ACE Aviation Holdings
| Company type | Public |
|---|---|
| Industry | Aviation holding company |
| Founded | 2004 |
| Defunct | 2024-03-15 |
| Fate | Dissolved |
| Headquarters | Montreal , Canada |
Area served | Passenger and cargo air transportation |
Key people | Robert Milton (Chairman, President, CEO until 2012) |
| Products | Holding company for Air Canada and related aviation businesses |
Number of employees | 33,000+ (2008) |
ACE Aviation Holdings Inc. was a Canadian holding company that formerly served as the parent organization of Air Canada, with its headquarters situated in Montreal. In 2006, the company reported revenues of US$10.135 billion, an increase from US$9.438 billion recorded in 2005. Net earnings also grew, reaching US$0.392 billion in 2006 compared to US$0.251 billion the year before. Employing more than 33,000 individuals by 2008, ACE operated within both passenger and cargo air transportation sectors. Under the leadership of chairman, president, and CEO Robert Milton until 2012, ACE announced plans for dissolution that same year and was formally dissolved in 2024.
History
ACE Aviation Holdings was established in 2004 as Air Canada emerged from protection under the Companies' Creditors Arrangement Act. By late 2005, ACE completed its restructuring efforts, which included cost reductions achieved through outsourcing, automation, and streamlining operations. A significant transformation involved consolidating six smaller airlines into Air Canada and Air Canada Jazz. This restructuring served both as a bankruptcy resolution and a strategic initiative by Robert Milton to develop a collection of independent aviation companies derived from Air Canada.
Besides Air Canada itself, ACE took the frequent flyer program Aeroplan public through an initial offering that valued Aeroplan at several multiples higher than the airline’s own market valuation.
In 2005, ACE contributed capital to support the merger between America West Holdings and US Airways Group, facilitating US Airways’ recovery from its second bankruptcy filing.
By 2008, ACE had divested its interests in both Aeroplan and regional carrier Jazz. Following these transactions, ACE maintained ownership of 75% of Air Canada and held a 23% stake in Air Canada Technical Services.
On May 9, 2012, ACE received formal authorization to commence dissolution procedures, signaling the end of its operational activities. The company intended to liquidate assets and distribute proceeds to shareholders by mid-2013. Although core aviation assets were sold off during this period, the corporate website remained accessible while Ernst & Young managed the wind-down process. As of December 31, 2019, ACE’s cash and cash equivalents totaled CA$6.7 million.
The official dissolution of ACE Aviation Holdings occurred on March 15, 2024.
Former operating divisions
- Aeroplan – originally an internal loyalty program sold to Aimia; subsequently reacquired by Air Canada.
- Air Canada – airline business divested
- Air Canada Cargo – reintegrated into Air Canada
- Air Canada Ground Handling Services – transferred back to Air Canada
- Jazz Aviation LP – divested; currently owned by Chorus Aviation, operating as a contractor for Air Canada
- Aveos Fleet Performance Inc. – formerly known as Air Canada Technical Services; rebranded in 2008; acquired Air Canada Mechanics in 2011; ceased operations in 2012; remaining assets purchased by Lockheed Martin Canada and AJW Technique
- Air Canada Vacations – transferred to Air Canada
Sources
- Articles with short description
- Companies formerly listed on the Toronto Stock Exchange
- Companies listed on the NEX Exchange
- Air Canada
- Companies based in Montreal
- Canadian companies established in 2004
- Canadian companies disestablished in 2024
- Airline holding companies of Canada
- Holding companies established in 2004