The operating entities of five Canadian airports are pursuing nearly CAD 4.1 million (USD 2.98 million) in unpaid airport improvement fees from the bankrupt Lynx Air (Calgary).
The Edmonton Regional Airports Authority, Halifax International Airports Authority, Calgary Airport Authority, Vancouver Airport Authority, and Winnipeg Airports Authority Inc filed documents with the Court of King’s Bench of Alberta in late May. They are seeking orders that the monies owed are subject to an express, implied, or constructive trust and an instruction for Lynx to release the amounts owed.
Here are the specific amounts claimed:
- Edmonton Regional Airports Authority: CAD 355,640.79 (USD 258,851)
- Halifax International Airports Authority: CAD 319,435.80 (USD 232,500)
- Calgary Airport Authority: CAD 2,031,140.16 (USD 1,478,355)
- Winnipeg Airports Authority Inc: CAD 282,895 (USD 205,904)
- Vancouver Airport Authority: CAD 1,110,231.54 (USD 808,076)
The claims are specifically for airport improvement fees. These fees include:
- Edmonton International: CAD 35 (USD 25.5) per passenger
- Halifax: CAD 22 (USD 16) per intraprovincial passenger and CAD 35 (USD 25.5) per interprovincial and international passenger
- Winnipeg International: CAD 38 (USD 27.70) per passenger
- Calgary: CAD 35 (USD 25.5) per passenger
- Vancouver: CAD 5 (USD 3.60) per passenger within British Columbia or the Yukon and CAD 25 (USD 18.2) per passenger to all other destinations
According to a signed memorandum of agreement, Lynx acts as an agent collecting these fees and is obligated to remit them to the airport authorities. The filing states that failing to do so constitutes a breach of its equitable obligations and would unjustly enrich Lynx’s creditors at the airport authorities’ expense.
Lynx Air filed for bankruptcy protection in late February 2024, revealing approximately CAD 206 million (USD 150 million) in debts. These latest claims add to that amount.
In addition, May court filings reveal Lynx is seeking permission to sell parts and inventory to raise cash. A US entity is interested in purchasing Lynx’s inventory of Boeing 737 MAX Collins and Safran wheels and brakes and related documentation. BOC Aviation aims to buy equipment installed or due to be installed on aircraft scheduled for delivery in 2024. Lynx’s administrator asserts these deals represent the highest and best price for the assets. The court has approved both applications.
