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Tag Archives: Air Canada rouge

Air Canada rouge to introduce Vancouver-Palm Springs seasonal flights on December 18

Air Canada (Montreal) announced today that it will introduce a new seasonal nonstop service operated by Air Canada rouge (Toronto-Pearson) between Vancouver and Palm Springs, California this winter. Flights to the ‘Golf Capital of the World’ will be operated with Air Canada rouge Airbus A319 aircraft featuring three customer comfort options: rouge, rouge Plus with preferred seating offering additional legroom, and Premium rouge with additional personal space and enhanced service.

Air Canada rouge flights between Vancouver and Palm Springs, CA will begin on December 18, 2014 and will operate three times weekly until April 12, 2015.

Air Canada will continue to evaluate future market opportunities as new aircraft are introduced into its mainline fleet and existing aircraft are released for operation by Air Canada rouge as market demand warrants. Since the launch in July 2013 of Air Canada rouge, Air Canada has deployed its leisure carrier to a growing number of Caribbean, Mexico, Europe and select sun destinations in the United States.

Air Canada rouge operates a fleet consisting of Boeing 767-300ER and Airbus A319 aircraft transferred from Air Canada.

Air Canada’s mainline fleet renewal is ongoing with the introduction of new aircraft. In May, the airline took delivery of its first Boeing 787 Dreamliner and is scheduled to receive a total of six 787 aircraft in 2014 with the remaining 31 scheduled between 2015 and 2019. In February 2014, Air Canada took delivery of the last of five new Boeing 777-300 ER aircraft to enter its mainline fleet.

Copyright Photo: TMK Photography/AirlinersGallery.com. Airbus A319-114 C-GBHR (msn 785) taxies at the Toronto (Pearson) hub.

Air Canada: AG Slide Show

Air Canada rouge: AG Slide Show

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Air Canada rouge to start Vancouver-Los Angeles flights on November 28

Air Canada rouge (Toronto) will introduce Vancouver-Los Angeles service on November 28, supplementing current Air Canada service according to Airline Route.

Copyright Photo: Eddie Maloney/AirlinersGallery.com. Boeing 767-33A ER C-GHPE (msn 33423) is pictured on the ground at Las Vegas.

Air Canada: AG Slide Show

Air Canada rouge: AG Slide Show

Air Canada to convert the Toronto-St. Maarten route to Rouge, St. John’s-London route to convert to year-round

Air Canada (Montreal) will convert the Toronto (Pearson)-St. Maarten route to an Air Canada rouge route on December 20. The twice-weekly route will be operated with Boeing 767-300 ER aircraft per Airline Route.

In other news, Air Canada has announced its nonstop St. John’s-London (Heathrow) route will now operate year-round beginning on October 26, 2014.

Flights will operate three times a week on Monday-Thursday-Saturday leaving St. John’s at 00:40, arriving in London at 09:15, departing from London at 11:05 and arriving back in St. John’s at 13:05.

Copyright Photo: TMK Photography/AirlinersGallery.com. Boeing 767-333 ER C-FMWU (msn 25585) now with Air Canada rouge arrives back at the Toronto (Pearson) hub.

Air Canada: AG Slide Show

Air Canada rouge: AG Slide Show

 

Air Canada to convert more leisure routes to Air Canada rouge

Air Canada (Montreal) has announced that its leisure carrier subsidiary, Air Canada rouge (Toronto-Pearson), is expanding service to Hawaii with the introduction of new year-round nonstop flights between Toronto and Honolulu. The new route, offering the only nonstop service between Toronto and Hawaii, will begin on November 26, 2014. Flights will be operated using Air Canada rouge Boeing 767-300 ER aircraft offering a choice of two cabins with three choices of service, personal space and comfort.

In addition, Air Canada announced that existing year-round nonstop service from Vancouver to Honolulu and Maui, currently operated by Air Canada, will be converted to daily Air Canada rouge Boeing 767-300 ER service effective on November 21 and December 1, 2014, respectively.

As part of its Air Canada rouge winter schedule to Caribbean destinations, twice-weekly seasonal service from Toronto to St. Maarten, previously operated by Air Canada, will be converted to Air Canada rouge Boeing 767-300ER service effective on December 20.

Air Canada will continue to evaluate future market opportunities as new aircraft are introduced into its mainline fleet and existing aircraft are released for operation by Air Canada rouge as market demand warrants. Since the launch in July 2013 of Air Canada rouge, Air Canada has deployed its leisure carrier to a growing number of Caribbean, European and select sun destinations in the United States.

With the addition of the Hawaii and St. Maarten routes, together with its previously announced summer 2014 schedule to Europe, the Caribbean and the United States, Air Canada rouge plans to operate a total of 58 routes by next winter, including service this summer to Barcelona, Dublin, Lisbon, Manchester, Nice and Rome.

Air Canada rouge’s aircraft feature three customer comfort options: rougeTM, rouge PlusTM with preferred seating with additional legroom, and Premium rougeTM with additional space and enhanced service on the Boeing 767-300 ER and on select Airbus A319 routes. Air Canada rouge offers a unique brand of customer service designed to make every flight a memorable start and end to a wonderful vacation. Aircraft are equipped with player, a next generation in-flight entertainment system that wirelessly streams entertainment to customers’ personal electronic devices. Flights provide stylish and modern cabin interiors with new Slimline seats which have a trim profile that offers more personal space, and the ability to earn and redeem Aeroplan miles.

Air Canada rouge operates a fleet consisting of Boeing 767-300 ER and Airbus A319 aircraft transferred from Air Canada. By the end of May 2014, Air Canada rouge’s fleet will include six Boeing 767-300 ER aircraft and 18 Airbus A319 aircraft.

