The Canadian government is preparing legislation to keep all of the companies created by Air Canada’s restructuring bilingual and their head offices in Montreal.
Air Canada emerged from bankruptcy protection last September after most of its debt was erased and shareholders lost all their investment. As part of its restructuring, Air Canada created Air Canada Technical Services, Air Canada Cargo and Air Canada Groundhandling as separate entities, in addition to Air Canada Jazz and Aeroplan.
Legislating services and service locations may not be the most effective way to run an airline – a profitable one anyway. Of course, that doesn’t really seem to be a consideration.