In other airline news Zoom Airlines will not be operating its low-cost flight from Toronto this summer.

Zoom did not attribute rising fuel prices for its cancellation, instead UK air authorities are to blame its spokesman said.

Apparently a number of airlines in the UK have had difficulties operating in Canada and felt it would be inappropriate for the UK Government to grant the Canadian airline's application.

Canada's Zoom Airlines Inc. planned to introduce a new weekly Toronto-Bermuda-London service beginning in May of this year. Zoom Airlines Ltd., a sister airline based in the United Kingdom, already provides service between Bermuda and London.

The Premier and Minister of Tourism Dr. Ewart Brown, said: "This is disappointing news but we will not cease our efforts to bring more low-cost service to Bermuda. This development does not defer the Ministry's goal of securing more competition for more routes in the interest of better service and prices for customers — both visitors and residents alike."

The objections were made because there has been slow progress in an EU/Canada "Open Skies" agreement similar to the one in place between the EU and the United States. Other reasons cited were current restrictions in place on leasing aircraft between UK and Canadian airlines and Canadian fare registration requirements

Bermuda's Acting Director of Tourism Ian MacIntyre said: "This blocking action was a reactive one taken by UK airlines against Zoom, a Canadian airline, and as such, it proved beyond our capabilities to affect the outcome."

Zoom's seasonal service between Bermuda and London Gatwick starts today.