Jazz Aviation (Air Canada Express) (formerly Air Canada Jazz) (Halifax) Bombardier DHC-8-300 operating a passenger flight from Nanaimo on Vancouver Island to Vancouver experienced an engine fire yesterday (December 12). According to Reuters, “Shortly after the Jazz DHC 8-300 aircraft took off from Nanaimo, on Vancouver Island, the crew was notified of an engine oil issue and flames were seen near one of the engines, Air Canada Jazz said in an emailed statement.

The crew released fire retardant into the engine housing and were able to extinguish the flames. The aircraft, which had 35 passengers and three crew members on board, then returned to Nanaimo, where it was met by emergency vehicles.”

Read the full report: CLICK HERE

Copyright Photo: Ton Jochems/AirlinersGallery.com. Jazz Aviation’s Bombardier DHC-8-301 (Q300) C-GKTA (msn 124)  is seen at the Vancouver hub.

Air Canada Express-Jazz Aviation: 

Chorus Aviation (Halifax), the parent of Jazz Aviation (Air Canada Express) (Halifax), reported the following for the first quarter:

For the first quarter 2014, Chorus Aviation reported EBITDA of $47.3 million compared to $34.2 million in the same quarter 2013, an increase of $13.1 million. Operating income was $31.2 million, $10.4 million higher than the same period 2013. Adjusted net income of $20.3 million or $0.17 per basic share, was up by $5.6 million or $0.05 per basic share over first quarter 2013. Chorus incurred $2.8 million in voluntary employee severance in the first quarter versus $5.7 million in the same period in 2013. Chorus has invested $12.7 million since the inception of this cost savings program in the first quarter of 2013.

Net income for the first quarter of 2014 was $5.6 million or $0.05 per basic share, a decrease of $3.6 million from $9.2 million. On an adjusted basis, net income was $20.3 million or $0.17 per basic share, an increase of $5.6 million from $14.7 million. A reconciliation of these non-GAAP measures to their nearest GAAP measure is provided in Chorus’ Management’s Discussion and Analysis dated May 14, 2014.

Chorus Aviation is a dividend-paying holding company which owns Jazz Aviation LP and a number of other companies involved in aviation related businesses.

Read the full report: CLICK HERE

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Bombardier DHC-8-311 (Q300) C-GABP (msn 257) of Jazz Aviation (Air Canada Express) touches down at Seattle-Tacoma International Airport (SEA).

Jazz Aviation: 

Chorus Aviation (Halifax), the parent of Jazz Aviation (Air Canada Express) (Halifax), reported a second quarter net profit of C$36.5 million ($33.5 million). This basically quadruples its second quarter 2013 net income of C$7.9 million (&.2 million) of the previous year.

Here is the full report:

For the second quarter 2014, Chorus reported EBITDA of $50.7 million compared to $48.0 million in the same quarter 2013, an increase of $2.7 million. Operating income was $34.3 million, $2.6 million higher than the same period 2013. Adjusted net income of $22.2 million or $0.18 per basic share was up by $0.8 million or $0.01 per basic share over the second quarter 2013. Chorus incurred $4.5 million in employee separation program costs in the second quarter versus $2.2 million in the same period in 2013. Chorus has invested $17.2 million in employee separation since the inception of this cost savings program in the first quarter of 2013.

For reporting purposes, at each quarter end, Chorus converts its US denominated aircraft debt into equivalent Canadian dollars based on the prevailing exchange rate. Chorus manages its exposure to currency risk on such long-term debt by billing related lease payments within the Capacity Purchase Agreement (‘CPA’) with Air Canada in the underlying currency (US dollars) related to the aircraft debt. In the second quarter of 2014, Chorus had an unrealized foreign exchange gain of $14.3 million versus an unrealized foreign exchange loss of $13.5 million in the same period of 2013.

Financial Performance –Second Quarter 2014 Compared to Second Quarter 2013

Operating revenue increased from $410.3 million to $417.8 million, representing an increase of $7.5 million or 1.8%. Controllable revenue increased by $9.0 million or 3.5%. This increase occurred primarily as a result of rate increases made pursuant to the CPA of $5.8 million, a favourable US dollar exchange rate of $5.2 million, and a $0.3 million increase in incentives earned under the CPA with Air Canada. These increases were offset by decreased CPA Billable Block Hours of $2.3 million.

Pass-through revenue decreased by $2.1 million or 1.4% from $148.7 million to $146.6 million, which included a decrease of $8.7 million related to airport and navigation fees and terminal handling services. (Effective January 1, 2014, Air Canada entered into a commercial agreement with the Greater Toronto Airport Authority (‘GTAA’) that encompasses Chorus’ Air Canada Express operations. GTAA costs related to landing, terminal and other airport user fees, which are treated as pass-through costs under the CPA, are now paid directly by Air Canada pursuant to this agreement.) This decrease was offset by an increase of $7.3 million related to fuel costs driven primarily by an increase in jet fuel prices. The sale of consignment inventory was the primary factor in other revenue increasing by $0.6 million.

