OTTAWA, July 6, 2018 /CNW/ – Makivik Corporation (Makivik) and the Inuvialuit Corporate Group (ICG) today announced they have signed an agreement in principle to merge First Air and Canadian North in order to provide the best possible essential air services across the Arctic. Makivik took this initiative to begin the discussion under the new direction of Charlie Watt, Sr.
Following execution of definitive agreements and the receipt of applicable regulatory approvals needed to establish a strong new entity, the proposed Pan-Arctic airline will operate under the name “Canadian North” and aircraft will feature new First Air livery, including its Inukshuk logo. Headquarters for the proposed airline will be located in Ottawa. Both Makivik and IDC recognize the value and potential in the North and in the Alberta market and remain committed to supporting and growing the Alberta presence. The parties expect to complete the merger by the end of 2018.
We expect this merger will:
- Improve Arctic air services by offering customers greater reliability, better on-time service, and fewer interruptions;
- Further enhance safety by enabling newer aircraft across the network, as well as specialization in maintenance of B737 and ATR aircraft;
- Improve sustainability and efficiency of Arctic air services thus enabling us to more effectively meet demand across our vast service areas while addressing challenges related to pilot shortages; and
- Contribute to Northern and Inuit economic development by creating a wholly Inuit-owned, new airline focused on Canada’s North.
“Air service is not a luxury for Northerners; it is a vital lifeline which requires ongoing investment,” said Patrick Gruben, Chair of the Inuvialuit Development Corporation (IDC). “We are proud of Canadian North’s tremendous success while fulfilling its mandate to provide safe, stable air service to customers in Canada’s Northern regions and we look forward to further improving these services in partnership with Makivik Corporation.”