Air Canada’s mainline fleet renewal is ongoing with the introduction of new aircraft. In May, the airline took delivery of its first 787 Dreamliner and is scheduled to receive a total of six 787 aircraft in 2014 with the remaining 31 scheduled between 2015 and 2019. In February 2014, Air Canada took delivery of the last of five new Boeing 777-300 ER aircraft to enter its mainline fleet.

Copyright Photo: TMK Photography/AirlinersGallery.com. Boeing 767-333 ER C-FMWV (msn 25586) arrives back at the Toronto (Pearson) hub.

Air Canada: AG Slide Show

Air Canada rouge: AG Slide Show

 

 

Air Canada rouge expands into western Canada

Air Canada (Montreal) has announced that its leisure carrier subsidiary, Air Canada rouge (Toronto-Pearson), is expanding to Western Canada to serve a number of predominantly leisure markets from Vancouver and Calgary to Los Angeles, San Francisco, Las Vegas and Anchorage. Flights on these routes, currently operated by Air Canada, will be converted to Air Canada rouge service beginning this spring, as will flights to San Diego from Toronto.

In addition, the airline announced that it will introduce new seasonal nonstop service operated by Air Canada rouge between Vancouver and Phoenix beginning on December 17, 2014. Existing service from Calgary and Toronto to Phoenix will also be converted to Air Canada rouge.

Air Canada flights on the following routes will be converted to Air Canada rouge Airbus A319 service beginning this spring:

Vancouver to:

Las Vegas, NV, daily flights effective April 28.
Los Angeles, CA, four times daily effective May 1.
Anchorage, AK, daily effective May 16.
San Francisco, CA, four times daily effective July 1.
Phoenix, AZ, daily effective December 17.

Calgary to:

Las Vegas, NV, daily effective April 28.
Los Angeles, CA, twice daily effective May 1.
Phoenix, AZ, daily effective December 17.

Toronto to:

San Diego, CA daily effective March 29.
Phoenix, AZ, daily effective May 4; up to three times daily during the winter season.
With the addition of these routes, together with its previously announced summer 2014 schedule to Europe, the Caribbean and the United States, Air Canada rouge plans to operate a total of 54 routes, including new service this summer to Barcelona, Dublin, Lisbon, Manchester, Nice and Rome.

In other news, Air Canada has revised its introductory plans for the new Boeing 787. The airline has cancelled plans to operate the new type initially to London (Heathrow). The 787 will now operate from Toronto (Pearson) to Zurich from May 18 through June 29 per Airline Route.

Copyright Photo: Jay Selman/AirlinersGallery.com. 264-seat Boeing 767-33A ER C-GHPN (msn 33424) arrives at Las Vegas.

Air Canada: AG Slide Show

Air Canada rouge: AG Slide Show

 

Air Canada rouge to launch flights between Montreal and Orlando on February 15

Air Canada rouge (Toronto) will begin flying nonstop flights between Montreal (Trudeau) and Orlando starting on February 15 with two daily departures from Montreal. Service will be year round and represents a 30 percent capacity increase this summer compared to Air Canada service last year. Air Canada rouge offers more flights between Montreal and Orlando than any other carrier. With the launch of the increased Montreal service, there is more Air Canada/Air Canada rouge nonstop service between Canada and Orlando than any other carrier, with Air Canada flights from Halifax and Ottawa and Air Canada rouge flights from Toronto and Montreal.

Flights between Montreal and Orlando will be operated with Airbus A319 aircraft.

Copyright Photo: TMK Photography/AirlinersGallery.com. Airbus A319-112 C-GSJB (msn 1673) waits for the next flight at the Toronto (Pearson) hub.

Air Canada rouge: AG Slide Show

Air Canada reports adjusted net income of $340 million, an increase of $285 million from 2012

Air Canada (Montreal) today issued its financial report for 2013 (all figures in Canadian dollars):

Air Canada reported record full year earnings before interest, taxes, depreciation, amortization and impairment, and aircraft rent (EBITDAR(1)) of $1.433 billion (or $1.515 billion including the impact of benefit plan amendments) compared to EBITDAR of$1.320 billion (or $1.447 billion including the impact of benefit plan amendments) in 2012, an increase of$113 million (or $68 million including the impact of benefit plan amendments). Operating income of $619 million increased $177 million from 2012.  On a GAAP basis, in 2013, net income was $10 million or $0.02per diluted share compared to a net loss of $136 million or $0.51 per diluted share in 2012.  On an adjusted basis(1), net income was $340 million or $1.20 per diluted share, a record for Air Canada, compared to net income of $55 million or $0.20 per diluted share in 2012, an improvement of $285 millionor $1.00 per diluted share.

For the fourth quarter of 2013, Air Canada reported EBITDAR of $277 million (or $359 million including the impact of benefit plan amendments) compared to EBITDAR of $283 million in the fourth quarter of 2012.  Air Canada estimates that December 2013 EBITDAR was negatively impacted by $15 million as a result of severe weather conditions.  Operating income of $135 million increased $88 million from the fourth quarter of 2012.  On a GAAP basis, in the fourth quarter of 2013, Air Canada reported a net loss of $6 million or $0.02 per diluted share compared to a net loss of $60 million or $0.22 per diluted share in the fourth quarter of 2012.  In the fourth quarter of 2013, Air Canada reported adjusted net income of $3 million or $0.01 per diluted share compared to an adjusted net loss of $5 million or $0.02 per diluted share in the same quarter in 2012, an improvement of $8 million or $0.03 per diluted share.