Operating expenses increased from $378.6 million to $383.6 million, an increase of $5.0 million. Controllable costs increased from $229.9 million to $237.0 million, an increase of $7.0 million or 3.1%. Pass-through costs decreased from $148.7 million to $146.6 million, a decrease of $2.1 million or 1.4%.

Salaries, wages and benefits increased by $2.7 million from $100.7 million to $103.4 million. Adjusted salaries, wages and benefits (adjusted by removing employee separation program costs and capitalized major maintenance overhaul labour costs), which includes pension, incentive compensation and other employee benefits, decreased by $0.9 million after incurring an increase in stock based compensation of $0.8 million due to a change in accounting policy. Employee separation program costs incurred during the three months ended June 30, 2014 were $4.5 million, an increase of $2.3 million over the same period of 2013. These costs include employee separation program costs of $2.1 million in 2014 related to the commencement of outsourcing of passenger handling services under applicable collective agreements. Salaries and wages were also affected by fewer labour costs being capitalized as a result of reduced major maintenance overhauls on owned aircraft of $1.4 million.

Aircraft maintenance expense increased by $4.0 million from $37.9 million to $41.9 million partially as a result of an unfavourable US dollar exchange rate on certain maintenance material purchases of $2.7 million and increased other maintenance costs of $2.6 million. These increases were offset by decreased Block Hours of $1.3 million.

Other expenses decreased by $0.8 million from $32.0 million to $31.2 million. The decrease was the result of reduced general overhead expenses.

Non-operating income increased by $27.8 million from a non-operating expense of $19.2 million to a non-operating income of $8.6 million. The strengthening of the Canadian dollar during the quarter contributed to a foreign exchange gain of $11.8 million compared to a foreign exchange loss of $13.0 million in the same period last year. During the quarter, Chorus redeemed the remaining balance of the convertible debentures, which accounted for a decrease in interest accretion of $0.3 million and a decrease in interest expense of $1.5 million. Interest expense related to long-term debt decreased by $0.8 million due to planned principal repayments. Chorus met employment conditions required in order to obtain the maximum annual forgiveness of a portion of the forgivable loan from the province of Nova Scotia, and as such $0.5 million was recorded in other income.

EBITDA was $50.7 million compared to $48.0 million in 2013, an increase of $2.7 million or 5.7%, producing an EBITDA margin of 12.1%.

Operating income of $34.3 million was up $2.6 million or 8.1% over second quarter 2013 from $31.7 million.

Net income for the second quarter of 2014 was $36.5 million or $0.30 per basic share, an increase of $28.6 million from $7.9 million. On an adjusted basis, net income was $22.2 million or $0.18 per basic share, an increase of $0.8 million from $21.4 million. A reconciliation of these non-GAAP measures to their nearest GAAP measure is provided in Chorus’ Management’s Discussion and Analysis dated August 13, 2014.

Copyright Photo: TMK Photography/AirlinersGallery.com. Bombardier CRJ705 (CL-600-2D15) C-GLJZ (msn 15051) approaches the runway at Toronto’s Lester B. Pearson International Airport (YYZ).

Air Canada Express-Jazz Aviation: 

Air Canada (Montreal) announced today that it will introduce nonstop flights between Toronto (Pearson) and Mont-Tremblant, Quebec. Service to Mont-Tremblant will be operated four times per week by Air Canada Express (Jazz Aviation) with 74-seat Bombardier DHC-8-402 (Q400) aircraft. Flights will operate between December 18, 2014 and March 30, 2015 during peak winter skiing season.

Copyright Photo: Ton Jochems/AirlinersGallery.com. Jazz Aviation’s Bombardier DHC-8-402 (Q400) C-GGMI (msn 4413) in the Air Canada Express markings rests between flights at Vancouver International Airport (YVR).

Air Canada: 

Air Canada Express-Jazz: 

Video by JustPlanes on Jazz Aviation:

Air Canada Express-Jazz Route Map:

Jazz Aviation (Halifax) (Air Canada Express) flight AC 8481 from Calgary to Grande Prairie with 71 passengers and four crew members suffered a right landing gear collapse when it attempted an emergency landing on runway 02 at Edmonton International Airport. Four passengers sustained injuries while landing and were transported to local hospitals. The aircraft came to a rest on its right wing. The aircraft involved was Bombardier DHC-8-402 (Q400) C-GGBF (msn 4433). The turboprop reportedly suffered a blown tire on takeoff at Calgary and the flight crew decided to divert to and attempt the emergency landing at Edmonton due to strong cross winds at Calgary. The propeller sliced through the fuselage narrowly missing a passenger on landing.

