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Exchange Income Corporation and the Government of Nunavut Enter into Long Term Air Service Agreement for the Entire Territory of Nunavut
Exchange Income Corporation (TSX: EIF) (“EIC” or the “Corporation”) a...
About this update from Exchange Income Corporation
[{"type":"text","content":"Exchange Income Corporation and the Government of Nunavut Enter into Long Term Air Service Agreement for the Entire Territory of Nunavut\n\n\n .bwalignc { text-align: center; list-style-position: inside }\n \n\n\n\n Exchange Income Corporation (TSX: EIF) (“EIC” or the “Corporation”) a diversified, acquisition-oriented company focused on opportunities in the Aerospace & Aviation and Manufacturing segments, announces that its wholly owned subsidiary Calm Air International LP (“Calm Air”) and its newly acquired subsidiary Bradley Air Services Limited, doing business as Canadian North (“Canadian North”), have entered into a long term agreement (the “Agreement”) with the Government of Nunavut (“GN”) for the provision of medical travel, family services travel, duty travel and less than load air freight for all of Nunavut. These services are currently being provided by Calm Air in the Kivalliq region and Canadian North in the Kitikmeot and Qikiqtaaluk region. The Agreement extends the provision of those services by Calm Air and Canadian North for 10 years with an option for the parties to extend the agreement for an additional 5 years, providing long term stability to EIC’s operations in Nunavut.\n \n\n Although the scope of the services under the Agreement remains the same, the tenor of the Agreement is focused on collaboration, communication, adaptability to meet the needs of Nunavut and flexibility to address changes in the aviation industry. The Agreement reflects the desire of the GN and EIC to work in partnership to achieve their mutual objective of providing enduring, stable and affordable air travel in Nunavut. As a further reflection of the deep partnership between EIC and the GN, EIC has granted the GN an option to purchase a significant minority of Canadian North. The option is exercisable for one year from the date of the Agreement. If the GN exercises the option, the term of the Agreement is automatically extended to 15 years.\n \n\n “We are thrilled to be the GN’s choice to provide long term air services to Nunavut, and it is reflective of the trusted and valued relationship we have with the GN. The North is a unique and challenging environment to operate in, but our airlines have been doing it successfully for ove...