“I am extremely pleased to report Air Canada’s best full year financial performance in the Corporation’s history,” said Calin Rovinescu, President and Chief Executive Officer. “Adjusted net income for the year was a record $340 million and represents a six-fold increase from 2012. These results underscore the significant operating leverage opportunity that we have.  We achieved this increase in adjusted net income based on total revenue growth of 2.2 per cent for the year and on a decrease in unit costs of 1.5 per cent.  Very good progress was made last year in executing on our transformation strategy and this was recognized by the investment community with a tripling of our share price in 2013. I would like to thank Air Canada’s 27,000 employees for their part in helping to achieve the significant accomplishments of 2013 and enabling us to begin the new year on a solid strategic foundation.

“Our performance in 2013, especially the last three quarters where adjusted net income improved each quarter versus the prior year, establishes a strong foundation for continued success in 2014.  We started 2014 facing challenges of extreme weather conditions at our Canadian hubs and a falling Canadian dollar.  As we forecasted weakness in the Canadian dollar as part of our annual budgeting process, although not at its current level, we had a head start looking at ways to mitigate the exposure, such as through additional cost reduction and new revenue enhancement initiatives.  We also have over $1 billionin U.S. dollar revenues, a currency hedge position and U.S. cash reserves that will absorb some of the exposure.  Additionally, historically, the price of crude oil and the Canadian dollar have shown some correlation, where decreases in the value of the Canadian dollar have been associated, to an extent, with decreases in the cost of fuel.  However, given severe weather conditions, the weaker Canadian dollar and the impact of increased capacity in certain markets, we expect our first quarter EBITDAR to be below last year’s level by $15 to $30 million. We are confident in our ability to mitigate the financial impact of these factors over the 2014 fiscal year,” concluded Mr. Rovinescu.

In 2013, Air Canada launched its new lower-cost leisure carrier, Air Canada rouge; introduced specially-configured new Boeing 777-300 ER aircraft on international routes with higher demand for economy travel; announced the first phase of its narrow-body fleet renewal plan for up to 109 Boeing MAX aircraft to further lower operating costs; transferred its entire Embraer 175 fleet to a lower cost regional operator, and continued to diversify its regional airline strategy. In addition, the airline concluded an enhanced commercial agreement with the GTAA to grow international connecting traffic at Toronto Pearson Airport on a more cost effective basis; completed a $1.4 billion refinancing of high yield notes; concluded the first offering in Canada of enhanced equipment trust certificates to finance aircraft on very favourable terms; and finalized special pension funding arrangements with the federal government.  As disclosed in Air Canada’s news release dated January 22, 2014, based on preliminary estimates, Air Canada projects its Canadian registered retirement pension plans at January 1, 2014 to be in a small surplus position, compared to a solvency deficit position of $3.7 billion at January 1, 2013. Final valuations as of January 1, 2014 will be completed in the first half of 2014.  Please see section below entitled “Caution Regarding Forward-Looking Information”.

By the summer of 2014, Air Canada is scheduled to take delivery of the first three of 37 Boeing 787 Dreamliner aircraft. This fuel efficient aircraft will improve the performance of routes currently operated with Boeing 767 aircraft and will allow the airline to pursue new international growth opportunities, such as the recently announced Toronto-Tokyo Haneda route.  The 787 Dreamliner will also premier Air Canada’s new cabin product, including the international Premium Economy cabin first introduced with its new Boeing 777-300 ER aircraft, the fifth and final one of which was delivered in February 2014.

Full Year Income Statement Highlights

In 2013, system passenger revenues amounted to $11,021 million, an increase of $284 million or 2.6 per cent over 2012, on a 2.1 per cent growth in traffic and a 0.5 per cent improvement in yield.  Passenger revenue per available seat mile (RASM) increased 0.6 per cent from 2012 mainly on the yield growth.  Air Canada reported a record passenger load factor of 82.8 per cent in 2013, a 0.1 percentage point improvement year-over-year.

In 2013, operating expenses amounted to $11,763 million, an increase of $91 million or 1 per cent from 2012.  Excluding the operating expense reductions related to benefit plan amendments recorded in the fourth quarter of 2013 and the third quarter of 2012, operating expenses increased $46 million year-over-year.

In 2013, the unfavorable impact of a weaker Canadian dollar on foreign currency denominated operating expenses (mainly U.S. dollars), when compared to 2012, increased operating expenses by $147 million. This currency impact was partially offset by a favourable currency impact on passenger revenues of $27 million and realized currency derivative gains of $55 million.

Air Canada’s adjusted cost per available seat mile (adjusted CASM(1)), which excludes fuel expense, the cost of ground packages at Air Canada Vacations and unusual items, decreased 1.5 per cent compared to 2012.  The 1.5 per cent reduction in adjusted CASM was in line with the adjusted CASM decrease of 1.5 per cent to 2.0 per cent projected in Air Canada’s news release dated November 8, 2013.

In 2013, Air Canada recorded operating income of $619 million compared to operating income of $442 million in 2012, both including operating expense reductions related to benefit plan amendments.

Fourth Quarter Income Statement Highlights

In the fourth quarter of 2013, system passenger revenues amounted to $2,560 million, an increase of $47 million or 1.9 per cent over the fourth quarter of 2012, on a 2.5 per cent growth in traffic as yield declined 0.6 per cent year-over-year.  Passenger revenue per available seat mile (RASM) decreased 1.7 per cent from the fourth quarter of 2012 on a decrease in passenger load factor and on the yield decline.  Air Canada reported a passenger load factor of 80.3 per cent in the fourth quarter of 2013, 0.9 percentage points below the fourth quarter 2012.

In the fourth quarter of 2013, operating expenses of $2,759 million decreased $33 million or 1 per cent from the fourth quarter of 2012.  Excluding the operating expense reduction related to benefit plan amendments of $82 million in the fourth quarter of 2013, operating expenses increased $49 million or 2 per cent year-over-year.

