Latest news with #CanadianNorth
Hamilton Spectator
18 hours ago
- Business
- Hamilton Spectator
GN ready to ‘share' risks, benefits of owning Canadian North: Community services minister
The Government of Nunavut could become part-owner of the territory's biggest airline under a new 10-year agreement it has entered with the owner of Canadian North. 'Our airline is our only road system,' said David Akeeagok, the territory's community services minister. 'What better thing to have than an equity stake, because we rely solely on it.' The agreement with Bradley Air Services — a subsidiary of Exchange Income Corp. — was announced July 16. Exchange Income Corp. owns Calm Air, Keewatin Air and Canadian North. The parties started negotiating the contract in February after the $205-million acquisition of the airline by the Winnipeg-based company was announced. The new agreement replaces existing separate agreements the territorial government had with Calm Air and Canadian North. It covers duty travel, medical travel and cargo services that the airlines provide to the government, Carmele Peter, president of Exchange Income Corp., said in a phone interview Thursday. The agreement also tasks the corporation with reporting to the territorial government on the quality of service the airline provides with an aim to prompt 'greater focus on time performance,' a reduction of 'service interruption' and an improvement in the quality of Canadian North's overall services for both for GN and non-GN travellers, Peter said. 'The travel agreement includes clear performance expectations for service delivery, reliability and freight,' said Casey Lessard, communications director for the Department of Executive and Intergovernmental Affairs. 'If service quality declines, the GN can escalate concerns directly to [Exchange Income Corp.] leadership. The GN also retains influence through the scale of our contracted travel.' The agreement gives the Nunavut government the opportunity to buy equity in Bradley Air Services (operating as Canadian North) as well. If that were to happen, the GN would become the airline's minority owner. The GN has a year to decide this issue. If territorial leaders were to say yes, the move would require policy framework, legislation and a go-ahead from the legislative assembly, along with approval by Exchange Income Corp.'s financial management board, Akeeagok said. The exact amount of equity is still in discussion. A final decision on whether to buy into the airline would not happen in the life of the sixth legislative assembly, seeing as the territorial election will be held Oct. 27, Akeeagok said. Neither Akeeagok nor Exchange Income Corp. said whether Canadian North is a profitable company. In 2023, Pita Aatami, president of Makivvik Corp., the previous owner of the airline, said it was ' losing millions .' The Nunavut government understands the air industry 'hasn't necessarily been a profitable place to be,' Akeeagok said. 'It's something that as a government, I think if we have equity, then we can share those risks and ensure that our road system is intact,' he said. Error! Sorry, there was an error processing your request. There was a problem with the recaptcha. Please try again. You may unsubscribe at any time. By signing up, you agree to our terms of use and privacy policy . This site is protected by reCAPTCHA and the Google privacy policy and terms of service apply. Want more of the latest from us? Sign up for more at our newsletter page .
Hamilton Spectator
a day ago
- Business
- Hamilton Spectator
Shocked by new Canadian North prices? It's just a ‘clerical error'
Alex McConnachie couldn't believe his eyes: When he checked Canadian North's website Monday morning, it said the price of a one-way ticket from Ottawa to Iqaluit had more than tripled to approximately $2,000. 'I'm a hostage to these fares,' said McConnachie, who lives in Iqaluit and shares custody of his 12-year-old son with his ex-wife, who lives in Halifax. Under their custody agreement, McConnachie has to pay for the plane ticket for his son to travel to visit his mother regardless of how much the ticket costs. 'So if they say that flight is $9,000, I have to pay it,' he said, adding that a drastic increase in Canadian North prices would mean that simply fulfilling his duties as a father might drive him deep into debt. Turns out, it was all a false alarm. A 'clerical error' led to one-way tickets — which usually sell for approximately $500 — being listed for $1,800 to $2,000 on Canadian North's website Monday, said Lauren D'Oliveira, an airline spokesperson. D'Oliveira said it might take some time for the website to update, but early Monday afternoon it still listed the wrong prices. 'We can confirm a configuration error during a recent system update did affect fares that would have been visible on our website,' said Pam Plaster, vice-president for investor development for Exchange Income Corp., the airline's owner. She said fares are not being increased. Plaster said Canadian North will contact passengers, such as McConnachie, who already booked flights at the incorrect prices to issue 'appropriate refunds.' D'Oliveira said she didn't know the exact number of passengers who will receive a refund or when the incorrect prices first appeared on the website. Canadian North was recently acquired by Exchange Income Corp. Its chief executive officer, Mike Pyle, promised the sale would not drive up the airline's fares. News that the price hike was an error came as relief to McConnachie. He said the panic he and other Nunavummiut experienced reminded him of a long-running joke that the North's dominant airline's motto should be: 'Canadian North — what are you gonna do, walk?' 