Air Canada reports record March traffic
    Mainline passenger load factor of 83.8% - highest ever for March

    MONTREAL, April 4 /CNW Telbec/ - Air Canada reported a record load factor
of 83.8 per cent in March 2007, the highest ever for the month.
    The mainline carrier flew 5.0 per cent more revenue passenger miles
(RPMs) in March 2007 than in March 2006, according to preliminary traffic
figures. Capacity increased by 2.0 per cent, resulting in a load factor of
83.8 per cent, compared to 81.4 per cent in March 2006; an increase of
2.4 percentage points.
    Jazz, from which Air Canada purchases regional capacity, flew 16.8 per
cent more RPMs in March 2007 than in March 2006, according to preliminary
traffic figures. Capacity increased by 12.0 per cent, resulting in a load
factor of 76.0 per cent, compared to 72.9 per cent in March 2006; an increase
of 3.1 percentage points.
    Year over year, system traffic on a consolidated basis for Air Canada and
Jazz, rose 5.9 per cent on a capacity increase of 2.9 per cent, resulting in a
load factor of 83.1 per cent; an increase of 2.4 percentage points.
    "Air Canada achieved a record load factor of 83.8 per cent in March as we
continued to grow our customer base and the market for our products and
services remained very strong. Clearly, customers are expressing a growing
preference for Air Canada when they travel," said Montie Brewer, President and
Chief Executive of Air Canada. "In March, we took delivery of the first of
eight ultra-modern Boeing 777 aircraft that will be introduced to the fleet
this year, giving people more reason than ever to fly Air Canada. In addition
to our simplified fares, new seatback video systems and Executive First lie
flat seats, a key part of the experience remains the service our employees
provide and their hard work is winning the loyalty of travellers."

    This discussion contains certain forward-looking statements, which
involve a number of risks and uncertainties. As a result of many factors
including acts or potential acts of terrorism, international conflicts,
government regulations and government mandated restrictions on operations and
pricing, fuel prices, industry restructuring, labour negotiations, the
economic environment in general including foreign exchange and interest rates,
the airline competitive and pricing environment, industry capacity decisions
and new entrants as well as external events, actual results could differ from
expected results and the differences could be material.

                                 AIR CANADA

    -------------------------------------------------------------------------
                             AIR CANADA MAINLINE
                               (Includes Jetz)
    -------------------------------------------------------------------------
                                  MARCH                   Year-To-Date
                           --------------------------------------------------
                           2007    2006  Change      2007    2006  Change
    -------------------------------------------------------------------------
    Traffic
     (RPMs millions)      3,941   3,754   +5.0%    10,816  10,393   +4.1%
    -------------------------------------------------------------------------
    Capacity
     (ASMs millions)      4,704   4,610   +2.0%    13,374  13,081   +2.2%
    -------------------------------------------------------------------------
    Load Factor            83.8%   81.4%  +2.4 pts   80.9%   79.5%  +1.4 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Canada     RPMs       1,006     958   +5.0%      2,797  2,661   +5.1%
               --------------------------------------------------------------
               ASMs       1,192   1,198   -0.5%      3,399  3,389   +0.3%
               --------------------------------------------------------------
               Load
                Factor     84.4%   80.0%  +4.4 pts   82.3%   78.5%  +3.8pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    U.S.
     Trans-
     border    RPMs         773     763   +1.3%     2,142   2,065   +3.7%
               --------------------------------------------------------------
               ASMs         943     933   +1.1%     2,751   2,582   +6.5%
               --------------------------------------------------------------
               Load
                Factor     82.0%   81.8%  +0.2 pts   77.9%   80.0%  -2.1 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Atlantic   RPMs         938     880   +6.6%     2,431   2,325   +4.6%
               --------------------------------------------------------------
               ASMs       1,081   1,057   +2.3%     2,974   2,913   +2.1%
               --------------------------------------------------------------
               Load
                Factor     86.8%   83.3%  +3.5 pts   81.7%   79.8%  +1.9 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Pacific    RPMs         696     663   +5.0%     1,920   1,861   +3.2%
               --------------------------------------------------------------
               ASMs         806     805   +0.1%     2,305   2,285   +0.9%
               --------------------------------------------------------------
               Load
                Factor     86.4%   82.4%  +4.0 pts   83.3%   81.4%  +1.9 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Latin
     America
     & Other   RPMs         528     490   +7.8%     1,526   1,481   +3.0%
               --------------------------------------------------------------
               ASMs         682     617  +10.5%     1,945   1,912   +1.7%
               --------------------------------------------------------------
               Load
                Factor     77.4%   79.4%  -2.0 pts   78.5%   77.5%  +1.0 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                               AIR CANADA JAZZ

