/R E P E A T -- Air Canada and CUPE Reach New 10-Year Agreement Subject to Ratification on Contract Terms for Flight Attendants/

MONTREAL, Oct. 20, 2015 /CNW Telbec/ - Air Canada and the Canadian Union of Public Employees (CUPE) today announced they have reached a new agreement, subject to ratification, on collective agreement terms for ten years for the approximately 6,500 flight attendants at Air Canada and 700 at Air Canada rouge.

"This new, ten-year agreement with CUPE is an important development which will support long term profitable growth for the benefit of Air Canada, our stakeholders and our flight attendants at both mainline and Air Canada rouge," said Benjamin Smith, President, Passenger Airlines, Air Canada. "This is a win-win agreement that will provide added stability and flexibility while acknowledging the important contribution of our flight attendants towards Air Canada's future success. As the fifth collective agreement reached with unions representing our employees over the past year, it is further indication of the collaborative partnership that is building Air Canada into a Global Champion."

"We are pleased that the company has agreed to many key improvements to our current collective agreement, including much-needed provisions on job security amongst other important gains. Following many months of hard work at the bargaining table, the eight members of our bargaining committee are unanimous in their joint endorsement of this tentative agreement. We look forward to a sustained period of growth at Air Canada. Our company's global expansion in the months and years ahead will be mutually beneficial, and will have a tremendously positive impact on our membership," said Michel Cournoyer, President, CUPE Airline Division.

The agreement is subject to ratification by CUPE's membership as well as to certain openers over the 10 year period. Details of the agreement will not be released pending ratification by CUPE and approval by the Air Canada Board of Directors.

The union will recommend ratification to its members and the Company will seek the Air Canada Board of Directors' approval for the agreement promptly.

This agreement with CUPE, subject to ratification, follows on the conclusion in October 2014 of a new agreement with Air Canada's 3,000 pilots on collective agreement terms for ten years. It is the fifth collective agreement reached by Air Canada and its unions, including those with Unifor representing the airline's 4,000 Customer Service and Sales Agents in Canada, the International Brotherhood of Teamsters (IBT) representing its U.S. unionized workforce and UNITE representing its U.K unionized workforce.

About Air Canada

Air Canada is Canada's largest domestic and international airline serving more than 200 airports on six continents. Canada's flag carrier is among the 20 largest airlines in the world and in 2014 served more than 38 million customers. Air Canada provides scheduled passenger service directly to 63 airports in Canada, 52 in the United States and 86 in Europe, the Middle East, Asia, Australia, the Caribbean, Mexico, Central America and South America. Air Canada is a founding member of Star Alliance, the world's most comprehensive air transportation network serving 1,321 airports in 193 countries. Air Canada is the only international network carrier in North America to receive a Four-Star ranking according to independent U.K. research firm Skytrax. For more information, please visit: www.aircanada.com, follow @AirCanada on Twitter and join Air Canada on Facebook.

Caution Regarding Forward-Looking Information

Air Canada's public communications may include forward-looking statements within the meaning of applicable securities laws. Forward-looking statements, by their nature, are based on assumptions and are subject to important risks and uncertainties, including those described in this news release. Forward-looking statements cannot be relied upon due to, amongst other things, changing external events and general uncertainties of the business. Actual results may differ materially from results indicated in forward-looking statements due to a number of factors, including without limitation, industry, market, credit and economic conditions, the ability to reduce operating costs and secure financing, pension issues, energy prices, employee and labour relations, currency exchange and interest rates, competition, war, terrorist acts, epidemic diseases, environmental factors (including weather systems and other natural phenomena, and factors arising from man-made sources), insurance issues and costs, changes in demand due to the seasonal nature of the business, supply issues, changes in laws, regulatory developments or proceedings, pending and future litigation and actions by third parties as well as the factors identified throughout Air Canada's public disclosure file available at www.sedar.com. Any forward-looking statements contained in this news release represent Air Canada's expectations as of the date of this news release and are subject to change after such date.  However, Air Canada disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.

SOURCE Air Canada

Media Contacts: Air Canada: Isabelle Arthur (Montréal), [email protected], 514 422-5788; Peter Fitzpatrick (Toronto), [email protected], 416 263-5576; Angela Mah (Vancouver), [email protected], 604 270-5741, aircanada.com; CUPE: Philippe Gagnon, [email protected], 613-894-0146, accomponent.ca