Skip to main content

The Globe and Mail

Air Canada, Cargojet explore strategic tie-up

File photo of Cargojet CEO Ajay Virmani.

glenn lowson The Globe and Mail

Air Canada is teaming up with Cargojet Inc. to explore ways they can work together to reduce costs and boost revenues in areas such as global sales and operational connections.

The two companies said in a joint news release Wednesday that they have signed a letter of intent to assess strategic opportunities in cargo as well as airline operations in Canada and abroad.

Co-operation would be in various areas, including global sales and marketing, expanded interline opportunities and enhanced connectivity, the two companies said.

Story continues below advertisement

Interlining is the selling of flights involving multiple airlines.

The goal is to improve services to the shipping community on each company's respective networks, they said.

"We are looking forward to working with Air Canada towards improving the depth and reach of both companies' air cargo services, both domestically and internationally, among other strategic objectives," Cargojet president and chief executive officer Ajay Virmani said.

Implementing any new initiatives would be subject to regulatory approvals.

Mississauga-based Cargojet specializes in overnight air cargo services and has a North American-wide network using a fleet of 13 cargo-only aircraft.

Montreal-based Air Canada is the country's largest airline and one of the world's 10 biggest commercial airlines.

Report an error Licensing Options
About the Author
Quebec Business Correspondent

Bertrand has been covering Quebec business and finance since 2000. Before joining The Globe and Mail in 2000, he was the Toronto-based national business correspondent for Southam News. He has a B.A. from McGill University and a Bachelor of Applied Arts from Ryerson. More

Comments

The Globe invites you to share your views. Please stay on topic and be respectful to everyone. For more information on our commenting policies and how our community-based moderation works, please read our Community Guidelines and our Terms and Conditions.

We’ve made some technical updates to our commenting software. If you are experiencing any issues posting comments, simply log out and log back in.

Discussion loading… ✨