'It's not like we have other options,' McConnachie said. Doubling the price of tickets would have contravened the orders of Transport Canada, the federal department responsible for national transportation policies and programs. In 2023, the department announced conditions for Canadian North's 2019 merger with First Air that included a 25 per cent cap on annual fare increases. The conditions remain in effect until June 30, 2026. 'Transport Canada monitors Canadian North's compliance with the terms and conditions and will take the appropriate actions should they not be complied with,' Hicham Ayoun, spokesperson for Transport Canada, said in an email Monday. Error! Sorry, there was an error processing your request. There was a problem with the recaptcha. Please try again. You may unsubscribe at any time. By signing up, you agree to our terms of use and privacy policy . This site is protected by reCAPTCHA and the Google privacy policy and terms of service apply. Want more of the latest from us? Sign up for more at our newsletter page .
CBC
7 days ago
- Business
- CBC
Nunavut enters into new 10-year agreement for air transportation services
The Government of Nunavut has entered into a 10-year agreement with Bradley Air Services — which operates as Canadian North — to cover various air transportation services, such as duty travel, medical travel and cargo. It also introduces "specific parameters" around family services travel that weren't in place in prior contracts, according to the government. "In Nunavut, air travel is a lifeline – it's our highway," said Nunavut Premier P.J. Akeeagok in a statement. "It connects our families, delivers essential goods and services, and keeps our communities strong. Reliable air service is the backbone of our territory's social and economic wellbeing, and it's vital to ensuring equity and opportunity for all Nunavummiut." According to the territorial government, the cost of the agreement will depend on the amount of travel for the various services. "The agreement details base prices for GN [Government of Nunavut] contracted air fares and freight with escalation measures for factors such as fuel, inflation and regulatory changes," reads a news release from the territory. The new agreement, which came into effect on July 15, consolidates air services for the territory's three regions under a single contract, as Canadian North subcontracts services in the Kivalliq region to Calm Air. The contract also includes additional provisions "for monitoring and managing airline performance and clarity on fare attributes for passengers travelling on GN contract fares." Earlier this year, the airline was sold to the Winnipeg-based Exchange Income Corporation, which owns several other regional airlines. The Makivvik Corporation and the Inuvialuit Development Corporation, the previous owners of Canadian North, announced the sale in February for the sum of $205 million. The Competition Bureau of Canada formally approved the sale earlier this month.
National Post
16-07-2025
- Business
- National Post
Exchange Income Corporation and the Government of Nunavut Enter into Long Term Air Service Agreement for the Entire Territory of Nunavut
Article content WINNIPEG, Manitoba — Exchange Income Corporation (TSX: EIF) ('EIC' or the 'Corporation') a diversified, acquisition-oriented company focused on opportunities in the Aerospace & Aviation and Manufacturing segments, announces that its wholly owned subsidiary Calm Air International LP ('Calm Air') and its newly acquired subsidiary Bradley Air Services Limited, doing business as Canadian North ('Canadian North'), have entered into a long term agreement (the 'Agreement') with the Government of Nunavut ('GN') for the provision of medical travel, family services travel, duty travel and less than load air freight for all of Nunavut. These services are currently being provided by Calm Air in the Kivalliq region and Canadian North in the Kitikmeot and Qikiqtaaluk region. The Agreement extends the provision of those services by Calm Air and Canadian North for 10 years with an option for the parties to extend the agreement for an additional 5 years, providing long term stability to EIC's operations in Nunavut. Article content Although the scope of the services under the Agreement remains the same, the tenor of the Agreement is focused on collaboration, communication, adaptability to meet the needs of Nunavut and flexibility to address changes in the aviation industry. The Agreement reflects the desire of the GN and EIC to work in partnership to achieve their mutual objective of providing enduring, stable and affordable air travel in Nunavut. As a further reflection of the deep partnership between EIC and the GN, EIC has granted the GN an option to purchase a significant minority of Canadian North. The option is exercisable for one year from the date of the Agreement. If the GN exercises the option, the