Jazz Aviation issued this statement:

A Jazz Aviation LP Q400 aircraft, operating as Air Canada Express, was involved in an incident at Edmonton International Airport at 8:30 p.m. Central Mountain Time.

Jazz flight AC 8481 was en route to Grande Prairie from Calgary. The passenger list indicates the aircraft was carrying 71 passengers and four crew members.

Four passengers have been transported to Edmonton-area hospitals and the extent of their injuries cannot be confirmed at this time. All other passengers and crew members have been evaluated by medical responders on the scene and released.

Passengers are being taken care of by Air Canada and a Jazz team is on its way to the scene.

Air Canada (Montreal) today announced additional details of its previously stated plans for profitable growth. Strategic enhancements include expanding its North American route network with the addition of new nonstop services from Calgary-Terrace; Calgary-Nanaimo; Vancouver-Comox; Toronto-Austin and Montreal-Mexico City. Air Canada is also increasing capacity on key domestic markets that have high volumes of leisure traffic with the expansion of Air Canada rouge to operate the airline’s new seasonal Calgary-Halifax route and current Toronto-Kelowna and Toronto-Sydney, NS services. New services are now available for purchase at http://www.aircanada.com.

“Air Canada continues to strategically add new routes in response to the strong demand in Western Canada, notably the growing business market between Calgary and Terrace/Kitimat in Northern BC, the increasing demand to and from Vancouver Island, and the continued travel demand between Western Canada and Atlantic Canada,” said Benjamin Smith, President, Passenger Airlines.

Air Canada is returning to Austin, Texas from Toronto and to Mexico City from Montreal.

Highlights of Air Canada’s 2015 North American summer schedule enhancements include:

Calgary-Terrace

New daily, year-round Air Canada Express service starts June 1, 2015 operated by Jazz Aviation LP with 50-seat Bombardier CRJ jets.

Calgary-Nanaimo

New daily, year-round Air Canada Express service starts May 1, 2015 operated by Jazz Aviation LP with 74-seat Bombardier Q400 aircraft.

Calgary-Halifax

New summer seasonal six times weekly service starts May 1, 2015 operated by Air Canada rouge with 136-seat Airbus A319 aircraft offering both premium and economy cabins of service, increasing up to ten weekly flights during peak summer period.

Vancouver-Comox

New twice daily, year-round Air Canada Express service starts May 1, 2015 operated by Jazz Aviation LP with 50-seat Bombardier Dash 8-300 aircraft.

Kelowna-Toronto

More than 40 per cent increased capacity year-over-year starting June 1, 2015 with up to daily service during peak summer, deployment of 136-seat Air Canada rouge Airbus A319 aircraft offering both premium and economy cabins of service, following the transfer of this route from Air Canada.

Toronto-Austin

New daily, year-round Air Canada Express service starts May 18, 2015 operated by Jazz Aviation LP with 75-seat CRJ705 aircraft offering both premium and economy cabins of service.

Toronto-Sarasota/Bradenton

Winter seasonal service extended effective May 2 offering the only non-stop, year-round flights between Toronto and Sarasota/Bradenton, operated twice weekly by Air Canada with 97-seat Embraer 190 jets offering both premium and economy cabins of service.

Toronto-Sydney, NS

More than 40 per cent increased capacity year-over-year starting May 1 with daily deployment of 136-seat Air Canada rouge Airbus A319 aircraft offering both premium and economy cabins of service, following the seasonal transfer of this route from Air Canada.

Montreal-Mexico City

New, up to five times weekly, summer seasonal service starts May 2 operated by Air Canada rouge, with 136-seat Airbus A319 aircraft offering both premium and economy cabins of service.

Ottawa-Fort Lauderdale/Hollywood

Seasonal service now extended to year-round, operated twice weekly by Air Canada with 97-seat Embraer 190 jets offering both premium and economy cabins of service.

In addition, starting in May 2015, Air Canada will transfer to Air Canada rouge its Calgary-Varadero and Montreal-Varadero routes which will be operated with 142-seat Airbus A319 aircraft, as well as its Montreal-Martinique route operated with 136-seat Airbus A319 offering both premium and economy cabins of service.

Copyright Photo: SM Fitzwilliams Collection/AirlinersGallery.com. Airbus A319-112 C-GITP (msn 1562) arrives in Shannon, Ireland.

Air Canada aircraft slide show: 

Air Canada (Montreal) operated yesterday (December 18) its first nonstop flight between Toronto (Pearson) and Mont-Tremblant, Quebec. Service to Mont-Tremblant will be operated four times per week until March 30, 2015 by Air Canada Express with a 74-seat Bombardier DHC-8-402 (Q400) aircraft.

