Skyservice Airlines announced on Wednesday that it is shutting down its operations following the appointment of a receiver by the Ontario Superior Court of Justice.
The airline, which cancelled several departing flights out of Lester B. Pearson International Airport earlier in the day without explanation, said in a statement later that the cancellation of operations was due to “recent changes in the Canadian vacation tour market combined with Skyservice Airlines’ debt level have rendered the company unable to maintain profitable operations.”
“As a result, one of the company’s secured lenders applied for the appointment of the receiver,” the statement added.
Skyservice, however, said that only one flight had been affected by the cancellation on Wednesday including “all remaining flights scheduled to depart Canada during the balance of the season in April.”
The affected flight was to depart for the Dominican Republic on Wednesday, the airline said.
The return leg of that flight has also been cancelled.
“The company has requested, and the receiver has agreed, to work with the company’s tour operator customers and other lift providers to ensure that passenger issues are resolved promptly.”
Founded in 1986, Skyservice Airlines was the “number one requested airline for the charter industry with customers that include tour operators, corporations, professional sport teams, governments, relief agencies, and travel incentive companies,” said their website.
The airline operated more than 20 commercial aircraft including the Airbus A320, A330, and the Boeing 757, to and from destinations in Canada, the United States, the Caribbean, Mexico and Europe.
Skyservice once employed over 1,200 employees during peak operations.