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canada 3000 files for bankruptcy

CANADA 3000 has grounded its fleet after filing for
bankruptcy protection.

The stricken airline – Canada’s second-largest carrier
– was planning to stem daily losses of £300,000 in the wake of Septmber 11 by
laying off 1,500 staff and cutting capacity by 30%, but unions rejected the
proposals.

An airline spokesman said: “Canada 3000 regrets to
advise that it will cease flying operations effective 9 November 2001. We are therefore
unable to transport passengers to their destinations and recommend that they
seek an alternative means of travel.

“We very much regret this action and wish to thank our
passengers for their patronage in the past.”

The decision to stop
operations was made despite official approval for the airline to restructure
its operations under court supervision.

 

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