Air Canada said today that it accepts the
recommendations contained in the federal mediator`s report.

``While Mr. Outhouse`s recommendations are costly and certain
recommendations are not to our liking, that is the nature of compromise,``
said Calin Rovinescu, Executive Vice President, Corporate Development &
Strategy. ``We therefore accept the mediator`s recommendations and we are
prepared to sign a collective agreement immediately giving effect to these
recommendations,`` he added.

``The time for negotiations has passed.  Enough is enough. In the face of
this generous recommendation of settlement it is unacceptable that the
travelling public be subject to continued uncertainty,`` concluded Mr.
Rovinescu.

In response to ACPA`s press release issued earlier today, Air Canada said
that at this time it has not received any request from Labour Minister
Claudette Bradshaw to return to the negotiation table.

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