Air Canada flights from Toronto Pearson to Mont-Tremblant, Quebec are operated on Thursdays, Fridays, Sundays and Mondays. In addition, customers collect Aeroplan Miles through Canada’s leading loyalty program when travelling with Air Canada.

Copyright Photo: TMK Photography/AirlinersGallery.com. Bombardier DHC-8-402 (marketed as the Q400) C-GGOY (msn 4365) sits on the Toronto (Pearson) ramp.

Air Canada Express-Jazz aircraft slide show:

Air Canada (Montreal) is now questioning whether it should continue operations at Billy Bishop Toronto City Airport due “to current imposed terminal rates and terms”. Air Canada currently operates 15 round-trip flights a day between Billy Bishop Toronto City Airport and Montreal (Trudeau). Air Canada competes against Porter Airlines. See the statement below.

Read more from The Toronto Star: CLICK HERE

On the bright side, the company reported its highest load factor ever for the full year 2014. The company issued this statement:

For the month of December 2014, Air Canada reported a near record system load factor of 82.6 per cent, its second highest system load factor ever on a system-wide capacity increase of 8.5 per cent, versus a load factor of 82.7 per cent in December 2013. On this additional capacity, system wide traffic for December increased 8.3 per cent. For the full year 2014, load factor was a record 83.4 per cent, versus 82.8 per cent in 2013, an increase 0.6 percentage points. Air Canada reports traffic results on a system-wide basis, including Air Canada rougeTM, which began operations on July 1, 2013, and regional airlines from which Air Canada purchases capacity.

“I am pleased to report our highest load factor ever for the full year 2014 and second highest for the month of December on continued strong traffic growth of 8.5 and 8.3 per cent, respectively,” said Calin Rovinescu, President and Chief Executive Officer. “Led by an increase in traffic in the U.S. transborder market of 16.2 per cent, Air Canada generated greater traffic for the month of December in all markets the airline serves. These strong results, for both the month and full year, underscore the effectiveness of our commercial strategy focusing on international growth and the strategic deployment of Air Canada rouge to compete more effectively in leisure markets. I thank our employees for taking care of our customers while transporting them safely to their destination. Their professionalism and efforts in earning our customers’ loyalty have been recognized by many industry awards, including the selection of Air Canada as the Best Airline in North America by frequent world travelers.”

Billy Bishop Toronto City Airport Operations

While Air Canada’s traffic and load factor at Billy Bishop Toronto City Airport increased in 2014 over the previous year, as part of its continuing cost transformation initiatives, Air Canada is assessing the viability of Billy Bishop operations based on current imposed terminal rates and terms.

Copyright Photo: Gilbert Hechema/AirlinersGallery.com. Air Canada Express, operated by Sky Regional Airlines, Bombardier DHC-8-402 (Q400) C-FSRJ (msn 4165) departs from Montreal (Trudeau).

Air Canada aircraft slide show: 

Air Canada Express-Sky Regional aircraft slide show:

Air Canada (Montreal) and Jazz Aviation LP (Halifax), a wholly-owned subsidiary of Chorus Aviation Inc., have reached agreement on an amended and extended capacity purchase agreement (CPA) which provides for significant cost reductions for both parties, strengthens the relationship and better aligns their interests over the long term. The new CPA is subject to a number of terms and conditions, including the ratification of a new tentative agreement reached between Jazz and its pilots, represented by the Air Line Pilots Association (‘ALPA’), and approvals by the respective Boards.

The highlights of the new CPA include:

Extension of the term by five years to December 31, 2025;

Establishment of a pilot mobility agreement that provides Jazz pilots with access to pilot vacancies at Air Canada, thus allowing a significant reduction in Jazz operating costs;

Simplification and modernization of the Jazz fleet;

Reduction in Air Canada and Jazz costs derived from a combination of improved fleet economics, greater network flexibility and reduced operating and labour costs. This supports Air Canada’s cost reduction initiatives; and

Modification of Jazz’s CPA fee structure, moving from a “cost plus” mark-up to a more industry standard fixed fee compensation structure. This will provide more cost certainty and better align the cost reduction goals of both Air Canada and Jazz. This eliminates non-value added costs and the necessity of the 2015 benchmarking exercise.

While it is anticipated that Jazz will achieve similar returns to its current fee structure until 2020, there will be a reduction in the fixed fee compensation structure beginning in 2021. The new CPA affords Chorus the opportunity to provide more Jazz operated aircraft to Air Canada at market rates. Provisions within the new CPA will contribute significantly to ensuring Jazz is a formidable cost competitor in the regional sector over the term of the new CPA, thereby enabling Jazz to bid for new regional flying for Air Canada on a more competitive basis.

