Air Canada federal court applications rejected

Defeat of judicial review ends legal challenge

TORONTO, July 22 /CNW/ - Two federal court applications alleging wrongdoing related to slot allocation at Billy Bishop Toronto City Airport brought forward by Air Canada against Porter Airlines Inc. (Porter) and Toronto Port Authority (TPA) have been dismissed. The dismissal on July 20, 2010, finds that agreements between Porter and the TPA were entirely appropriate and found no evidence of unfair treatment towards Air Canada.

Over the past four years, Air Canada has directly or through Air Canada Jazz, commenced five separate legal proceedings against Porter. Each action has made allegations of impropriety. The first three proceedings were abandoned by Jazz Air. The Federal Court of Canada dismissed the remaining two proceedings by Air Canada yesterday as meritless allegations.

"This decision reinforces that the allegations were an attempt to distract and derail Porter," said Robert Deluce, president and CEO of Porter Airlines. "The strength of the brand speaks for itself and we are happy to see the matter resolved, as we prefer to focus our attention on our passengers."

Jazz Air has already been ordered to pay approximately $600,000 in legal costs related to their prior lawsuits and Porter intends to pursue further cost recovery related to the outright dismissal of Air Canada's latest claims.

Porter's litigation team is led by Robert Armstrong and Orestes Pasparakis of Ogilvy Renault LLP of Toronto.

About Porter Airlines

Porter Airlines is Canada's third largest scheduled carrier, based at Billy Bishop Toronto City Airport. Porter is committed to offering speed, convenience and service as part of a premium travel experience. A refined journey begins on the ground with comfortable airport lounges and service-oriented team members. The experience continues seamlessly in the air with spacious interiors and well-appointed crew. Passengers enjoy complimentary services, including free in-flight wine, beer and premium snacks, all aboard modern aircraft.

The airline currently serves Toronto, Ottawa, Montreal, Quebec City, Moncton, Halifax, St. John's, Thunder Bay, Sudbury, New York (Newark), Chicago (Midway), Boston (Logan), and has seasonal flights to Mt. Tremblant, Que. and Myrtle Beach, SC.

Join VIPorter frequent flyer program to earn a free flight after as few as five one-way trips. Visit www.flyporter.com or call [phone] for more information.

For further information: Media contact: Kristen Shamess, Porter Airlines, [phone]