Terrible news out of Calgary last night: Canadian airline Lynx Air will unfortunately cease operations very soon. ULCCs and their $30 flights have been around for decades in Europe, and also work very well in the U.S., Asia and many other places. But having 2 of them for such a small population here (and the high operating costs and flight taxes in Canada) has just claimed a rare victim.
I had been on Lynx Air’s inaugural flight and it was so promising after decades of Canada having the most expensive flights in the world…
Here are the details, and above all, what you need to do quickly if you’re affected or want to buy a flight to their 7 destinations from Montréal. Flytrippers is here to help!
Overview of Lynx Air bankruptcy
Here are the essentials:
- Lynx Air is ceasing all operations
- Starting this Monday, February 26 at 2:01 AM (Eastern Time)
- Most flights until then will be operated (but not all)
- They’ve run out of cash for a variety of reasons
- They’re protecting themselves from their creditors (as is the norm)
- What many know as a “bankruptcy“
Below, I’ll give you more details on the reasons given by Lynx Air and a brief on-the-spot analysis.
But I want to start with concrete actions you can take depending on your circumstances.
Lynx Air’s bankruptcy is extremely unfortunate for 2 types of travelers:
- Those with Lynx flights scheduled in the short term
- Like for spring break, which is coming up fast
- For the whole of next month, in fact, until Easter
- Beyond that, the impact is much less fortunately
- All the thousands of travelers who want to go to their 20+ destinations
- Who could have taken advantage of their super-low prices
- Or lower prices on other airlines thanks to Lynx’s competition
- It’s important to act fast in the short term
Actions to take quickly following Lynx’s bankruptcy (if you have flights with them)
First, here’s a reminder of the basics:
- You can be reimbursed for your flights with a chargeback
- Communicate with the bank who issues the credit card used
But that obviously doesn’t help you find another cheap flight!
Especially if your flight was within the next month. If you know the basics of how to save on plane tickets, you know that last-minute flights are almost always more expensive for almost all destinations.
Here are the basics:
- If you’ve already left and your return is before 2:01 AM Monday
- Confirm that your flight is not cancelled
- If you’ve already left and your return is after Monday 2:01 a.m. or canceled
- Call them quickly if you want to come back this weekend
- Otherwise quickly find an alternative flight
- WestJet has set maximum prices for routes operated by Lynx until February 29
- If you have flights scheduled between now and Easter
- Book alternative flights quickly
- Prices will just get worse
- All Lynx customers will be throwing themselves on these
- If you have flights scheduled after Easter
- Book quickly still
- But a little less bad, it’s not last-minute yet
To help you, I’ll remind you of a few basic tips to find cheaper flights.
Considering Lynx Air’s route network and its seasonality, those most affected are certainly those going to Florida. I’m going myself this Sunday, and I came veeeeeeeery close to booking with Lynx Air!
Here’s how to save last-minute for Florida:
- See prices from your city to Orlando or Tampa
- It might still not be so bad
- Don’t forget that the 2 cities have 2 airports
- Orlando (MCO and SFB a little further away)
- Tampa (TPA and PIE one bridge away)
- See prices from alternative U.S. airports to Orlando or Tampa
- Especially if you’re in Toronto, Montréal, and Vancouver
- If you want to save more, look from all your airports to all of Florida
- If you already had a rental car, it’s almost always cancelable
- It won’t be much more expensive to rent at a different airport
- Otherwise, buses and trains serve most major Floridian cities
- With more than one person, it may be worth looking to leave from further
- If you find a cash flight you like, do not book on third-party sites
- As always, go to the airline’s site directly
- If the price is similar (as is often the case)
- Use rewards of the more valuable type
- They offer guaranteed fixed prices
- It’s great when cash prices are expensive
Here’s how to save last-minute for Western Canada if you’re in the East:
- You have fewer options, given the lack of competition in Canada
- You can compare departures from other cities on Flair
- All the same points of the more valuable type as for Florida
- Except Avios and HSBC
Actions to take quickly following Lynx’s bankruptcy (if you want to go to their 20+ destinations)
I won’t beat about the bush: flight prices to Lynx’s destinations from your city are obviously going to be more expensive, because Lynx’s low prices were obviously much lower than the prices before.
We spotted flights:
- To Florida in the $100 roundtrip from Eastern Canada
- To Vegas in the $100s roundtrip from Western Canada
- Between Western Canada and Eastern Canada in the $200s
- Etc.
If you want to go to one of these destinations soon, it’s probably better to book earlier rather than later. Prices will go up.
Always use Skyscanner for your searches (or Kiwi for more advanced ones) and book directly on the airline’s site if the price is similar. If your trip is a little further away, you have time to take advantage of a welcome bonus to make it cheaper.
More on the Lynx Air bankruptcy
Lynx Air was launched in April 2022, less than 2 years ago. I spoke to their CEO on the inaugural flight, and they seemed very well-funded. Rumors of a merger with Flair had circulated last week, because having 2 ULCCs in Canada is a lot for sure, with a small population.
They’d grown a lot since their launch, though. They’d added lots of destinations and lots of planes. Their flight attendants had announced their unionization on February 7.
In their announcement about ceasing operations, Lynx Air cites 5 specific reasons.
I’ll list them in bold (verbatim from their press release), followed by my brief analysis as an aviation expert on the spot, if you’re interested.
Operating costs: It’s surely no surprise, with the inflation that was so predictable considering the insane amount of money governments spent during the pandemic. Even if you don’t have an MBA like me, that’s Economics 101.
High fuel costs: A recent report indicated that fuel costs for airlines are 4 times more per liter in Canada than in the United States. The federal government loves fuel taxes, I guess you’ve noticed that at the pump if you drive.
The exchange rate: The Canadian dollar has a terrible value. For lots of reasons, most of them caused by the current federal government.
High airport fees: A hidden tax on flights that doesn’t exist in the United States. The Canadian federal government charges very high rent to Canadian airports, in addition to preventing airports from financing themselves by forcing them to hand over their current lease completely free of debt.
Difficult economic and regulatory environment: Surprise… another thing the federal government controls. I remind you that taxes on flights in Canada are among the highest in the world (not ideal for ULCCs who want low prices) and Canadian airlines have a legal limit on the amount of foreign financing they can obtain (and Lynx just happened to run out of cash).
So, of course it’s an unfortunate and unexpected development. Just yesterday they were posting to encourage people to let their careers take flight with Lynx. Not a long flight for sure.
It’s obviously a shame for their employees, too, but the industry is in short supply of qualified aviation personnel with customer demand being through the roof since the pandemic. So let’s hope many can find a spot at other airlines. Especially at Flair, to help it grow faster to compensate for Lynx’s departure.
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Featured image: Lynx Air aircraft (photo credit: Lynx Air)
ha
they were killed by gov anti-growth policies coming from ‘politicians’, same team that dream about an dysneyish utopia based on renewable energy
see what’s is lack of vision and affected reason is driving Germany into, check lastest from Henry Johnston, and why Hertz is sellin’ by the thousands, hint: it uses more fossil fuel to produce than conventional ICE’s burn altogether, ha
Sad, Lynx was a great hope to help the market to boost revenue and make traveler’s save