Hawkair Aviation Services (Terrace) filed for bankruptcy on Friday, November 18 with Crowe MacKay and Company appointed the firm's administrator for the duration of the process.

A meeting with creditors is set to be convened on December 12 to discuss the carrier's financial state.

Faced with dwindling margins, Hawkair has been consolidating its operations since earlier this year in a bid to contain its cost base. In January of this year, Hawkair ceased operating its own scheduled flights in British Columbia and Alberta preferring instead to wet-lease its aircraft out to parent firm, Central Mountain Air (9M, Smithers), under a Capacity Purchase Agreement (CPA). However, in September, CMA ended its sixteen-year relationship with Haawkair when it cancelled the remaining Terrace to Vancouver International direct scheduled service.

As it stands, the bankruptcy filing does not affect Central Mountain Air.

Founded in 1998, Hawkair operated two Dash 8-100s and various smaller light aircraft on flights throughout British Columbia and Alberta.