Further modernization of the Jazz fleet continues with the addition of 23 Bombardier Q400 aircraft to gradually replace 34 Bombardier DHC-8-100 and 25 CRJ200 aircraft. The transition to a newer, larger gauge aircraft operation calls for a reduction in the Jazz fleet from 122 to an established minimum guarantee of 101 aircraft by the end of 2020, and 86 aircraft by the end of 2025. The transition to newer and more efficient larger gauge aircraft significantly helps to reduce per seat operating costs. The up-gauging of aircraft results in a reduction of seat capacity of less than 4% by 2020, and is further reduced by less than 9% by 2025.

The new CPA is subject to respective Board approvals, the ratification of the pilot tentative agreement, and all requirements of the pilot mobility agreement being met. It is anticipated that all such approvals should be obtained by February 1, 2015.

In related news, Jazz Aviation announced that a new tentative agreement has been reached with the Air Line Pilots Association (ALPA) who represents Jazz pilots. The proposed term of this tentative agreement is 11 years expiring on December 31, 2025, and is consistent with the term of the amended CPA announced today with Air Canada. The new labor agreement is subject to ratification by the majority of Jazz pilots and the requirements of a pilot mobility agreement being met. Details of the agreement will not be released pending ratification which is expected to be completed by February 1, 2015.

Copyright Photo: Chris Sands/AirlinersGallery.com. Jazz Aviation’s Bombardier DHC-8-402 (Q400) C-GGNW (msn 4388) departs from Calgary.

Air Canada Regional-Jazz Aviation aircraft slide show:

Routes operated by Jazz for Air Canada:

Jazz Aviation LP (Air Canada Express) (Halifax), a wholly owned subsidiary of Chorus Aviation Inc., has announced that its pilots, represented by the Air Line Pilots Association (ALPA) have ratified their tentative agreement reached on January 13, 2015. The term of this agreement is 11 years expiring on December 31, 2025.

ALPA represents approximately 1380 pilots employed at Jazz. The term of the pilot agreement is consistent with the 11 year term of Chorus’ proposed amended capacity purchase agreement with Air Canada (that remains subject to the completion of certain terms and conditions), and therefore provides long-term labor stability. The new collective agreement also provides for productivity enhancements, cost control measures and incentives to grow at competitive rates.

Copyright Photo: TMK Photography/AirlinersGallery.com. Air Canada Express-Jazz Aviation’s Bombardier DHC-8-102 C-FJMG (msn 255) is pictured parked at the gate at Toronto-Pearson International Airport.

Air Canada Express (Jazz) aircraft slide show:

Air Canada (Montreal) said today that its amended and extended capacity purchase agreement (CPA) with Chorus Aviation Inc., parent company of Jazz Aviation LP (Halifax), has been concluded with all terms and conditions now met. The agreement provides both parties with greater stability and significant cost reductions through a better alignment of their interests.

The airline continued:

Air Canada estimates the new agreement will result in approximately $550 million in financial value over the next six years as compared to the previous CPA, of which two-thirds will be in network optimization benefits. The remaining benefits will be spread across several cost areas. Annual benefits in 2015 are expected to increase operating income by approximately $50 million as Air Canada implements the new CPA, increasing each year throughout the following five years.

The agreement also provides for long-term stability by eliminating the risks, uncertainties and set-up costs of a potential transition to alternative regional providers in 2021. Post 2020, Air Canada expects Jazz will provide competitive costs and continued high service levels.

The highlights of the new CPA include:

Extension of the term by five years to December 31, 2025;

Establishment of a pilot mobility agreement that provides Jazz pilots with access to pilot vacancies at Air Canada, thus allowing a significant reduction in Jazz operating costs;

Simplification and modernization of the Jazz fleet which will provide improved service and greater efficiency through the addition of 23 Bombardier Q400 aircraft;

Reduction in Air Canada and Jazz costs derived from a combination of improved fleet economics, greater network flexibility and reduced operating and labour costs. This supports Air Canada’s cost reduction initiatives; and

Modification of Jazz’s CPA fee structure, moving from a “cost plus” mark-up to a more industry standard fixed fee compensation structure. This will provide more cost certainty and better align the cost reduction goals of both Air Canada and Jazz. This eliminates non-value added costs and the necessity of the 2015 benchmarking exercise.

As a result,  Bombardier Commercial Aircraft and Chorus Aviation Inc., parent company of Jazz Aviation LP announced today that they have signed a firm purchase agreement whereby Chorus will acquire 13 Q400 NextGen aircraft and options for 10 Q400 NextGen aircraft. Once delivered, the aircraft will be operated by Jazz under the Air Canada Express banner.

The Companies also announced Chorus and Jazz as the launch customer and operator for the industry’s first Dash 8-300 aircraft Extended Service Program that will extend the life of the Dash 8-300 turboprop to 120,000 flight cycles from the original 80,000 flight cycles.