In the fourth quarter of 2013, the unfavorable impact of a weaker Canadian dollar on foreign currency denominated operating expenses (mainly U.S. dollars), when compared to the fourth quarter of 2012, increased operating expenses by $75 million. This currency impact was partially offset by a favourable currency impact on passenger revenues of $24 million and realized currency derivative gains of $13 million.

Air Canada’s adjusted cost per available seat mile (adjusted CASM), which excludes fuel expense, the cost of ground packages at Air Canada Vacations and unusual items, decreased 2.3 per cent from the fourth quarter of 2012.  The 2.3 per cent reduction in adjusted CASM was in line with the adjusted CASM decrease of 2.0 per cent to 3.0 per cent projected in Air Canada’s news release dated November 8, 2013.

In the fourth quarter of 2013, Air Canada recorded operating income of $135 million compared to operating income of $47 million in the fourth quarter of 2012.  As discussed above, in the fourth quarter of 2013, Air Canada recorded an operating expense reduction of $82 million related to benefit plan amendments.

Financial and Capital Management Highlights

At December 31, 2013, unrestricted liquidity (cash, short-term investments and undrawn lines of credit) amounted to $2,364 million or 19 per cent of annual operating revenues (December 31, 2012 – $2,018 million or 17 per cent of annual operating revenues).   Air Canada’s principal objective in managing liquidity risk is to maintain a minimum unrestricted liquidity level of $1.7 billion.

At December 31, 2013, adjusted net debt(1) amounted to $4,351 million, an increase of $214 million fromDecember 31, 2012.  The increase in adjusted net debt was largely due to the purchase of four Boeing 777 aircraft in 2013.  The airline’s adjusted net debt to EBITDAR ratio was 3.0 at December 31, 2013versus a ratio 3.1 at December 31, 2012.  Air Canada uses this ratio to manage its financial leverage risk and its objective is to maintain the ratio below 3.5.

In 2013, negative free cash flow(1) of $231 million declined $430 million from 2012.  While operating cash flows improved year-over year, which was consistent with the improvement in operating earnings, free cash flow was impacted by the addition of four Boeing 777-300 ER aircraft delivered in 2013.

For the 12 months ended December 31, 2013, return on invested capital (ROIC(1)) was 11.0 per cent versus 7.9 per cent at December 31, 2012.  Air Canada’s goal is to achieve a sustainable ROIC of 10 to 13 per cent by 2015.

U.S. dollar currency derivatives and U.S. dollar cash reserves, which, as at December 31, 2013, amounted to US$1,547 million and US$743 million, respectively, are employed to offset approximately 50 per cent of the net U.S. dollar currency exposure in 2014.  The currency derivatives enable Air Canada to purchase U.S. dollars at a weighted average price of C$1.0341.  These derivatives and U.S. dollar cash reserves will be available to mitigate certain cash flow exposure from the currency movements in 2014; however the benefit of these hedging activities is recorded as a foreign exchange gain and not within operating income.

Current Outlook

For the first quarter of 2014, Air Canada expects its system ASM capacity, as measured by available seat miles (ASMs), to increase in the range of 3.5 to 4.5 per cent when compared to the first quarter of 2013.

Air Canada expects its full year 2014 system ASM capacity to increase in the range of 7.0 to 9.0 per cent and its domestic ASM capacity to increase in the range of 3.5 to 4.5 per cent when compared to the same periods in 2013.  The domestic capacity growth will be primarily on transcontinental services.  The projected system and domestic capacity increase will be achieved at a unit cost which is significantly below historical levels. Air Canada reduced its full year 2014 projected system ASM capacity growth from the 9.0 to 11.0 per cent ASM increase previously projected in Air Canada’s November 8th, 2013 news release, primarily as a result of a reduction in projected capacity in the Pacific market.

For the first quarter of 2014, Air Canada expects adjusted CASM to decrease in the range of 1.0 to 2.0 per cent when compared to the first quarter of 2013.

For the full year 2014, Air Canada expects adjusted CASM to decrease in the range of 2.5 to 3.5 per cent from the full year 2013.  The projected weaker Canadian dollar adversely impacts the 2014 adjusted CASM outlook by 1.4 percentage points.

Air Canada’s outlook assumes Canadian GDP growth of 2.0 to 3.0 per cent for 2014.  Air Canada also expects that the Canadian dollar will trade, on average, at C$1.10 per U.S. dollar in the first quarter of 2014 and for the full year 2014 and that the price of jet fuel will average 93 cents per litre for the first quarter of 2014 and 92 cents per litre for the full year 2014.

For the full year 2014, Air Canada also expects:

  • Depreciation, amortization and impairment expense to decrease by $40 million from the full year 2013.
  • Employee benefits expense to decrease by $20 million from the full year 2013.
  • Aircraft maintenance expense to increase by $110 million ($40 million of which is expected to be due to the weaker Canadian dollar when compared to the U.S. dollar) from the full year 2013.
  • Net financing expense relating to employee benefits (in non-operating expense on Air Canada’s statement of operations) to decrease by $75 million from the full year 2013. 

The outlook provided constitutes forward-looking statements within the meaning of applicable securities laws and is based on a number of additional assumptions and subject to a number of risks.  Please see section below entitled “Caution Regarding Forward-Looking Information.”

(1)   Non-GAAP Measures

Below is a description of certain non-GAAP measures used by Air Canada to provide additional information on its financial and operating performance.  Such measures are not recognized measures for financial statement presentation under Canadian GAAP and do not have standardized meanings and may not be comparable to similar measures presented by other public companies.  Refer to Air Canada’s 2013 MD&A for reconciliation of non-GAAP financial measures.

