Hawkair has gone bankrupt.
Law firm Crowe MacKay and Company says Hawkair filed for bankruptcy on Friday.
As a result of the bankruptcy, all of the employees have been let go with some contracted to take care of items like payroll and inventory.
Hawkair and Central Mountain Air were under the same holding company but not directly owned by one or another.
Central Mountain Air President Douglas McCrea says he cannot comment on the reports referring questions to a lawyer.
He can confirm Hawkair was used for some of their flights, but passengers shouldn’t see any disruptions.
The Terrace-based airline canceled its non-stop service from Terrace to Vancouver in September and last year it also canceled service to Prince Rupert and Smithers.
The law firm says there will be a shortfall of over $4-million to creditors. A meeting will take place for creditors on December 12th in Terrace.