Air Canada To Acquire Nine Wide And Narrowbody Aircraft From GECAS

Air Canada today confirmed its intent to
acquire nine additional aircraft as part of its growth and fleet renewal
strategy. The aircraft, to be acquired from General Electric Capital Aviation
Services (GECAS) comprise the purchase of five Airbus A319s and the lease of
four Boeing 767-300s for a 13 year term. Deliveries of the aircraft will begin
in May 2001 for immediate deployment in domestic, transborder and
international markets.

``The acquisition of these narrow and wide body aircraft are part of our
continuing fleet expansion and renewal program,`` said Robert Milton,
President and Chief Executive Officer. ``The addition of A319s expands this
highly cost effective fleet on short and medium haul North American markets,
while the addition of wide body Boeing 767-300 aircraft supports growth in
international and high density North American markets.

The 203-seat Boeing B767-300 will be configured 2x3x2 in economy and
2x2x1 in business class. Flying range is 10 547 kilometres with a cargo
payload of 12 995 kg. The aircraft has a list price of USD$110 million.
Deliveries will be taken May to August 2001.

The 112-seat A319 will be configured 3x3 in economy and 2x2 in business
class. Flying range is 4441 kilometres with a cargo payload of 2141 kg. The
aircraft has a list price of USD$45 million. Deliveries will be taken April
2002 to May 2003.

With Air Canada`s acquisition of Canadian Airlines on July 6, 2000, the
combined fleets of Air Canada and its wholly-owned subsidiaries currently
number 372 aircraft, including 35 Airbus A319 and 26 Boeing 767-300 aircraft.
This is the third and final announcement concluding the first phase of
Air Canada`s on-going fleet expansion and renewal program. The first phase
thus comprises the acquisition of 32 aircraft: four Boeing 767-300, and 13
A319, three A320 and 12 A321 Airbus aircraft.