  • Adjusted net income (loss) and adjusted net income (loss) per diluted share are used by Air Canada to assess its performance without the effects of foreign exchange, net financing expense on employee benefits, mark-to-market adjustments on derivatives and other financial instruments recorded at fair value and unusual items.
  • EBITDAR is commonly used in the airline industry and is used by Air Canada to assess earnings before interest, taxes, depreciation, amortization, impairment and aircraft rent as these costs can vary significantly among airlines due to differences in the way airlines finance their aircraft and other assets.
  • Adjusted CASM is used by Air Canada to assess the operating performance of its ongoing airline business without the effects of fuel expense, the cost of ground packages at Air Canada Vacations and unusual items, such as impairment charges and benefit plan amendments, as such expenses may distort the analysis of certain business trends and render comparative analyses to other airlines less meaningful.
  • Free cash flow is used by Air Canada as an indicator of the financial strength and performance of its business because it shows how much cash is available for such purposes as repaying debt, meeting ongoing financial obligations and reinvesting in Air Canada.
  • Adjusted net debt is a key component of the capital managed by Air Canada and provides a measure of the airline’s net indebtedness.  Adjusted net debt is calculated as the sum of total long-term debt and finance lease obligations and capitalized operating leases less cash and cash equivalents and short-term investments.
  • Return on invested capital is used by Air Canada to assess the efficiency with which it allocates its capital to generate returns. Return is based on Adjusted net income (loss) (as discussed in the section above), excluding interest expense and implicit interest on operating leases. Invested capital includes average long-term debt, average finance lease obligations, the value of capitalized operating leases (calculated by multiplying annualized aircraft rent expense by 7) and the average market capitalization of Air Canada’s outstanding shares.

Notes:

(1) In 2013, Air Canada recorded an interest charge of $95 million related to the purchase of its senior secured notes which were to become due in 2015 and 2016.
(2) Adjusted net income (loss) and adjusted net income (loss) per share – diluted are non-GAAP financial measures.  Refer to section 20 “Non-GAAP Financial Measures” of Air Canada’s 2013 MD&A for additional information.
(3) In the fourth quarter of 2013, Air Canada recorded an operating expense reduction of $82 million related to amendments to defined benefit pension plans. In the third quarter of 2012, Air Canada recorded an operating expense reduction of $127 million related to changes to the terms of the ACPA collective agreement pertaining to retirement age. Refer to section 20 “Non-GAAP Financial Measures” of Air Canada’s 2013 MD&A for additional information.
(4) EBITDAR (earnings before interest, taxes, depreciation, amortization, impairment and aircraft rent) is a non-GAAP financial measure.  Refer to section 20 “Non-GAAP Financial Measures” of Air Canada’s 2013 MD&A for additional information.
(5) Unrestricted liquidity refers to the sum of cash, cash equivalents, short-term investments and the amount of available credit under Air Canada’s revolving credit facilities. At December 31, 2013, unrestricted liquidity was comprised of cash and short-term investments of $2,208 million and undrawn lines of credit of $156 million. At December 31, 2012, unrestricted liquidity was comprised of cash and short-term investments of $1,973 million and undrawn lines of credit of $45 million. 
(6) Free cash flow (cash flows from operating activities less additions to property, equipment and intangible assets) is a non-GAAP financial measure. Refer to section 9.5 of Air Canada’s 2013 MD&A for additional information.
(7) Adjusted net debt (total debt less cash, cash equivalents and short-term investments plus capitalized operating leases) is a non-GAAP financial measure.  Refer to section 9.3 of Air Canada’s 2013 MD&A for additional information.
(8) Return on invested capital (ROIC) is a non-GAAP financial measure.  Refer to section 20 of Air Canada’s 2013 MD&A for additional information
(9) Operating statistics (except for average number of FTE employees) include third party carriers (such as Jazz Aviation LP (“Jazz”)) operating under capacity purchase agreements with Air Canada.
(10) Adjusted CASM is a non-GAAP financial measure.  Refer to section 20 “Non-GAAP Financial Measures” of Air Canada’s 2013 MD&A for additional information.
(11) Reflects FTE employees at Air Canada.  Excludes FTE employees at third party carriers (such as Jazz) operating under capacity purchase agreements with Air Canada.
(12) Includes fuel handling expenses. Economic fuel price per litre is a non-GAAP financial measure.  Refer to sections 6 and 7 of Air Canada’s 2013 MD&A for additional information.
(13) Revenue passengers are counted on a flight number basis which is consistent with the IATA definition of revenue passengers carried. 

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 777-333 ER C-FIVQ (msn 35240) prepares to land in Tokyo (Narita).

Air Canada: AG Slide Show

Air Canada rouge: AG Slide Show

 

Air Canada rouge to add more Caribbean routes this summer, fleet to grow to 17 aircraft by the end of March

Air Canada (Montreal) today announced that its leisure carrier subsidiary, Air Canada rougeTM, is expanding its choice of more Caribbean destinations this summer. Routes previously operated by Air Canada from Toronto and Montreal to Cuba, Dominican Republic, Bahamas,Barbados, Haiti, Cancun and Tampa, FL, will be converted beginning this spring to Air Canada rouge service. Together with its previously announced 2014 summer schedule to Europe, Air Canada rouge plans to operate a total of 44 routes serving 28 popular vacation destinations, including continuation of its summer routes – Athens, Edinburgh and Venice – and new service to Barcelona, Dublin, Lisbon,Manchester, Nice and Rome.

The conversion of additional Caribbean vacation destinations to Air Canada rouge service represents an increase of 22 per cent more seats on these routes to the Caribbean this summer than last. The increase is greatest from Montreal where there will be in an increase of 36 per cent more seats on these routes and 20 per cent more flights than last summer with the introduction of additional flights to Cancun, Port-au-Prince and Punta Cana.