Copyright Photo: TMK Photography/AirlinersGallery.com. Jazz Aviation’s Bombardier DHC-8-402 (marketed as the Q400) C-GGOI (msn 4381) arrives in Toronto (Pearson).

Air Canada aircraft slide show:

Air Canada Express-Jazz aircraft slide show:

Air Canada (Montreal) has announced it is launching nonstop service between its Toronto Pearson hub and Atlantic City, New Jersey. The seasonal service, to be flown by Air Canada Express, operated by Jazz Aviation (Halifax), will offer four roundtrips trips a week beginning May 22, 2015.

Air Canada’s service between Toronto Pearson and Atlantic City International Airport will be operated four days a week from May 22 to September 7, 2015, using a 74-seat Bombardier DHC-8-402 (Q400) aircraft.

Copyright Photo: Keith Burton/AirlinersGallery.com. Bombardier DHC-8-402 (marketed as the Q400) C-GGND (msn 4394) arrives at the Toronto (Pearson) hub.

Air Canada Express-Jazz Aviation aircraft slide show: 

Air Canada (Montreal) on May 1 inaugurated new Air Canada rouge and Air Canada Express services between Vancouver-Osaka, Vancouver-Comox, Calgary-Nanaimo and Calgary-Halifax.

The up to five times weekly Vancouver-Osaka flights are operated by Air Canada rouge this summer with 280-seat Boeing 767-300 ER aircraft offering a choice of premium and economy cabins. Up to ten weekly, seasonal Halifax-Calgary flights are operated by Air Canada rouge with 136-seat Airbus A319 offering a choice of premium and economy cabins.

The daily Nanaimo-Calgary and twice daily Comox-Vancouver flights are operated by Jazz Aviation LP under the Air Canada Express brand with 74-seat Bombardier Q400 and 50-seat Bombardier DHC-8-300 aircraft respectively.

Upcoming new routes which will be launching by this summer’s peak include: Toronto-Amsterdam, Toronto-Austin, Toronto-Atlantic City, Toronto-Abbotsford, Montreal-Venice, Montreal-Mexico City and Calgary-Terrace.

Copyright Photo: TMK Photography/AirlinersGallery.com. Air Canada rouge (Air Canada) Boeing 767-333 ER WL C-GHLQ (msn 30846) taxies at the Toronto (Pearson) base.

Air Canada aircraft slide show: 

Air Canada rouge aircraft slide show: 

Air Canada Express (Jazz Aviation) (Halifax) yesterday (May 18) officially launched its first flight to Austin, Texas. With Air Canada Express flight AC 8840 from Toronto (Pearson), Austin officially became part of Air Canada’s international network of more than 190 destinations on five continents.

Daily Air Canada Express flights from Toronto to Austin are operated by Jazz Aviation LP with 75-seat Bombardier CRJ705 aircraft with a choice of both premium and economy cabins of service.

New Air Canada and Air Canada Express routes launched to date this year in addition to Toronto-Austin include: Montreal-Venice, Vancouver-Osaka, Vancouver-Comox, Calgary-Halifax and Calgary-Nanaimo. Upcoming new routes still to launch include: Toronto-Dubai, Toronto-Delhi, Toronto-Amsterdam, Toronto-Atlantic City, Toronto-Abbotsford, Montreal-Mexico City and Calgary-Terrace.

Copyright Photo: TMK Photography/AirlinersGallery.com. Bombardier CRJ705 (CL-600-2D15) C-GOJZ (msn 15053) taxies at the Toronto (Pearson) hub.

Air Canada Express-Jazz aircraft slide show: 

Air Canada Express-Jazz routes from Toronto (Pearson):

Air Canada (Montreal) yesterday (May 22) launched seasonal service to Atlantic City, New Jersey.

Air Canada flight AC 7918 from Toronto (Pearson) marked the start of seasonal services to Atlantic City, resort city famed for beaches, boardwalks and casinos.

Seasonal, four times weekly Air Canada Express flights from Toronto to Atlantic City are operated by Jazz Aviation LP (Halifax) with 74-seat Bombardier DHC-8-402 (Q400) aircraft on Fridays, Saturdays, Sundays and Mondays.

New routes launched to date this year in addition to Toronto-Atlantic City include: Toronto-Austin, Montreal-Venice, Vancouver-Osaka, Vancouver-Comox, Calgary-Halifax and Calgary-Nanaimo. Upcoming new routes still to launch include: Toronto-Dubai, Toronto-Delhi, Toronto-Amsterdam, Toronto-Abbotsford, Montreal-Mexico City and Calgary-Terrace.

