Air Canada Provides Update On Pilot Negotiations

After 12 days of negotiations facilitated by
federally appointed mediator Mr. Bruce Outhouse, the mediation process has
ended without a negotiated settlement.
The next step is to await Mr. Outhouse`s report as to ``Recommendations
for Settlement`` as mandated by the federal government. Air Canada expects
these recommendations may serve as the basis of a final agreement between the

ACPA has not given the company notice of intent to strike. According to
Canadian labour law, a union must give 72 hours notice prior to taking any
strike action.

Air Canada will not be commenting further pending receipt of the
mediator`s report.