Canada Jetlines Ceases Operations

As of today, August 15, 2024, leisure airline Canada Jetlines has ceased operations, with the carrier imminently filing for creditor protection.

Canada Jetlines is the second casualty among Canadian airlines this year, following Lynx Air, which ceased operations in February.

Canada Jetlines Ceases Operations

Canada Jetlines has announced that it’s ceasing operations effective immediately, grounding its four Airbus A320 aircraft.

The verbiage in the airline’s statement indicates that the halt is intended to be temporary, but with no financing immediately available, it’s unlikely that the airline will be able to recover.

Earlier in the week, the airline saw its CEO, Brigitte Goersch, along with three key executives, leave the company. It went downhill from there, with the airline first breaking the impending cessation of its operations through an internal memo to employees.

However, just last week, Canada Jetlines announced that it will be filling its Winter 2024/25 timetable with flights between Toronto (YYZ) and Cancun (CUN), Fort Lauderdale (FLL), Fort-de-France (FDF), Miami (MIA), Montego Bay (MBJ), Puerto Plata (POP), St. Petersburg-Clearwater (PIE), and Tulum (TQO).

It was supposed to be a productive winter season for the airline, but alas, it wasn’t meant to be.

Canada Jetlines had scheduled an extensive winter timetable

Prior to today, the airline had been operating flights on behalf of Corendon Dutch Airlines and Air Arabia Maroc for the summer season, when Jetlines’s sun destinations don’t attract as much demand.

In Canada, the airline was supposed to operate flights out of Toronto for the remainder of the summer, but its last scheduled flights were operated in June.

Still, it’s surprising to find out about its grounding for two reasons: it seemed bullish for the winter season, but more importantly, there’s hardly any buzz or media coverage about the airline.

Frankly, little is known about Canada Jetlines – no thanks to its small footprint in Canada. With four aircraft, it’s dwarfed by other smaller airlines, such as Flair Airlines (with 32 aircraft) and the now-defunct Lynx Air (which had nine aircraft).

The airline initially planned to fly domestically but abandoned those plans in favour of leisure routes in the US, Mexico, and the Caribbean instead. Eventually, it operated only a handful of scheduled routes, seemingly putting more emphasis on vacation charters and leasing for other airlines.

In the end, it hardly made a mark in the Canadian market.

That being said, the demise of the airline will probably go unnoticed in the long run. The destinations to which it used to operate – Cancun, Orlando, Montego Bay, and Miami – are being contested by several airlines in Canada and the US and are therefore saturated with competition.

Moreover, Canada Jetlines didn’t really fill a gap from the get go. Rather, it merely added capacity to routes already being operated by leisure and low-cost airlines, and its proposition of offering packaged vacations to sun and leisure destinations was already being offered at a larger scale by the likes of Air Transat and Sunwing.

What to Do If You Hold Jetlines Tickets

If you hold a Canada Jetlines ticket, contact your credit card issuer for refunds and/or next steps. They might be able to help with a chargeback, but don’t count on it, since it’s tricky to lodge chargebacks with a company in liquidation.

A few travel insurance policies cover trip cancellations and interruptions due to bankruptcies, so be sure to check the policy of the credit card you booked with or the standalone insurance you may have purchased. You can get in touch with the insurance provider if you have policy-specific questions.

If you booked through a travel agent, contact them for next steps, as there may be compensation funds or guarantees that cover bankruptcies. For example, if you bought from a registered Ontario travel agency, you might be able to claim against the compensation fund of the Travel Industry Council of Ontario (TICO).

If you’re already travelling, it’s near-impossible that Jetlines will be able to help you fly home or to your next destination. You must proactively make alternative arrangements, especially if you need to travel as soon as possible.

While you can wait for other airlines to offer a discount to stranded passengers, the better option is for you to purchase flights before they get more expensive and you’re forced to spend more days in your destination. You can worry about the details later.

Conclusion

Canada Jetlines has ceased operations as of August 15, 2024, grounding its four Airbus A320 aircraft.

The cessation of its operations is supposed to be temporary, but with no immediate financing available, the airline is unlikely to recover.

If further details emerge, we’ll be sure to update our website.