US-Canada fast ferry operator collapses

Gavin Lipsith

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Cross-border Spirit of Ontario ferry service is halted as costs spiral

Canadian American Transportation Systems (CATS), the debt-laden operator of a cross-border fast ferry between the USA and Canada, has cancelled operations indefinitely, only three months after its service began.
 
The Spirit of Ontario ferry carried up to 774 passengers and 238 cars across Lake Ontario, between the cities of Rochester, New York and Toronto, Ontario in two hours and fifteen minutes. It included a duty-free shop as well as bars, a restaurant, two small cinemas and a business class section.
 
CATS blamed unexpected border crossing fees, high fuel prices and the prohibition of commercial trucks for the collapse of the $42.5m venture. The company has accumulated $1.7m in debt since the service began on June 18 and said it cannot continue to bear losses.
 
The operator said it would like to restart the service at some point in the future, but did not make any guarantees.