Air Canada Discontinues 14 Atlantic Canadian Routes
SAINT JOHN — Air Canada announced Tuesday that it’s indefinitely suspending service on 30 domestic regional routes and closing eight stations at regional airports in Canada— including 14 Atlantic Canadian routes and its station at the Bathurst Airport.
The carrier says the changes to its domestic regional network come as a result of continuing weak demand for both business and leisure travel due to Covid-19 and provincial and federal government-imposed travel restrictions and border closures, which it says are diminishing prospects for a near-to-mid-term recovery.
Air Canada previously said that it expects the industry’s recovery will take a minimum of three years. It says other changes to its network and schedule, as well as further service suspensions, will be considered over the coming weeks as it takes steps to decisively reduce its overall cost structure and cash burn rate.
The following Atlantic Canada routes will be suspended indefinitely. Affected customers will be contacted by Air Canada and offered options, including alternative routings where available:
-
- Fredericton–Halifax
- Fredericton–Ottawa
- Moncton–Halifax
- Saint John–Halifax
- Charlottetown–Halifax
- Moncton–Ottawa
- Bathurst–Montreal
- Gander-Goose Bay
- Gander–St. John’s
- Wabush-Goose Bay
- Wabush–Sept-Iles
- Goose Bay-St. John’s
- Deer Lake-Goose Bay
- Deer Lake–St. John’s
Besides the Bathurst Airport, Air Canada is also cutting its station in Wabush, Newfoundland and Labrador.
As a result of COVID-19, Air Canada reported a net loss of $1.05-billion in the first quarter of 2020, including a net cash-burn in March of $688-million.
Other measures that carrier has taken to save money include cutting 20,000 employees, representing more than 50 percent of its staff, through layoffs, severances, early retirements and special leaves; the permanent removal of 79 aircraft from its mainline and Rouge fleets; and raising approximatively $5.5 billion in liquidity since March 13, 2020, through a series of debt, aircraft and equity financings.