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Strike Action Averted at Air Canada

MONTREAL, Oct. 12, 2011 /CNW Telbec/ - Air Canada and CUPE have received notice that the Minister of Labour, the Hon. Lisa Raitt, has asked the Canada Industrial Relations Board (CIRB), under Section 87.4 of the Canada Labour Code, to determine the rights and obligations of the employer, the union and the employees to continue the supply of services in the event of a strike. As a result of this CIRB referral, CUPE cannot commence a legal strike at least until this matter has been decided by the CIRB. The strike deadline originally scheduled for 00:01 am ET on Thursday, October 13, 2011 is effectively cancelled. 

In addition, as a result of the rejection by the CUPE membership of two collective agreements, the Minister of Labour is asking the CIRB to determine if conditions unfavourable to a settlement exist and if so, to either impose a new collective agreement or a binding method of resolving the dispute.

We accordingly expect that this process will lead to a definitive resolution for our customers.

In the meantime, it remains business as usual at Air Canada and all flights will continue to operate as scheduled.

We thank our customers for their patience and loyalty during this time.

Air Canada encourages customers to visit aircanada.com for flight information and self service booking tools to avoid longer call centre wait times due to a higher volume of calls than usual.

Air Canada will continue to provide updates as developments warrant.

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 below. 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, currency exchange and interest rates, employee and labour relations, 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.


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