term of the Agreement is automatically extended to 15 years. Article content 'We are thrilled to be the GN's choice to provide long term air services to Nunavut, and it is reflective of the trusted and valued relationship we have with the GN. The North is a unique and challenging environment to operate in, but our airlines have been doing it successfully for over 50 years. It's what we do and do well,' stated Mike Pyle CEO of EIC. He continued, 'We understand the importance of air travel in Nunavut, the pivotal role the GN plays as its core customer, the long term commitments that are required to be successful and the need to work in partnership with the communities which means investing in the communities and in their people. This is why over the years we have made significant investments in infrastructure in the communities, supported youth sporting events, annually bring community members to Winnipeg to attend the Winnipeg Blue Bomber game played in honor of the National Day for Truth and Reconciliation and established the Atik Mason Indigenous Pilot Pathway in Rankin Inlet – which we recently announced the doubling of its size in Nunavut in 2026. This long term Agreement provides significant stability of our operations in the North and allows EIC to continue to make these types of investments in Nunavut for years to come.' Article content About Exchange Income Corporation Article content Exchange Income Corporation is a diversified acquisition-oriented company, focused in two segments: Aerospace & Aviation and Manufacturing. The Corporation uses a disciplined acquisition strategy to identify already profitable, well-established companies that have strong management teams, generate steady cash flow, operate in niche markets and have opportunities for organic growth. For more information on the Corporation, please visit Article content Article content . Additional information relating to the Corporation, including all public filings, is available on SEDAR+ ( Article content ). Article content Caution concerning forward-looking statements Article content The statements contained in this news release that are forward-looking are based on current expectations and are subject to a number of uncertainties and risks, and actual results may differ materially. Many of these forward-looking statements may be identified by looking for words such as 'believes', 'expects', 'will', 'may', 'intends', 'projects', 'anticipates', 'plans', 'estimates', 'continues' and similar words or the negative thereof. These uncertainties and risks include, but are not limited to, external risks, operational risks, financial risks and human capital risks. External risks include, but are not limited to, risks associated with economic and geopolitical conditions, competition, government funding for Indigenous health care, access to capital, market trends and innovation, general uninsured loss, climate, acts of terrorism, armed conflict, labour and/or social unrest, pandemic, level and timing of government spending, government-funded programs and environmental, social and governance. Operational risks include, but are not limited to, significant contracts and customers, operational performance and growth, laws, regulations and standards, acquisitions (including receiving any requisite regulatory approvals thereof), concentration and diversification, maintenance costs, access to parts and relationships with key suppliers, casualty losses, environmental liability, dependence on information systems and technology, cybersecurity, international operations, fluctuations in sales prices of aviation related assets, fluctuations in purchase prices of aviation related assets, warranty, performance guarantees, global offset and intellectual property risks. Financial risks include, but are not limited to, availability of future financing, income tax matters, commodity risk, foreign exchange, interest rates, credit facility and the trust indentures, dividends, unpredictability and volatility of securities pricing, dilution and other credit risk. Human capital risks include, but are not limited to, reliance on key personnel, employees and labour relations and conflicts of interest. Article content Article content Article content Article content Article content Contacts
Business Wire
16-07-2025
- Business
- Business Wire
Exchange Income Corporation and the Government of Nunavut Enter into Long Term Air Service Agreement for the Entire Territory of Nunavut
WINNIPEG, Manitoba--(BUSINESS WIRE)--Exchange Income Corporation (TSX: EIF) ('EIC' or the 'Corporation') a diversified, acquisition-oriented company focused on opportunities in the Aerospace & Aviation and Manufacturing segments, announces that its wholly owned subsidiary Calm Air International LP ('Calm Air') and its newly acquired subsidiary Bradley Air Services Limited, doing business as Canadian North ('Canadian North'), have entered into a long term agreement (the 'Agreement') with the Government of Nunavut ('GN') for the provision of medical travel, family services travel, duty travel and less than load air freight for all of Nunavut. These services are currently being provided by Calm Air in the Kivalliq region and Canadian North in the Kitikmeot and Qikiqtaaluk region. The Agreement extends the provision of those services by