Air Canada and ACPA reach agreement on outstanding issues relating to new wide-body aircraft

Air Canada has reached a tentative agreement with the Air Canada Pilots Association (ACPA) on costs and other related issues relating to the introduction of the new Boeing wide- body aircraft in the airline's fleet. The agreement with ACPA is subject to ratification by the union membership.

Air Canada's aircraft purchase agreement with Boeing announced April 25 is subject to the successful completion of certain conditions by June 10, 2005, including the negotiation of satisfactory terms by the airline with its pilots on costs and other related issues. The airline has received from Boeing an extension of the June 10 deadline to allow sufficient time for the ratification process to take place. Pending pilot ratification by June 19, the agreement is expected to be finalized allowing the aircraft order to go forward.

The purchase agreement with Boeing includes firm orders for 18 Boeing 777s, plus purchase rights for 18 more, in a yet-to-be-determined mix of the 777 family's newest models: the 777-300ER, the 777-200LR Worldliner, and the newly announced 777 Freighter.

Air Canada's 777 deliveries are scheduled to begin next year with the arrival of three 777-300ERs in 2006. The renewal plan also includes firm orders for 14 ultra-efficient new Boeing 787 Dreamliners, scheduled for delivery min 2010.

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