Copyright Photo: TMK Photography/AirlinersGallery.com. Air Canada Express-Jazz Aviation Bombardier DHC-8-402 (Q400) C-GGOY (msn 4365) is pictured on the ramp at Toronto (Pearson).

Air Canada Express-Jazz Aviation aircraft slide show: 

Air Canada (Montreal) announced today new nonstop services between 12 U.S. cities and its four key Canadian hubs beginning next summer. The new transborder routes will introduce new destinations, such as Washington-Dulles-Toronto, Salt Lake City-Toronto and San Jose-Vancouver, while also creating new city-pair routings, such as Chicago-Vancouver, Houston-Montreal, Denver-Montreal and San Francisco-Calgary.

The new routes announced today will be operated by Air Canada mainline, Air Canada rouge and Air Canada Express aircraft. All routes will operate year-round except where indicated by (*).

1 Flight operated by Air Canada Express; 2 Flight operated by Air Canada rouge.

Copyright Photo: SPA/AirlinersGallery.com. Airbus A319-112 C-GITR (msn 1577) departs from London Heathrow.

Air Canada aircraft slide show: 

Air Canada (Montreal) has announced that its leisure carrier subsidiary, Air Canada rouge™, is expanding in Eastern Canada by operating twice daily seasonal nonstop service between Toronto and Charlottetown beginning May 2, 2016. The new route will be flown with Airbus A319 aircraft.

In the summer of 2016, Air Canada rouge and Air Canada Express will operate up to 69 scheduled nonstop flights each week from Charlottetown to four destinations across Canada:

• Air Canada offers twice daily summer service to Toronto between May 2 and October 23, 2016 operated by Air Canada rouge with 136-seat Airbus A319 aircraft featuring premium and economy cabins.
• For winter 2016/17, service will return to three daily Air Canada Express flights with the 50-seat Bombardier CRJ jet aircraft operated by Air Georgian
• Up to three daily nonstop Air Canada Express flights to Montreal with a mix of 74-seat Bombardier Q400 Next Generation aircraft offering all-leather seating and 50-seat Bombardier CRJ aircraft operated by Jazz Aviation LP
• One daily nonstop flight to Ottawa with Air Canada Express 50-seat Bombardier CRJ jet aircraft operated by Jazz Aviation LP
• Four daily flights to Halifax using Air Canada Express 18-seat Beech 1900D aircraft operated by Exploits Valley Air Services, Ltd. (EVAS)

Copyright Photo: TMK Photography/AirlinersGallery.com. Airbus A319-114 C-GBIJ (msn 829) approaches the runway at Toronto (Pearson).

Air Canada aircraft slide show: 

Air Canada rouge aircraft slide show: 

Air Canada and Sky Regional Airlines announced on November 7, 2017 they have concluded a 10-year extension to their  existing capacity purchase agreement (CPA), effective April 1, 2017.

In addition to Sky Regional, Air Canada has capacity purchase agreements with its other regional airline partners, Jazz, Air Georgian and EVAS, that operate regional Air Canada Express flights on behalf of Air Canada.

Sky Regional Airlines Inc. is a Canadian company that operates regional routes on behalf of Air Canada under the Air Canada Express banner. Since its inception in 2010, and its first commercial flight on May 1, 2011, Sky Regional has operated a fleet of Bombardier Q400 aircraft offering service to such markets as Toronto, Montreal and Moncton.

In 2013, the airline expanded, adding 15 Embraer E175 series aircraft serving the Northeastern United States, flying in excess of 100 flights per day into cities including Boston, New York, Newark, Philadelphia, Washington, Dallas, and Chicago. In 2016, Sky Regional expanded its fleet with an additional five E175 aircraft serving such markets as Jacksonville, Houston, Denver and Atlanta.

On February 23, 2017, the airline saw the departure of the Bombardier Q400s and now the entire fleet is comprised of 25 Embraer E175 series aircraft.

Copyright Photo: Air Canada Express (Sky Regional Airlines) Embraer ERJ 170-200LR (ERJ 175) C-FRQN (msn 17000147) YYZ (TMK Photography). Image: 937582.

Route Map:

Air Canada has announced it will begin new domestic regional nonstop flights on July 2, 2018.

“We are pleased to offer new nonstop flights onboard our Bombardier Q400s between popular BC and Alberta cities as we continue to strategically expand our already extensive domestic network,” said Benjamin Smith, President, Passenger Airlines at Air Canada. “With the continued growth at several communities on Vancouver Island and in the BC Okanagan, we see the opportunity to add new nonstop services and provide additional convenient travel options.”

“With Alberta being such a key market, the new direct flights into Kelowna, Victoria and Comox are great news for British Columbia’s visitor economy,” said Walt Judas, CEO of the Tourism Industry Association of British Columbia. “Air Canada’scommitment to servicing these routes is not only a huge boost for the individual communities, it is also a major benefit for the Thompson Okanagan and Vancouver Island regions as a whole.”

