Please see clarification issued December 31, 1999.
Air Canada has concluded the purchase of slots at Narita Airport, Tokyo, from Canadian Airlines International, subject to the expected designation by the relevant government authorities to operate the route. The purchase will provide bridge financing to Canadian Airlines until the Offer to acquire Canadian is finalized early in the New Year. The transaction clears the way for daily Air Canada service between Toronto and Tokyo by April next year.
“The start up of daily non-stop service between Toronto and Tokyo is an example of the increased direct access between major cities worldwide that will benefit Canadian consumers following the integration of the two carriers` networks,” said Robert A. Milton, President and Chief Executive Officer. “Tokyo is the biggest market in Asia and in conjunction with our partners All Nippon Airways and United Airlines, we will be able to offer convenient connections to all of Asia.”
Following its acquisition of Canadian Airlines, Air Canada plans to launch Toronto-Hong Kong and Toronto-Mexico flights, subject to obtaining required designation traffic rights and slots from appropriate authorities. Air Canada will also seek to use dormant authorities for routes including Vancouver-Shanghai, Vancouver-Sydney, Montreal-Milan/Rome, Toronto-Madrid and Toronto-Amsterdam.
“Air Canada is currently engaged in constructive talks with the federal government and once we receive sufficient clarification on outstanding regulatory and legislative issues, we will proceed, without delay, to implement our plan and make the necessary investments to bring Canadian back to sustainable profitability,” said Mr. Milton.
Air Canada will operate the Toronto-Tokyo route with a 284-seat A-340; schedule details will be announced shortly.