www.wingsmagazine.com

News
Gibralt purchases interest in Skyservice Airlines

Skyservice Airlines Inc. announced that it has reached agreement to sell a majority interest in its charter airline business to Gibralt Capital Corporation.


September 20, 2007
By Carey Fredericks

TORONTO, ONT. – Aug. 27- Skyservice Airlines Inc. today announced that it has reached agreement to sell a majority interest in its charter airline business to Gibralt Capital Corporation, a private equity investment company.

"In Gibralt, we have an ideal partner bringing experience, financial strength and a long-term investment perspective that will help us realize the full potential of our business," said Russ Payson, chairman and CEO of Skyservice. "Our plan is to leverage our profitable base of operations, not only in the charter business but also in aviation services and maintenance."

"Gibralt's investment is the start of a new era for our company," added Payson. "Many of our original shareholders were seeking to monetize their investment, and we took advantage of this opportunity to put in place the best possible long-term ownership for our company." Skyservice's senior leadership team, comprising Russ Payson, chairman and CEO, Rob Giguere, president and COO and Jackie Smalec, CFO, will continue in their current roles. No changes to the company's current operations and workforce are planned.
"Skyservice Airlines has an exceptional reputation among tour operators, the traveling public and the other air carriers it serves with dedicated seasonal aircraft charters," said Sam Belzberg, chairman of Gibralt Capital.

"With a solid and profitable business foundation, a strong management team and a professional and dedicated workforce, we believe that Skyservice is perfectly positioned to capitalize on its numerous opportunities for profitable growth."

The Skyservice Business Aviation Group, which specializes in corporate aircraft management and sales, business jet charter services, fixed base operations and an international air ambulance service, is not included in the sale to Gibralt. This operation will continue to be owned and operated by Skyservice Investments Inc. In addition to customary commercial terms, the sale is contingent upon regulatory and court approval. Subject to completion of these approvals, the transaction is expected to close early fall, 2007.