The federal government has approved Air Canada's purchase of competing airline Transat A.T. Inc. under a series of strict terms and conditions the government says "are in the interest of Canadians." "Given the devastating impact of the COVID-19 pandemic on the air industry, the proposed purchase of Transat A.T. by Air Canada will bring greater stability to Canada's air transport market," said Transport Minister Omar Alghabra in a media statement. The deal also stipulates that because Transat is now a subsidiary of Air Canada, it must provide bilingual services to customers across the country. Mixed support for dealThe Transat purchase angered rival WestJet. In a statement, Transat noted that Air Canada has agreed — under the terms of the purchase — to ensure a number of public benefits, namely, to maintain a Transat head office in Quebec, and to preserve jobs and the Transat brand.

Source: CBC News February 11, 2021 23:32 UTC