The COVID-19 pandemic caused an unprecedented crisis in the global tourism sector. Border closures and strict measures for travelers forced many airlines to keep their planes grounded for long periods. In this context, an airline operating in the United States and Canada declared bankruptcy despite its efforts to overcome the crisis. financial crisis.
While the economic recovery allowed many airlines to resume operations after the pandemic, others were severely affected and had to modify their business models to survive. The lack of financial support and prolonged uncertainty about the sector’s recovery contributed to a series of bankruptcies that marked a dark period for the aviation industry.
An airline operating in the United States has filed for bankruptcy. Photo: Semana
Airline operating in the United States and Canada files for bankruptcy due to financial crisis
On August 15, it was reported that Canada Jetlinesa North American low-cost airline, has filed for bankruptcy. The Canadian airline ultra low costwhich had started operations almost two years ago, decided to cease its activities immediately due to a financial crisis.
The airline, which primarily operated flights to sunny Canadian destinations as well as cities in United States, Mexico and the Caribbeanwas unable to obtain the capital necessary to continue its operations.
Canada Jetlines has filed for bankruptcy due to a financial crisis. Photo: Canada Jetlines
“The company has explored all available financing alternatives, including strategic transactions and equity and debt financing,” the spokeswoman said. Erica Dymond in a statement. “Unfortunately, despite these efforts, the company has not been able to secure the financing necessary to continue its operations at this time,” it added.
Before ceasing operations, the Canadian airline had announced an ambitious plan that included new routes from Toronto to destinations such as Fort Lauderdale, Fort-de-France and Tulum for the 2024/25 winter season.
What will happen to passengers affected by the bankruptcy of Canada Jetlines?
The Canadian airline said passengers with reservations will need to contact their credit card company to request a refund. refund“We are doing everything possible to assist passengers at this time,” the company said.
The cessation of operations follows the resignation of four executives on August 15: Ryan Goepel, Beth Horowitz, Shawn Klerer and Brigitte Goersch, who held the position of CEO.
The company plans to file for creditor protection, indicating that it is looking for ways to restructure its operations. However, no information has yet been provided on when the application will be made or what the next steps will be.
