Air Canada Welcomes Canada-U.S. Preclearance Agreement Designed To Streamline Air Travel

Air Canada welcomed the signing today of a
passenger preclearance agreement that streamlines air travel and strengthens
Canada as an attractive gateway for international travelers bound for the
United States.

As a result of today`s agreement, a simplified, one-stop inspection
process for U.S.-bound in-transit passengers will now be available to
international customers travelling to the United States through Toronto,
Montreal or Calgary. This valued service has been available since June, 1997
for Air Canada`s passengers from Asia or Europe transiting through Vancouver
enroute to the U.S.

“Today`s agreement reinforces our ongoing efforts to streamline travel
for our customers,” said Doug Port, Senior Vice President, Corporate Affairs
and Government Relations, Air Canada. “It will ensure that more Canadian
airports, and in particular the Air Canada hub in Toronto, effectively compete
with other North American hubs and that Air Canada maintains its competitive
strength as an international carrier offering convenient and efficient transit
through Canada to the U.S.”

Air Canada currently offers U.S.-bound travelers more than 1700 flights
per week on 91 routes to 46 transborder destinations, representing more non-
stop service between Canada and the United States than any other carrier or
alliance of carriers.