Calm Air and Canadian North for 10 years with an option for the parties to extend the agreement for an additional 5 years, providing long term stability to EIC's operations in Nunavut. Although the scope of the services under the Agreement remains the same, the tenor of the Agreement is focused on collaboration, communication, adaptability to meet the needs of Nunavut and flexibility to address changes in the aviation industry. The Agreement reflects the desire of the GN and EIC to work in partnership to achieve their mutual objective of providing enduring, stable and affordable air travel in Nunavut. As a further reflection of the deep partnership between EIC and the GN, EIC has granted the GN an option to purchase a significant minority of Canadian North. The option is exercisable for one year from the date of the Agreement. If the GN exercises the option, the term of the Agreement is automatically extended to 15 years. 'We are thrilled to be the GN's choice to provide long term air services to Nunavut, and it is reflective of the trusted and valued relationship we have with the GN. The North is a unique and challenging environment to operate in, but our airlines have been doing it successfully for over 50 years. It's what we do and do well,' stated Mike Pyle CEO of EIC. He continued, 'We understand the importance of air travel in Nunavut, the pivotal role the GN plays as its core customer, the long term commitments that are required to be successful and the need to work in partnership with the communities which means investing in the communities and in their people. This is why over the years we have made significant investments in infrastructure in the communities, supported youth sporting events, annually bring community members to Winnipeg to attend the Winnipeg Blue Bomber game played in honor of the National Day for Truth and Reconciliation and established the Atik Mason Indigenous Pilot Pathway in Rankin Inlet – which we recently announced the doubling of its size in Nunavut in 2026. This long term Agreement provides significant stability of our operations in the North and allows EIC to continue to make these types of investments in Nunavut for years to come.' About Exchange Income Corporation Exchange Income Corporation is a diversified acquisition-oriented company, focused in two segments: Aerospace & Aviation and Manufacturing. The Corporation uses a disciplined acquisition strategy to identify already profitable, well-established companies that have strong management teams, generate steady cash flow, operate in niche markets and have opportunities for organic growth. For more information on the Corporation, please visit Additional information relating to the Corporation, including all public filings, is available on SEDAR+ ( Caution concerning forward-looking statements The statements contained in this news release that are forward-looking are based on current expectations and are subject to a number of uncertainties and risks, and actual results may differ materially. Many of these forward-looking statements may be identified by looking for words such as 'believes', 'expects', 'will', 'may', 'intends', 'projects', 'anticipates', 'plans', 'estimates', 'continues' and similar words or the negative thereof. These uncertainties and risks include, but are not limited to, external risks, operational risks, financial risks and human capital risks. External risks include, but are not limited to, risks associated with economic and geopolitical conditions, competition, government funding for Indigenous health care, access to capital, market trends and innovation, general uninsured loss, climate, acts of terrorism, armed conflict, labour and/or social unrest, pandemic, level and timing of government spending, government-funded programs and environmental, social and governance. Operational risks include, but are not limited to, significant contracts and customers, operational performance and growth, laws, regulations and standards, acquisitions (including receiving any requisite regulatory approvals thereof), concentration and diversification, maintenance costs, access to parts and relationships with key suppliers, casualty losses, environmental liability, dependence on information systems and technology, cybersecurity, international operations, fluctuations in sales prices of aviation related assets, fluctuations in purchase prices of aviation related assets, warranty, performance guarantees, global offset and intellectual property risks. Financial risks include, but are not limited to, availability of future financing, income tax matters, commodity risk, foreign exchange, interest rates, credit facility and the trust indentures, dividends, unpredictability and volatility of securities pricing, dilution and other credit risk. Human capital risks include, but are not limited to, reliance on key personnel, employees and labour relations and conflicts of interest. Except as required by Canadian Securities Law, Exchange Income Corporation does not undertake to update any forward-looking statements; such statements speak only as of the date made. Further information about these and other risks and uncertainties can be found in the disclosure documents filed by Exchange Income Corporation with the securities regulatory authorities, available at