Top Copyright Photo: Air Canada Express-Jazz Aviation Bombardier DHC-8-402 (Q400) C-GGNW (msn 4388) YYC (Chris Sands). Image: 925782.

Air Canada Express-Jazz Aviation aircraft slide show:

These new routes complement Air Canada’s previously announced new nonstop North America routes beginning 2018:

• Toronto to: Omaha, Providence, Nanaimo, Kamloops
• Montreal to: Baltimore, Pittsburgh, Victoria
• Edmonton to: San Francisco
• Vancouver to: Sacramento

Air Canada will launch new international services in 2018 including:

• Toronto to: Shannon (Ireland), Porto (Portugal), Zagreb (Croatia), Bucharest (Romania), Buenos Aires (Argentina)
• Montreal to: Tokyo–Narita (Japan), Dublin (Ireland), Bucharest (Romania), Lisbon (Portugal)
• Vancouver to: Paris (France), Zurich (Switzerland)

In other news, Air Canada also announced that its current seasonal nonstop Vancouver–Delhi flights will become year-round starting June 8, 2018.

Above Copyright Photo: The first Boeing 777-300 has now been repainted in the new livery. Air Canada Boeing 777-333 ER C-FITL (msn 35256) YYZ (TMK Photography). Image: 940829.

Air Canada aircraft slide show:

Air Canada and Chorus Aviation Inc., parent company of Jazz Aviation LP, today confirmed that all conditions have been met and the previously announced amendment and extension of the Capacity Purchase Agreement (CPA) between Air Canada and Jazz has become effective.  As announced on January 14, 2019, the improved CPA is effective retroactively as of January 1, 2019 and extends to December 31, 2035.

As part of the agreement to amend the CPA, Air Canada has also completed the $97.26 million equity investment in Chorus previously announced on January 14, 2019. Air Canada has acquired 15,561,600 Class B Voting Shares in the capital of Chorus, representing approximately 9.99% of the issued and outstanding Class A Variable Voting Shares and Class B Voting Shares of Chorus on a combined basis.

Highlights of the CPA Amendment

• With this amendment, the parties will effectively address increased domestic and international competition, changing market demand, and fluctuating fuel prices, through significant changes that will modernize and up-gauge the fleet.
• In total, the 17-year contract will provide Jazz $2.5 billion in minimum contracted revenues, of which $1.6 billion, or 65%, will be generated from aircraft leasing revenue, supporting the continued transformation of Chorus’ business through the migration of CPA earnings to aircraft leasing. The amended CPA will provide for total incremental contracted revenue of $940 million; $310 million in fixed fees and $630 million in aircraft leasing under the CPA;
• Projected annual savings to Air Canada of approximately $50 million in each of 2019 and 2020, and cumulative savings of approximately $53 million between 2021 and 2025, both as compared to the 2015 CPA frame-work (from both fixed fee and performance incentive reductions); Beyond 2025 – a market competitive fixed fee for the extension period. This supports Air Canada’s Cost Transformation Programs;
• Chorus will secure preferred partner status on the operation of aircraft with up to 50 seats and Air Canada will consolidate its existing CRJ regional capacity into the Jazz operation;
• Air Canada Deputy Chief Executive Officer and Chief Financial Officer, Michael Rousseau, will be appointed to the board of directors of Chorus.

In other news, Chorus Aviation Inc. has announced the pilots of its subsidiary, Jazz Aviation LP (‘Jazz’), have ratified the amendments to their collective agreement which was tentatively agreed on January 14, 2019. The Air Lines Pilots Association, International (‘ALPA’) represents Jazz’s pilots based in Vancouver, Calgary, Toronto and Montreal.

Ratification of this tentative agreement was a condition of implementing the amendments to, and extension of, the capacity purchase agreement (‘CPA’) between Air Canada and Jazz, as announced on January 14, 2019. The amendment and extension of the CPA remains subject to completion of Air Canada’s $97.26 million equity investment in Chorus, which contains customary conditions to closing. Chorus anticipates closing the equity investment by no later than February 8, 2019, upon which the amendment and extension of the CPA will become effective.

The pending amendments to the CPA provide for a number of significant benefits including fleet modernization with the addition of 14 larger-gauge CRJ900 (76-seat) aircraft of which nine new aircraft will generate additional lease revenue under the CPA.

Air Canada will consolidate more of its overall regional capacity in the Jazz operation. Chorus will also secure preferred partner status on the operation of aircraft with up to 50 seats through a right to match third-party offers.  Additionally, an enhanced pilot mobility agreement will provide Jazz pilots access to careers at Air Canada. The amended CPA will ensure that Chorus and Air Canada are well positioned to respond as allies to an ever-changing industry.