Lynx Air to cease operations Monday, obtains creditor protection

Lynx Air, a Calgary-based airline that launched less than two years ago with a promise to make air travel more affordable for Canadians, says it will cease operations on Monday.

The news came as the low-cost airline announced it had sought and obtained an initial order for creditor protection from the Court of King’s Bench of Alberta.

“Over the past year, Lynx Air has faced a number of significant headwinds including rising operating costs, high fuel prices, exchange rates, increasing airport charges and a difficult economic and regulatory environment,” said the company in a news release.

“Despite substantial growth in the business, ongoing operational improvements, cost reductions and efforts to explore a sale or merger, the challenges facing the company’s business have become too significant to overcome.” 

A flight booking web page shows red bars that read: Lynx Air's operations will end Feb. 26, 2024.
A screenshot of the Lynx Air website landing page on Thursday evening. (Lynx Air)

The airline said it will cease operations at 12:01 a.m. MT on Monday, “with flights continuing to operate until that time.”

Osler, Hoskin & Harcourt LLP are acting as legal advisers to Lynx Air. FTI Consulting Canada Inc. was appointed as the monitor under the Companies’ Creditors Arrangement Act.

In an email statement to CBC News, a spokesperson with the airline said that “growing financial pressures have made it impossible” to continue operations. 

“We are focused on working with passengers currently in transit to find alternative arrangements to reach their destination,” the statement reads.

The company said passengers with existing bookings are advised to contact their credit card company to secure refunds for pre-booked travel. It also directed customers to its website.

Flight cancelled, passengers scrambling

But Lynx Air customer, Kara Brereton-Cooke, says her flight home to Winnipeg, which was scheduled for Saturday, has already been cancelled.

Brereton-Cooke said she received an email from Lynx Thursday evening following the announcement, advising that her flight from Vancouver to Winnipeg was cancelled. She and a group of seven friends have been left scrambling to find a way home.

“Seeing this email, we’re now all just frantic.”

The friends travelled to Vancouver for a bachelorette party, and were originally slated to fly home Friday. Brereton-Cooke says Lynx Air then rescheduled the original return flight to depart at 11 a.m. on Saturday, but then cancelled it entirely.

a screenshot of an email.
Kara Brereton-Cooke, a Lynx Air customer, received this email notifying her that her Saturday flight had been cancelled. Above is a screenshot of the email Brereton-Cooke received. It directs customers to request a refund through their credit card companies. (Supplied by Kara Brereton-Cooke)

The group booked an extra night of hotel accommodations for Friday night after their flight was rescheduled. Now, they’ve booked last-minute flights through Air Canada for Saturday. The trip has become more expensive than anyone expected, she told CBC News.

“We just want our compensation…

Read More: Lynx Air to cease operations Monday, obtains creditor protection

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