In November 2001, the airline went out of business after a sharp decline in revenues following the September 11 attacks in the United States.

[citation needed] The airline was denied license to operate by the National Transport Agency (NTA) because of the control and ownership of the UK firm.

[5] In 1998, co-founder and CEO Angus Kinnear was the recipient of the Tony Jannus Award for his contributions to commercial air transportation.

By the time it closed its doors, Canada 3000 had expanded its retail division to include 40 branch offices as well as three call centers in Montreal, Toronto and Vancouver.

[9] In October 2001, one month before its demise, Canada 3000 became the first airline to operate non-stop service from North America to India.

The company filed for bankruptcy, citing a downturn in air travel during the weeks following the September 11 terrorist attacks on the United States.

The airline was offered a $75 million loan guarantee from the Canadian government under the condition of a 'viable business plan' being produced.

Union offers to cut 700 pilot and flight attendant positions did not provide enough savings immediately and the airline applied for bankruptcy protection on November 8, while it planned to continue flying.