Wednesday, March 21, 2012

Reuters: Bankruptcy News: Air Canada uses contingency plan to service planes

Reuters: Bankruptcy News
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Air Canada uses contingency plan to service planes
Mar 21st 2012, 14:30

Wed Mar 21, 2012 10:30am EDT

* Airline says plan will prevent disruptions

* Confirms Aveos still has three aircraft

March 21 (Reuters) - Air Canada will send three planes scheduled for maintenance this week to a service provider based in Quebec as part of a contingency plan to maintain its planes after Aveos Fleet Performance Inc ceased Canadian operations.

The plan will ensure that all of its planes are maintained, including three aircraft currently at Aveos facilities, Canada's No. 1 airline said in a statement.

The airline will send three planes scheduled for maintenance this week to Premier Aviation, a maintenance facility in Trois-Rivières, Quebec. Air Canada did not say whether those are the same planes it has at Aveos.

Aveos, once part of Air Canada's in-house maintenance division, terminated all of its Canadian employees on Tuesday and said it had ceased Canadian operations. On Monday it was granted bankruptcy protection by a Montreal court.

"Given the disappointing news from Aveos today, Air Canada will implement its contingency plan for maintaining its aircraft," said the statement late Tuesday. "We are confident the plan will avoid disruption to our customers."

The majority of the about 2,600 jobs lost were in Quebec, where Aveos employed more than 1,700 people, according to a court filing.

Aveos workers demonstrated outside the Air Canada and Aveos headquarters in Montreal on Tuesday. Some protesters threw eggs, rocks, wooden planks and Christmas lights at cars headed toward the airline's facility.

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