By the end of March 2014, Air Canada rouge’s fleet will include four Boeing 767-300 ER aircraft and 13 Airbus A319 aircraft transferred from Air Canada. Air Canada’s mainline fleet renewal is ongoing with the introduction of new aircraft.  Air Canada is scheduled to take delivery in February 2014 of the last of five new Boeing 777-300 ER aircraft to enter its mainline fleet since June 2013, and the first three of 37 Boeing 787 aircraft by the summer of 2014. Air Canada is scheduled to take delivery of a total of six 787 aircraft in 2014 and the remaining 31 between 2015 and 2019.

For its 2014 summer schedule, Air Canada rouge will operate flights to the following popular vacation destinations available with optional Air Canada Vacations packages. Flights and vacation packages are now available for purchase at aircanada.com and through travel agents:

Europe: Flights from Toronto to: Athens, Barcelona, Dublin, Edinburgh, Lisbon, Manchester and Venice. Flights from Montreal to: Athens, Barcelona, Rome and Nice.

Mexico: Flights from Toronto to Cancun, and Montreal to Cancun*.

United States: Flights from Toronto and Montreal to: Orlando and Las Vegas, and from Toronto toTampa*.

Caribbean and Central America: Flights from Toronto to: Barbados*, Jamaica (Kingston, Montego Bay);Grenada; Nassau*, Bahamas; the Dominican Republic (Puerto Plata, Punta Cana, Samana); Cuba(Varadero, Cayo Coco, Holguin and Santa Clara) and Costa Rica (San Jose and Liberia).

Flights from Montreal to: Cuba (Cayo Coco*, Holguin* and Santa Clara*); Haiti (Port-au-Prince*) andDominican Republic (Punta Cana*).

New Air Canada rouge services indicated by an asterisk (*), previously operated by Air Canada’s mainline carrier, will be converted to Air Canada rouge service on a phased-in basis beginning March through May 2014 as additional aircraft are released by the mainline airline for operation by its leisure carrier.

Air Canada rouge operates a fleet consisting of Boeing 767-300 ER and Airbus A319 aircraft.

Copyright Photo: TMK Photography/AirlinersGallery.com. Airbus A319-114 C-FYJE (msn 656) taxies from the gate at the Toronto (Pearson hub).

Air Canada: AG Slide Show

Air Canada rouge: AG Slide Show

Current Route Map: Air Canada rouge 1.2014 Route Map

Air Canada rouge starts service to Sarasota/Bradenton

Air Canada rouge (Toronto-Pearson) yesterday (November 30) started Saturday and Sunday flights from Toronto (Pearson) to Sarasota/Bradenton, Florida. This will increase to daily flights from December 17 through to April 27, 2014.

Air Canada rouge offers convenient flight times as follows:

Saturday November 30 and December 7:

  • Depart Toronto 12:55 p.m. (1255) arrive Sarasota/Bradenton 3:50 p.m. (1550)
  • Depart Sarasota/Bradenton 4:45 p.m. (1645) arrive Toronto 7:40 p.m. (1940)

Sunday December 1 , 8 and 15 and Saturday December 14 :

  • Depart Toronto 2:10 p.m. (1410) arrive Sarasota/Bradenton 5:15 p.m. (1715)
  • Depart Sarasota/Bradenton 6:00 p.m. (1800) arrive Toronto 8:56 p.m. (2056)

Daily flights as of December 17 to April 27 :

  • Depart Toronto 2:10 p.m. (1410) arrive Sarasota/Bradenton 5:15 p.m. (1715)
  • Depart Sarasota/Bradenton 6:00 p.m. (1800) arrive Toronto 8:56 p.m. (2056)

Copyright Photo: TMK Photography/AirlinersGallery.com. Airbus A319-114 C-FYJH (msn 672) is pictured ta the Toronto (Pearson) base.

Air Canada rouge: AG Slide Show

AG Website Logo

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Air Canada rouge starts Orlando service today

Air Canada rouge (Toronto-Pearson) today begins year round flying between Toronto (Pearson) and Orlando, Florida with three daily departures and two more starting on December 14. By March 1, 2014 the airline will fly six times daily to/from Orlando, more than any other Canadian carrier. Customers on this route now have the option of enhanced comfort with Premium rouge service in addition to rouge and rouge Plus service on Air Canada rouge’s Airbus A319 aircraft. Premium rouge service on the A319 aircraft will also be introduced on several Air Canada rouge destinations in the US, Caribbean and Mexico to be launched in the coming months.

Air Canada rouge will also assume the Montreal-Orlando route on February 15, 2014.

Toronto-Orlando schedule:

Toronto departures to Orlando:

  • 9:30 a.m. arrive Orlando 12:20 p.m.
  • 5:10 p.m. arrive Orlando 8:00 p.m.
  • 8:40 p.m. arrive Orlando 11:30 p.m.
  • 6:30 a.m. arrive Orlando 9:23 a.m. (Dec. 14- April 30/14)
  • 11:10 a.m. arrive Orlando 14:03 p.m. (Dec. 14- April 30/14)
  • 6:50 p.m. arrive Orlando 9:43 p.m. (March 1-28/14)

Orlando departures to Toronto:

  • 7:15 a.m. arrive Toronto 10.04 a.m.
  • 1:15 p.m. arrive Toronto 4:04 p.m.
  • 8:55 p.m. arrive Toronto 11:44 p.m.
  • 6:00 a.m. arrive Toronto 8:49 a.m. (March 1-28/14)
  • 10:15 a.m. arrive Toronto 1:04 p.m. (Dec. 14- April 30/14)
  • 2:55 p.m. arrive Toronto 5:44 p.m. (Dec. 14- April 30/14)

*actual flight times may vary slightly with seasonal changes.

