Air Canada today announced that all conditions have now been met or waived for 853350 Alberta Ltd., a newly formed corporation owned in part by Air Canada, to take up the shares of Canadian Airlines Corporation on January 5, 2000. As at 5:00 p.m. ET today, Air Canada had received more than 50 per cent of the outstanding common shares and the outstanding non-voting common shares of Canadian Airlines Corporation. In addition, Air Canada finalized today its agreement with AMR Corp., pursuant to the letter of intent dated December 8, 1999. Once the acquisition of Canadian Airlines is completed, Air Canada will proceed with the restructuring of Canadian Airlines debt and the integration process.
“We have an opportunity now to build on the success and histories of two great Canadian airline franchises of which Canadians can be truly proud,” said Robert A. Milton, President and Chief Executive Officer. “For consumers this means continued safe, reliable and competitive airline services. For the employees of Air Canada and Canadian Airlines, this means greater stability and security for the future. And for shareholders, this means greater opportunities to benefit as we grow and create a true global franchise.”