Plans to merge First Air (Carp) and Canadian North (5T, Yellowknife) have taken yet another step forward following the signing of a definitive agreement between the two carriers' respective owners, Makivik Corporation and the Inuvialuit Corporate Group (ICG).
A statement issued on Friday, September 28 said that following the receipt of all requisite government regulatory approvals, Makivik and ICG will proceed with the merger's completion, expected to take place by the end of 2018.
Once done, the newly merged carrier will operate under the name "Canadian North" but with aircraft featuring the new First Air livery, including its Inukshuk logo. The airline's headquarters will also be located in Ottawa.
"The combined airline will have more opportunity to generate economic spinoffs in our communities," Charlie Watt Sr., Makivik President, said. "This agreement solidifies our shared vision for a Pan-Arctic Airline Company which will eventually offer a better circumpolar service than ever before."
Makivik and ICG expect the merged airline to deliver a number of benefits both in terms of cost advantages, operations, business opportunities, and overall customer satisfaction.
Among the areas which will see immediate benefits include improved scheduling which will result in improved connections for Northern communities; potential for the opening of new routes in Canada's North; fleet modernization with specialization in the maintenance of B737 and ATR aircraft; and an expanded charter business with focus on Alberta's natural resources and Northern charters, including for tourism.