Air Canada rouge introduces Airbus A319 Premium rouge service

Air Canada rouge is operating newly retrofitted A319 aircraft on select routes featuring 136 seats, including the introduction of 12 Premium rouge seats in the front 3 rows of the aircraft in a separate curtained cabin. Premium rouge features a 35″ pitch with a 5″ recline, blocked middle seats for more personal space, complimentary entertainment including both free content and iPads and a premium meal and beverage service. Premium rouge customers also enjoy complimentary Maple Leaf Lounge access, priority check in, security and boarding. Premium rouge service will be offered on the following routes:

  • Toronto-Orlando starting today, November 25
  • Toronto-Sarasota, Florida, launching November 30
  • Toronto-Kingston, Jamaica, launching Jan.6
  • Toronto-San Jose, Costa Rica, launching Jan. 6
  • Toronto-Cancun, Mexico, launching Jan. 6
  • Montreal-Las Vegas, USA, launching March 1

In addition to Premium rouge, the cabin also features 6 new slimline rouge Plus seats in a 3+3 configuration directly behind the Premium rouge cabin offering more legroom; and 118 new slimline rouge seats in a 3+3 configuration. A tasty selection of meals, drinks and snacks, as well as comfort items such as pillows, blankets and headphones are available to rouge and rouge Plus customers onboard through Air Canada rouge’s Buy On Board service.

Air Canada rouge crew offer the airline’s unique warm welcome onboard.  Trained in Orlando in Customer Service Excellence, they take every measure to ensure flights that are relaxed, enjoyable and are a memorable start and end to a Florida vacation. Air Canada rouge aircraft are all equipped with player, a next generation in-flight entertainment system that streams unlimited live entertainment — including movies, TV shows, kids programming, music and an About Us section — to customers’ personal electronic devices. Air Canada rouge is one of the first airlines in North America to offer streaming onboard content. player is offered at a nominal fee of $5 for rouge and rouge Plus customers for unlimited movie and TV show access; music and destination content are always complimentary. Customers are invited to  bring their own fully-charged laptop or iPad, iPod or iPhone, or they can rent an iPad on board for $10.

Copyright Photo: TMK Photography/AirlinersGallery.com. Airbus A319-112 C-GSJB (msn 1673) departs from Toronto (Pearson).

Air Canada rouge: AG Slide Show

 

Air Canada rouge to start Toronto-Las Vegas flights on October 27

Air Canada rouge (Toronto-Pearson) on October 27 launches service between Toronto (Pearson) and Las Vegas and will launch service between Montreal and Las Vegas on March 13, 2014.

Starting this Sunday, Air Canada rouge will offer ten flights a week from Toronto to Las Vegas for the winter 2013-2014 season featuring 264-seat wide-body Boeing 767-300 ER aircraft, representing a capacity increase of 13% on the route over last winter when it was operated by Air Canada. Air Canada rouge will assume the Montreal-Las Vegas route from Air Canada effective March 13, 2014 with ten flights a week. Air Canada will continue to operate service between Vancouver and Calgary to/from Las Vegas for the winter season.

Toronto-Las Vegas winter flight schedule (effective October 27, 2013):

Air Canada rouge’s service between Toronto and Las Vegas features convenient flight times that maximize travellers’ time in Las Vegas. The daily flight departs Toronto at 9:05 a.m., arriving in Las Vegas at 10:59 a.m. and departs Las Vegas at 12:15 p.m. arriving in Toronto at 7:22 p.m. The second flight, which operates on Thursdays, Fridays and Sundays departs Toronto at 8:45 p.m., arriving in Las Vegas at 10:39 p.m. and departs Las Vegas at 11:55 p.m., arriving the next day in Toronto at 7:00 a.m.

Montreal Las Vegas winter flight schedule (effective March 13, 2014):

Air Canada rouge’s winter service between Montreal and Las Vegas also features convenient, customer-friendly flight times. The daily flight will depart Montreal at 7:40 a.m. arriving in Las Vegas at 10:28 a.m. and will depart Las Vegas at 11:15 a.m. arriving in Montreal at 7:08 p.m. The second flight, which will operate on Thursdays, Fridays and Sundays departs Montreal at 7:50 p.m., arriving Las Vegas at 10:38 p.m. and departs Las Vegas at 10:20 p.m., arriving the next day in Montreal at 7:13 a.m.

Air Canada rouge will operate the Toronto-Las Vegas route with a 264-seat wide-body Boeing 767 aircraft featuring three classes of seating: Premium rouge, rouge Plus and rouge. Premium rouge has 18 seats in a 2 + 2 + 2 configuration with a 41- 42″ pitch, a 7″ inch recline. rouge Plus has 4 rows in a 2 + 3 + 2 configuration behind Premium rouge, with a 35″ pitch, up to 5″, and rouge seating has 246 seats in a 2 + 3 + 2 configuration with a 30-32″ pitch and a 6″ recline. Premium rouge customers on Air Canada rouge North American flights now earn enhanced Aeroplan Miles, have access to priority security lines and complimentary Maple Leaf Lounge access.

Air Canada rouge crew offer the airline’s unique warm welcome onboard. Trained in customer service excellence, the rouge crew take every measure to ensure that flights are relaxed, enjoyable and are part of a memorable start and end to a Las Vegas vacation.

A tasty selection of meals, drinks and snacks, as well as comfort items such as pillows, blankets and headphones, are available onboard through Air Canada rouge’s Buy On Board service.

