Transpacificflyer

Typically it is done to protect employment, prestige companies, anchor entities and future tax revenues. Each province has its own strategy. For example Saskatchewan has tried to attract high end R&D focused enterprises with its reduced corporate tax rate; a 6% refundable investment tax credit on capital purchases, and a refundable 10% tax credit for scientific research and development expenditures. Quebec tends to stakeholder investments which allow for more say over the investment. In this case, the arguments being made to support the Quebec investment are probably going to fall flat because;
- The argument of protecting tax revenues by keeping the Air Transat head office in Quebec can't be used because AC's head office is in Quebec.
- If AC is to be believed, the jobs in Quebec and Canada will be protected just as well.
- AC has an important local presence.
- AC isn't a foreign entity, but an existing contributor to local communities and the tax base.
If anything, the Quebec investment would probably be safer if used to support Air Canada, which is sort of what is done now because of the investments of the Quebec pension plan.