The Canadian budget airline Lynx Air has confirmed it will be halting all operations from 12:01 a.m. MT on Monday, February 26th.
The airline said the decision to cease operations was a very difficult decision one to make and its management team had worked tirelessly to find a solution to keep going but had encountered several challenges along the way. "The decision was made quickly to wind down operations while leaving enough time to get our crews and as many of our passengers as possible home." the carrier said.
Lynx Air had put a lot of work and effort into the growth and expansion over the past two years, in a crowded Canadian commercial aviation industry. However, the compounding financial pressures associated with inflation, fuel costs, exchange rates, cost of capital, regulatory costs along with the highly competitive marketplace have ultimately proven too be too much for the fledgling airline to conquer.
Lynx Air advised that it would try to ensure to bring as many of its passengers back home as possible up to its last flights over the weekend. The airline is notifying passengers via email if their flight has been cancelled.
The airline stated: "We hope in our absence that our vision to Inspire More Canadians to Fly leaves its mark on our passengers. Offering low fares to inspire Canadians to fly more and to spend more enjoying time with loved ones in beloved destinations was a great privilege. Thank you for supporting us in our journey. - We are thankful for the loyalty of our passengers who value our ultra-low-cost carrier model. We know this is a shock to many and our goal is to make the wind-down of our operations as seamless as possible. It has been a privilege to serve you."
Air Canada said today it will cap fares and add more than 6,000 seats in select markets operated by Lynx Air in response to the airline's announcement that it is suspending operations beginning February 26, 2024. The measures are to provide Lynx Air customers affected by the carrier's shutdown affordable options in the Economy cabin on Air Canada flights for travel within Canada, to the US and to Cancun in Mexico so they can return home or make alternative travel arrangements for planned winter trips.
Canada's other big carrier, WestJet said it was aware that Lynx Air has initiated CCAA proceedings and the resulting news that Lynx intends to cease operations at 12:01 a.m. MT on Monday, February 26, 2024.
It made the following statement, "We recognize the immediate impact this information has on passengers and employees of Lynx, and we are committed to assisting where we can through a number of actions:
New Bookings: 25% discount, by using discount code WESTJET, on all economy cabin fares on non-stop WestJet routes prviously served by Lynx, for travel between February 22, 2024 and October 26, 2024, booking to be made up until February 29, 2024.
Canadian repatriation for transborder and sun: Fares are capped at $250 plus taxes and fees on all northbound economy cabin fares, on non-stop WestJet routes previously served by Lynx, for travel up until February 29, 2024, booking to be made before February 29, 2024.
All 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.
All bookings should be made online through westjet.com. WestJet has managed pricing to ensure fares reflect a reduction from what would typically be charged.
We are communicating closely with government officials and supporting agencies that are also working to address the needs of those impacted."
The Canadian Transport Agency advised Lynx Air passengers the following:
Passengers who are stranded or who have purchased a ticket for future travel with Lynx Air should contact their travel agent or transportation provider as soon as possible to see if it is possible to make alternative arrangements. If not, they may need to secure their own alternative travel arrangements.
Passengers who paid for their tickets by credit card should contact their credit card company to see what they are eligible for.
If travel insurance was purchased, passengers should contact the insurance company to see if their coverage includes such circumstances.
If passengers purchased their travel arrangements from a travel agent that is registered in Ontario, Quebec or British Columbia, they may be eligible for a refund from the provincial government authorities responsible for travel.