Skyservice Airlines, which flies on behalf of tour operators, is shutting down.
The charter carrier will announce Wednesday that a receiver will be appointed to oversee the winding down of the debt-laden company, industry insiders said Wednesday.
The closing of Skyservice comes after Sunwing Travel Group, which has its own planes, merged recently with Signature Vacations. Sources say Sunwing had held talks with Skyservice for an early cancellation of the charter airline's deal to continue flying on behalf of Signature until 2013.
There have been concerns about the likely loss of the Skyservice-Signature contract in 2012 or earlier, an industry source said. Sunquest Vacations and Signature were the two-largest customers of the charter airline.
Skyservice, a charter airline which flies to Canada, the U.S., Caribbean, Mexico and Europe, may have gone out of business. The Skyservice charter airline has cancelled almost all of its scheduled flights out of Toronto's Pearson International Airport.
The Canadian Press has been unable to reach Skyservice for comment and a spokeswoman for the Greater Toronto Airport Authority has referred all questions to the airline. The GTAA's website does indicate, however, the cancellation of five flights set to depart today. Two flights that were scheduled to arrive at Pearson from Punta Cana and Mexico City arrived on time, according to the airport authority's website.
Messages have been left for the president and chief executive of Skyservice, Rob Giguere, and his assistant. So far, the company hasn't made a statement to the media or on its website.
According to its website, the airline was founded in 1986. It has more than 1,200 employees and operates more than 20 commercial aircraft to destinations in Canada, the United States, Caribbean, Mexico and Europe. Its fleet includes the Airbus A330, A320 and the Boeing B757.
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Skyservice out of business
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