Air Canada`s Regional Airlines Will Maintain Regional Presence And Focus

29th Jun 2000

Joe Randell, President of Air Canada`s regional
airlines announced today that the consolidated airline will maintain its
strong regional presence throughout Canada, supported by a senior executive
team located in Halifax. As announced in January, AirBC, Air Ontario and Air
Nova are integrating into a single airline to better meet the needs of
regional market customers through scheduling and operational synergies.

While the majority of the executive management team will be in Halifax,
the consolidated airline will build on the foundation of its individual
regional airlines with strong regional presence across Canada. This allows the
new airline to focus on and be responsive to local customers, communities and
market issues while gaining operational improvements through consolidation.

“As a regional airline, it is essential that we remain close to our
customers and be committed to the communities we serve,” said Mr. Randell. “To
achieve this and to support our employees, our airline will continue to have
strong presence in each region across the country.”

In addition to Halifax, executive management will be located at regional
offices in London, Ontario and in Western Canada. A regional office and base
will be maintained in Quebec City. Based on the current fleet, existing bases
will also be maintained.

The airline will continue to operate under the names AirBC, Air Ontario
and Air Nova until the branding for the consolidated regional airline is
determined over the next few months.


Should Canadian Regional Airlines not be sold pursuant to the
undertakings made to the Competition Bureau, it will become part of the
consolidated regional airline.



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