Alberta opposition decimated as leader, eight others cross floor

CALGARY, Alberta (Reuters) - Alberta's official opposition party was decimated on Wednesday as nine of its 14 sitting members in the provincial legislature, including its leader, defected to the ruling Progressive Conservative party. Danielle Smith, who had been the only leader of the opposition Wildrose party since it was formed in 2008, said she and her colleagues decided to cross the floor and join the ruling Progressive Conservatives because Alberta's uncertain economic outlook demanded the unification of the province's right-wing parties. "This is a time, especially in this era of global economic uncertainty, when we need conservatives to stand together," Smith told reporters. Wildrose was one of the few effective opposition parties the Progressive Conservatives have faced since they came into power in 1971. However Jim Prentice, the former federal minister and investment banker who became the ruling party's leader and provincial premier in September, said the time was right for a unification of the two parties. "Our province needs united leadership and shared purpose in tackling the challenges we face," he said. Alberta, whose oil sands are the largest single source of U.S. oil imports, is facing a weak fiscal economy with crude prices down by about half since June. Prentice imposed spending restraints on the provincial government earlier this week after warning that low oil prices could cut its revenue by as much as C$7 billion ($6.01 billion). Prentice said he has not yet decided if Smith or any of her colleagues would be appointed to the government's cabinet. The Conservatives held 63 of 87 seats in the provincial legislature before the defections. The province's next elections are scheduled for no later than May 2016. (Reporting by Scott Haggett; Editing by Alan Crosby)