Air Canada Comments on Negotiations with ACPA

MONTREAL, Jan. 24, 2012 /CNW Telbec/ - Air Canada confirmed today that it remains at the negotiating table awaiting a response from ACPA, the union representing its pilots, to a comprehensive proposal tabled by the Company on Monday January 16, 2012.

Air Canada has been in negotiations with ACPA since October 2010. Following the rejection of a first tentative agreement reached in May 2011, the Company waited six months for ACPA to return to the negotiating table. The two sides have now been in discussions assisted by a federally-appointed conciliator since early November 2011.

Following two separate extensions to the conciliation timeline, the negotiation process is advancing to mediation, as permitted by the Canada Labour Code. In this phase, the conciliator will assume the role of mediator and will continue to oversee the process to bring to conclusion the talks started in late 2010.

Contrary to certain allegations by union representatives, Air Canada is not abandoning its efforts to negotiate a new contract with its pilots. Indeed, Air Canada remains at the table awaiting a response to its most recent offer. In light of two separate recent extensions to the conciliation period, it is also inaccurate to say that Air Canada has refused requests to extend conciliation timelines.

In view of the time elapsed since the start of negotiations towards a new collective agreement, the Company is of the view that the 21-day mediation period provides ample time to the parties to reach agreement.

ACPA represents approximately 3,000 pilots employed by Air Canada, and its collective agreement expired on March 31, 2011.

Air Canada is Canada's largest domestic and international full-service airline providing scheduled and charter air transportation for passengers and cargo to more than 180 destinations on five continents. Canada's flag carrier is the 15th largest commercial airline in the world and serves 34 million customers annually. Air Canada is a founding member of Star Alliance. For more information on Air Canada visit Follow @AirCanada on Twitter and Facebook.


Air Canada's public communications may include forward-looking statements within the meaning of applicable securities laws. Forward-looking statements, by their nature, are based on assumptions and are subject to important risks and uncertainties, including those described below. Forward-looking statements cannot be relied upon due to, amongst other things, changing external events and general uncertainties of the business. Actual results may differ materially from results indicated in forward-looking statements due to a number of factors, including without limitation, industry, market, credit and economic conditions, the ability to reduce operating costs and secure financing, pension issues, energy prices, currency exchange and interest rates, employee and labour relations, competition, war, terrorist acts, epidemic diseases, environmental factors (including weather systems and other natural phenomena and factors arising from man-made sources), insurance issues and costs, changes in demand due to the seasonal nature of the business, supply issues, changes in laws, regulatory developments or proceedings, pending and future litigation and actions by third parties as well as the factors identified throughout Air Canada's public disclosure file available at Any forward-looking statements contained in this news release represent Air Canada's expectations as of the date of this news release and are subject to change after such date. However, Air Canada disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.


For further information:

Isabelle Arthur (Montréal)    514 422-5788
Peter Fitzpatrick (Toronto)   416 263-5576
Angela Mah (Vancouver)   604 270-5741
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