251.20, up 0.5% from $249.90 in 2004. This increment followed the slight recovery of fares that started in 2004, after the strong annual decline reported between 2002 and 2003 (-11.8%). The average domestic air fare (all types) paid by passengers was $191.40 in 2005, up 5.9% from $180.70 in 2004. The average international air fare (all types) was $345.50 in 2005, down 4.6% from $362.10 in 2004.
3. In 2005, 96.8% of passengers on domestic and international scheduled services flew on discount fares, slightly down (0.4 percentage points) from the record 97.2% in 2004 and up 1.4 percentage points from 95.4% set in 2003. On domestic scheduled services, 95.9% of passengers travelled on discount fares in 2005, down 0.2 percentage points from the record 96.1% in 2004 and up 2.5 percentage points from 93.4% in 2003. Deep discount traffic (discounted 30% or more off the economy fare) and shallow discount traffic (discounted less than 30% off the economy fare) accounted for 89.1% and 6.8%, respectively of total domestic traffic in 2005. On international scheduled services, 98.3% of passengers flew on discount fares in 2005, down 0.7 percentage points from 99.0% in 2004.