Transat A.T., parent of Air Transat, has secured an additional C$250 million in federal financing under Ottawa’s airline support programme, lifting total government-backed funding cited in coverage to C$400 million. The package comes as the company reported a quarterly loss of C$106.6 million for the period ended 1 July, with jet-fuel costs weighing heavily on results.
The new facility follows a previously disclosed C$150 million loan and is intended to support liquidity while offsetting elevated fuel expenses. The financing is repayable and forms part of the federal emergency support framework used to back Canadian airlines during a period of sustained cost pressure.
Air Transat’s parent continues to face a difficult operating environment, with fuel remaining a key drag on profitability. The latest support extends Ottawa’s intervention in the sector as carriers work through higher operating costs and tighter margins.