Low-cost Canadian carrier Lynx Air is to cease operations from February 26 2024, citing a number of ‘significant headwinds’ experienced over the last year including rising operating costs, high fuel prices, exchange rates, increasing airport charges and ‘a difficult economic and regulatory environment’.
Lynx has filed for (and obtained) an initial order for creditor protection from the Court of the King’s Bench of Alberta under the Companies’ Creditors Arrangement Act (CCAA). Osier, Hoskin & Harcourt are acting as legal advisors to the airline, with FTI Consulting Canada appointed as the CCAA Monitor.
Despite doubling its volume of passengers over the last two years, Lynx adds that ‘the challenges facing the company’s business have become too significant to overcome,’ ruling out options of a sale or merger.
Lynx Air to cease operations