    -------------------------------------------------------------------------
                   AIR CANADA'S REGIONAL CAPACITY PROVIDER
                                   (JAZZ)
    -------------------------------------------------------------------------
                                  MARCH                   Year-To-Date
                           --------------------------------------------------
                           2007    2006  Change      2007    2006  Change
    -------------------------------------------------------------------------
    Traffic
     (RPMs millions)        355     304  +16.8%       978     828  +18.1%
    -------------------------------------------------------------------------
    Capacity
     (ASMs millions)        467     417  +12.0%     1,328   1,174  +13.1%
    -------------------------------------------------------------------------
    Load Factor            76.0%   72.9%  +3.1 pts   73.6%   70.5%  +3.1 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Canada     RPMs         257     221  +16.3%       721     620  +16.3%
               --------------------------------------------------------------
               ASMs         330     300  +10.0%       944     857  +10.2%
               --------------------------------------------------------------
               Load
                Factor     77.9%   73.7%  +4.2 pts   76.4%   72.3%  +4.1 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    U.S.
     Trans-
     border    RPMs          98      83  +18.1%       257     208  +23.6%
               --------------------------------------------------------------
               ASMs         137     117  +17.1%       384     317  +21.1%
               --------------------------------------------------------------
               Load
                Factor     71.5%   70.9%  +0.6 pts   66.9%   65.6%  +1.3 pts
    -------------------------------------------------------------------------


                                 AIR CANADA
                                      &
                               AIR CANADA JAZZ

    -------------------------------------------------------------------------
                                   COMBINED
                       (AIR CANADA MAINLINE AND JAZZ)
    -------------------------------------------------------------------------
                                  MARCH                   Year-To-Date
                           --------------------------------------------------
                           2007    2006  Change      2007    2006  Change
    -------------------------------------------------------------------------
    Traffic
     (RPMs millions)      4,296   4,058   +5.9%    11,794  11,221   +5.1%
    -------------------------------------------------------------------------
    Capacity
     (ASMs millions)      5,171   5,027   +2.9%    14,702  14,255   +3.1%
    -------------------------------------------------------------------------
    Load Factor            83.1%   80.7%  +2.4 pts   80.2%   78.7%  +1.5 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Canada     RPMs       1,263   1,179   +7.1%     3,518   3,281   +7.2%
               --------------------------------------------------------------
               ASMs       1,522   1,498   +1.6%     4,343   4,246   +2.3%
               --------------------------------------------------------------
               Load
                Factor     83.0%   78.7%  +4.3 pts   81.0%   77.3 % +3.7 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    U.S.
     Trans-
     border    RPMs         871     846   +3.0%     2,399   2,273   +5.5%
               --------------------------------------------------------------
               ASMs       1,080   1,050   +2.9%     3,135   2,899   +8.1%
               -------------------------------------------------------------
               Load
                Factor     80.6%   80.6%   0.0 pts   76.5%   78.4%  -1.9 pts
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    Inter-
     national  RPMs       2,162   2,033   +6.3%     5,877   5,667   +3.7%
               --------------------------------------------------------------
               ASMs       2,569   2,479   +3.6%     7,224   7,110   +1.6%
               --------------------------------------------------------------
               Load
                Factor     84.2%   82.0%  +2.2 pts   81.4%   79.7%  +1.7 pts
    -------------------------------------------------------------------------

    %SEDAR: 00024384EF

For further information: Isabelle Arthur (Montréal), (514) 422-5788; Peter Fitzpatrick (Toronto), (416) 263-5576; Angela Mah (Vancouver), (604) 270-5741; Internet: aircanada.com