Ultra-low-cost carrier Lynx Air, based in Canada with a destination map that includes domestic locations as well as those in the United States and Mexico, announced Friday that it would cease operations Feb. 26.
The airline, which launched in April 2022 and in December had been added to the TSA PreCheck program, said that despite substantial growth, ongoing operational improvements, cost reductions and efforts to explore a sale or merger, "the challenges facing the company's business have become too significant to overcome."
The carrier canceled flights over the weekend "as we work to bring aircraft, crew and as many passengers as possible home," according to the carrier. A FAQ page on its website said that passengers affected by a cancellation must contact their credit card provider for a refund, as "Lynx Air will not be able to assist with refunds or accommodations."
Air Canada on Friday said it would cap fares and add more than 6,000 seats in select markets in response to the Lynx announcement. The fares were available before Feb. 26 for travel through April 2. Air Canada said it would not honor Lynx Air tickets and advised affected customers to consult the Canadian Transportation Agency.
Air Canada also said it planned to add incremental capacity on routes Lynx operated, from each Toronto and Montreal to Cancun, Fort Myers, Orlando, Tampa, Phoenix and Las Vegas between Feb. 25 and March 19. However, "flights are already relatively full and the carrier's ability to increase capacity further is limited," according to Air Canada.