The holiday charter airline Air Transat has just announced that it is extending the suspension of all flights until July 29, due to existing travel restrictions in Canada and abroad.

The airline, managed by the travel company Transat AT, informed passengers on its website about the extension of the suspension, which was to expire in mid-June.

The information on the carrier’s website says that all affected customers will soon receive written information about the options that will be presented to them.

All connections of the Montreal-based airline were suspended in January after the government banned travel from Canada to Mexico and the Caribbean due to the Covid-19 pandemic.

Last month, Air Transat struck a deal with the federal government and secured a loan of $ 700 million, half of which will go to cover refunds for unused plane tickets.

The company was looking for an agreement and support from Air Canada, which wanted to bring it together by offering $ 190 million for the acquisition. However, after Air Canada learned that in the takeover of Air Transat proposed to European Union, such a merger would not be approved by the European Commission (the equivalent of the European Union government), it abandoned the merger of these companies.

The European Union explained that taking over the market of transoceanic connections currently in the hands of Air Transat would almost lead to the monopolization of connections between Canada and Europe, and thus would create an unfavorable situation for customers, causing increase in airline ticket prices for these connections.

Air Transat is still looking for a solution for its future and is currently considering several options of help and support for the company by the province of Quebec, the city of Montreal, the federal government and private investors.

Read about Air Canada’s resignation from taking over Air Transat in our article here:

Air Canada will not take over Air Transat. $ 180 million contract canceled.