September 2008

Effective October 1, 2008 headsets will be sold in Economy Class, on all Air Canada and Air Canada Jazz flights in North America. Environmentally Friendly announcements will be made by In Flight service, reminding customers to 1) use their own personal devices or 2) purchase a headset and reuse for future AC flights in order to reduce waste.  The new high quality headsets boast superior sound quality to the current ones and will allow passenger to get the most out of their in-flight entertainment experience.

The following exceptions apply:

• Super Elite customers will get a one time free offer via Direct Mail
• Complimentary to Executive Class and unaccompanied minors

MONTREAL, September 10, 2008  Air Canada and Spafax Canada, publishers of the airlines award-winning in-flight magazine, enRoute, today announced the launch of a unique entertainment and shopping portal, www.aircanada.com/enroute.

The new website, the first of its kind in the aviation industry, will allow Air Canada customers, enRoute readers, and travelers from around the world to experience all aspects of enRoute media, including award winning editorial, a complete summary of all in-flight entertainment choices available on the airlines fleet-wide seatback entertainment system and a unique retail environment available 24/7.  Anyone can now check out the wide selection of movies, TV and audio available at every Air Canada customers personal seatback entertainment system, shop for that last minute travel item, and preview enRoute magazine.

The website contains helpful travel information geared toward providing planning tools for the frequent or infrequent traveler. The site includes both audio and video allowing users to watch trailers of upcoming in-flight movies and television, listen to exclusive audio podcasts, watch exclusive behind the scenes video, see editors picks of the top 25 new places to eat, drink and shop in Air Canada hub cities (Montreal, Toronto, Calgary and Vancouver) and read award winning travel and cultural features.

Air Canada has also established a retail environment within the site, partnering with well known brands such as Lonely Planet and Hbc, a division of Hudsons Bay Trading Company, Canadas largest general merchandise retailer, featuring relevant travel accessories, guide books and Air Canada merchandise all available in one place. Users will also be able to link directly to the ticket engine at aircanada.com and access the rest of the site, one of Canadas leading travel websites.

This website moves the enRoute and Air Canada brands to an exciting new place, says Katrin Kopvillem, Managing Director and Publisher, Spafax Canada. Air Canadas award-winning media can now be accessed at any time, any where, and there will be more features added to the site as it matures.

With this new media portal, Air Canada aims to strengthen the dialogue we have with our customers, within an entertainment and retail environment, said Charles McKee, Air Canadas Vice President, Marketing. We are very excited to extend our enRoute in-flight entertainment and offer a unique shopping experience to our customers at home.  In todays digital media age, consumers expect a richer media experience, one that speaks to their lifestyles, and this site delivers on that expectation.

enRoute and enRoute Online are published by Spafax, one of the worlds leading custom publishers and providers of in-flight media, with offices in eight cities around the world. Spafax is part of the specialist communications division of WPP.

Montreal-based Air Canada provides scheduled and charter air transportation for passengers and cargo to more than 170 destinations on five continents. Canada's flag carrier is the 14th largest commercial airline in the world and serves 33 million customers annually. Air Canada is a founding member of Star Alliance, providing the world's most comprehensive air transportation network.

Air Canada was ranked in 2007 as the Best Airline in North America for the second time in three years in an independent passenger survey of 14 million air travellers conducted by Skytrax.  In addition, Air Canada was recently voted Best Airline in North America and Best Airline in Canada by the readers of Global Traveler magazine, and Best Business Class to Canada by the readers of Business Traveler magazine.  In 2007, Air Canada was recognized by the editors of Air Transport World as the airline industry leader in market innovation, specifically Air Canadas success in implementing an innovative and transparent pricing structure, its effectiveness in using online technology to meet consumers needs and its fleet-wide renewal with a consistent, market-leading onboard product among North American airlines.

Below is the checked baggage policy for United Economy® travel within the 50 United States, Puerto Rico, the U.S. Virgin Islands and Canada.     FAQs

Frequently Asked Questions

If you are traveling on an Economy ticket or an Economy award ticket, please refer to the information below to see which checked baggage fees may apply. Please note the fee exceptions below. All fees shown below are in U.S. dollars unless otherwise specified.

Checked baggage fees

First bag  $15 each way

Second bag $25 each way

Note: A $2 fee may apply for each bag checked via curbside check-in at certain U.S. airports.

Aircells Gogo chosen to provide first Wi-Fi service in Canadian airline industry

MONTREAL, September 9, 2008 - Air Canada intends to begin offering live internet service to customers inflight starting next spring under an agreement announced today with Aircell.

"Air Canada prides itself on connecting Canada and the world and an important element of staying connected today is having use of the internet. That is why Air Canada is taking a major step forward to becoming the first Canadian airline to provide its customers inflight, online access through Gogo. In cooperation with Aircell, and pending Canadian regulatory approvals, we plan to eventually offer internet access system-wide so customers can email, work and surf the net while flying, and more fully enjoy what is already a superior travel experience," said Charles McKee, Vice President, Marketing, at Air Canada.

"Air Canada has long been recognized as a leader in cabin merchandising and we are pleased to have Gogo selected as part of that marketing strategy, said Jack Blumenstein, President and Chief Executive Officer of Aircell. Adding Air Canada as Aircells newest airline partner and our first international customer will be yet another milestone for our company.  As we continue to grow our U.S. network and explore our international expansion plans, Air Canada will have the distinction of being the first."

Air Canada intends to begin operating Gogo by spring 2009 aboard Airbus A319 aircraft on select flights to the U.S. west coast and will be accessible by customers with a standard, wi-fi equipped laptop or Personal Electronic Device (PED). Initially, the Gogo system will be powered by Aircells existing network and only available in the U.S. in order to make Air Canadas rollout fast, economical and simple. Upon successful completion of the initial phase, Air Canada plans to extend the system throughout its North American and International markets as Aircells coverage network expands. Aircell looks forward to the licensing and rollout of a Canadian Air-to-Ground network to make Gogo available in Canada and facilitate Air Canadas future fleet-wide deployment.

About Air Canada

Montreal-based Air Canada provides scheduled and charter air transportation for passengers and cargo to more than 170 destinations on five continents. Canada's flag carrier is the 14th largest commercial airline in the world and serves 34 million customers annually with a fleet consisting of 335 aircraft. Air Canada is a founding member of Star Alliance, providing the world's most comprehensive air transportation network.

About Aircell

Aircell is the worlds leading provider of airborne communications.  As winner of an exclusive FCC frequency license in 2006, Aircell® has built a revolutionary mobile broadband network for commercial and business aviation. In 2008, the Aircell Network and its inflight portal, Gogo", revolutionized the commercial airline passenger flight experience by delivering a robust Internet experience at 35,000 feet.  In addition, the Aircell Network provides airlines with connectivity to operations and a path to enhanced cabin services such as video, audio, television and more.  A similar feature set is available to Business aircraft operators.  Aircell has facilities in Broomfield, Colorado, and Itasca, Illinois.  Aircells vision is to give everyone the ability to stay in touch, in flight®.  For more information about Aircell, please visit www.aircell.com.

About Gogo

Gogo", powered by Aircell, turns a commercial airplane into a Wi-Fi hotspot with true inflight Internet access.  Passengers with Wi-Fi enabled devices, such as laptops, smartphones and PDAs, can surf the Web, check any e-mail, Instant Message, access a corporate VPN and more.  For more information about Gogo, please visit www.gogoinflight.com.