Lynx Air has filed for protection from creditors under a CCAA filing and will officially cease flight operations after the completion of Sunday's flight schedule February 26, 2024.
In a legal filing in the courts of Alberta the company has listed current assets as of December 31,2023 at $53,331,00 and current liabilities as $126,921,000. In addition, the company lists 500 employees of record; 390 based in Alberta and 110 in Toronto.? You can view the filing here. ?
WestJet is offering assistance for passengers for 25% travel discount on routes previously served by Lynx and Canadian repatriation for transborder and sun destinations. Domestic fares on non-stop WestJet routes previously served by Lynx, for travel up until February 29, 2024, will not exceed $500 plus taxes and fees*.?Their travel agent resource site includes the discount code that is meant for travel agent-facilitated bookings to help best support your clients.?
TravelPulse Canada was first alerted to a communication sent to employees Thursday (Feb 22) evening.? An email from a Lynx Air spokesperson late Thursday night stated,?※This is a difficult day for everyone at Lynx Air and we recognize it＊s an exceptionally difficult day for our loyal customers. Growing financial pressures have made it impossible to continue our operations and we have filed for CCAA protection.
Right now, we are focused on working with passengers currently in transit to find alternative arrangements to reach their destination. We would also like to extend our gratitude to the Lynx team for their incredible efforts in helping to grow this airline from the ground up.§?
The airline is offering service until the end of the day Sunday in order to allow as many customers as possible to complete their journeys and return crews and aircrafts to base.?
"I know this is a terrible shock for many of you, and this was not how our story was intended to play out for the most part. We have been doing everything right over the past two years and build our brand, grow our company and expand to new markets and destinations," the communication reads.
It goes on to say the airline was part of a "transformational time in the airline industry" but the compounding financial pressures associated with inflation, fuel costs exchange rates, cost of capital, regulatory costs, and competitive tension in the Canadian market have ultimately proven too steep of an obstacle to overcome.
"While we did our best, the pressures mounted, and the risks increased, which has led to today＊s announcement in the days ahead.? It has been a highlight of my professional career serving as your leader over the last six months. This is a truly amazing team, and I will remain proud of what we have built together."
The news is on the heels of rumours of a merger with Flair Airlines, with reports of an announcement expected last week. As of Thursday night, there are no further merger details.
If your flight is for travel from Monday, February 26 onward, you can contact your credit card company and they will refund your flight. Please note: Lynx Air＊s contact centre will not be available to assist with refunds.?
*this is a developing story and will be updated
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