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MONTREAL, Feb. 18 Air Canada announced today that with its aircraft refurbishment program substantially complete, travellers taking advantage of the airline's expanded summer schedule will travel in greater comfort than ever before.

"Air Canada is passing a milestone in its aircraft interior refurbishment
program. The renewal of our regular narrow body fleet will be complete by
June 1 and three quarters of our wide-body aircraft will also be ready for the
summer, meaning we can now guarantee a new or refurbished aircraft on our
major routes. With our new aircraft and refitted interiors, Air Canada
customers will be more comfortable than any armchair traveller, enjoying
lie-flat suites in Executive First on international flights and new seats
throughout all our aircraft, each featuring a personal audio-visual
entertainment system with free access to 36 movies and hundreds of CDs, a
120-volt power plug, a USB port and more," said Ben Smith, Executive Vice
President, Commercial, at Air Canada. "Further enhancing the travel experience
on Air Canada this summer is the consolidation of our operations in a single
terminal at our Toronto hub. With its new Maple Leaf Lounges, conveniently
located gates, and customs pre-clearance to the U.S., travellers can connect
seamlessly with our national, transborder and international network."

Customers booking travel through aircanada.com are able to determine at the time of booking through a red star designator that their chosen flight will be operated with a new or refurbished aircraft. Recently, Air Canada upgraded its reservation system to make it easier for travel agents to
identify new aircraft or those with the new interiors.

Air Canada's 142 regular Embraer and Airbus narrowbody aircraft serving primarily domestic and transborder routes will be either new or refurbished as of June 1. Forty-five of its 60 long-haul, widebody aircraft will be either new or have refitted interiors by the same date, allowing Air Canada to
designate key international routes to be served exclusively by these aircraft. Among these routes are: Ottawa-London, Montreal-Paris, Toronto-Frankfurt, Toronto-Tel Aviv, Toronto-Munich, Toronto-Zurich, and Toronto-Madrid. All Toronto-Asia services will be operated using Boeing 777s equipped with the new interiors as will Vancouver-Sydney.

Air Canada also announced today its schedule for the summer of 2008. The airline is introducing 13 new routes this summer.

International
Air Canada is launching this summer the new international non-stop routes of Toronto-Madrid and Ottawa-Frankfurt. As well, it is improving capacity or frequencies on other routes and these include increasing the number of flights between Vancouver and Seoul to ten a week from seven (pending government approval), boosting service between Toronto and Tel Aviv to daily from five times a week and increasing flights from Toronto to Buenos Aires/Santiago to daily, up from five a week.

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 32 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.

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