note

The airline was created in 1988 by UK charter airline Air 2000. Original plan was to operate IT charters on behalf of travel agencies and other airlines. The airline was denied license to operate by the National Transport Agency NTA because of the control and ownership of the UK firm. Air 2000 dropped out of an ownership position, and the airline started operations in December 1988. In May 1989, if changed its name to "Canada 3000." The company was owned by the Deluce family (25%), chairman John Lecky (45%) and Adventure Tours (30%). After the demise of Wardair, Canada 3000 has become Canada's largest charter carrier. Company also help set up Aero Fiesta Mexicana. In 2000, Canada 3000 went public, raising $30 million in an IPO. In January 2001, Canada 3000 bought charter carrier Royal Aviation of Montreal for $84 million. The company also acquired the Royal Airlines' cargo operation, renaming it Canada 3000 Cargo. In March 2001, it acquired CanJet Airlines, for $7.5 million. In May 2001, following the merger of Canadian Airlines International with Air Canada, Canada 3000 started to operate scheduled flights. In October 2001, one month before its demise, Canada 3000 became the first airline to operate non-stop service from North America to India. On November 8, 2001 the company suddenly collapsed with no warning to travelers or employees due to mounting debt and sharp decline in bookings after the September 11th terrorist attacks in USA. The fleet was left grounded at various airports around the world, leaving 50,000 vacationers stranded. The airline was offered a $75 million loan guarantee from the Canadian government under the condition of a 'viable business plan' being produced. By November 7, 2001, the airline had $260 million in debt, and only $1.49 million in cash. In secret, it had applied to the Canada Labor Board for permission to cut labor costs by 30% by closing its Royal division immediately. The Board would not approve without union agreement. Union offer to cut 700 pilots and steward positions did not provide enough savings immediately and the airline applied for bankruptcy protection on November 8. At the same time airport authorities in Toronto and St. John's, Newfoundland has seized planes under court authority and the company directors decided to cease operations.

founded - demised (age)

1988 - November 8 2001  (13)

headquarters

27 Fasken Dr, Toronto, ON

web

base airports

CYYZ Lester B. Pearson International Toronto

related operators

Air 2000	co-founder
Vacationair	acquired 1990
Aero Fiesta Mexicana
Royal Aviation	acquired 1/01