Air Canada rouge aircraft are all equipped with player, a next generation in-flight entertainment system that streams unlimited live entertainment — including movies, TV shows, kids programming, music and an About Us section — to customers’ personal electronic devices. Air Canada rouge is one of the first airlines in North America to offer streaming onboard content. player is offered at a nominal fee of $5 for rouge and rouge Plus customers for unlimited movie and TV show access; music and destination content are always complimentary. Customers simply need to bring their own fully-charged laptop or iPad, iPod or iPhone, or they can rent an iPad on board for $10.

Copyright Photo: Paul Doyle/AirlinersGallery.com. Air Canada rouge Boeing 767-33A ER C-GHPE (msn 33423) lands at Dublin.

Air Canada rouge: AG Slide Show

Air Canada rouge takes off on Canada Day

AIR CANADA ROUGE - Air Canada rouge's Inaugural Flights Takeoff

Air Canada rouge (Montreal), the new holiday division of Air Canada, commenced operations today. This is AC’s latest attempt to compete in the leisure market.

Air Canada rouge cabin (Air Canada)(LR)

Copyright Photos: Air Canada. Airbus A319-112 C-GJVY (msn 1742) departed from Toronto (Pearson) this morning bound for Jamaica.

Air Canada rouge: AG Slide Show

Video:

Air Canada to expand Air Canada rouge to 23 holiday destinations, will expand to 50 aircraft

Air Canada (Montreal) announced the growth of its leisure carrier subsidiary, Air Canada rouge, is on track to expand to a total of 23 holiday destinations in the Caribbean, Mexico, Florida and Las Vegas for its 2013-2014 winter season.

“We are delighted with the response to Air Canada rouge’s inaugural summer season as it prepares for take-off July 1st,” said Calin Rovinescu, President and Chief Executive Officer, inToronto for a pre-inaugural event with employees and media.  “Our plans for growing the Air Canada rouge fleet are on track to serve more holiday destination markets where we can now compete on a more cost effective basis operating our new leisure carrier, while leveraging the strength of Air Canada Vacations. Once Air Canada rouge completes its inaugural summer season to Edinburgh, Venice, Athens and a number of Caribbean destinations, its flying will expand southward for the winter to an additional 13 destinations in the Caribbean, Mexico and select U.S. holiday markets. I would like to commend Michael Friisdahl and his team at Air Canada rouge for overcoming the complexity and challenges of launching a new carrier in record time with professionalism and an impressive sense of purpose. I also congratulate the first Air Canada rouge inflight graduating class who we expect will set an excellent customer service standard for vacation travel.”

“As new Boeing 777-300 ER and 787 aircraft enter the Air Canada mainline fleet, we intend to continue spooling up Air Canada rouge to reach a total of up to 50 aircraft.  The growth of our leisure carrier, in tandem with the mainline fleet renewal and international network expansion, is a key element of Air Canada’s overall strategy for sustainable, profitable growth, both at the mainline and leisure carrier.  With a renewed, more efficient fleet combined with our award-winning product, Air Canada will be well positioned to expand its mainline global network to new, higher business-demand destinations while Air Canada rouge profitably expands Air Canada’s presence on a lower cost basis in current and future leisure markets that present new opportunities,” concluded Mr. Rovinescu.

Air Canada will take delivery of five new Boeing 777-300 ER aircraft for its mainline fleet between June 2013 and February 2014, and the first three of 37 Boeing 787 aircraft by the summer of 2014. Air Canada is scheduled to take delivery of seven 787 aircraft in 2014 and the remaining 30 between 2015 and 2019.

Air Canada rouge’s July 1 start-up fleet consisting of two Airbus A319 aircraft and two Boeing 767-300 ER aircraft will grow to ten aircraft by the end of 2013 with the addition of six Airbus A319 aircraft by December 2013, and an additional four Airbus A319 aircraft by March 2014, for a total of 14 aircraft by the end of the 2013-2014 winter season.

A number of popular holiday destinations currently served by Air Canada’s mainline carrier will be converted to Air Canada rouge service on a phased-in basis beginning October 2013 through March 2014 as additional aircraft are released by the mainline airline for operation by its leisure carrier.

Air Canada rouge will operate flights to the following popular holiday destinations for its 2013-2014 Winter Schedule. Flights are now available for purchase at aircanada.com and through travel agents:

Mexico: flights from Toronto to Cancun, Puerto Vallarta*, Cabo San Lucas* and Huatulco*, subject to government approval.

United States: flights from Toronto and Montreal to Orlando and Las Vegas, and from Toronto to Sarasota*, Florida.

Caribbean: flights from Toronto to Montego Bay, Jamaica; Grenada*; St. Kitts*; Grand Exuma, Bahamas; Curacao*, Netherlands Antilles; and La Romana*, Dominican Republic.  This is in addition to Air Canada rouge service commencing with its summer 2013 schedule on July 1 from Toronto year-round to 10 Caribbean and Central America destinations: Kingston, Jamaica; the Dominican Republic (Punta Cana, Puerto Plata and Samana), Cuba (Varadero, Cayo Coco, Holguin and Santa Clara) and Costa Rica (San Jose and Liberia).

* Seasonal services where indicated.  All other routes are year-round services.

All flights will be operated using Airbus A319 aircraft, with the exception of Toronto-Las Vegas and Toronto-Montego Bay flights that will be operated with Boeing 767-300 ER aircraft.

Air Canada rouge’s Boeing 767-300 ER aircraft feature a two-cabin configuration with three customer comfort options including rouge, rouge Plus with preferred seating with additional legroom, and, beginning in winter 2013, Premium rouge offering both additional room and enhanced service.  The airline’s Airbus A319 aircraft are configured with rouge and rouge Plus preferred seating.  All flights will offer customers streamed wireless inflight entertainment, stylish and modern cabin interiors with innovative new seats, and the ability to earn and redeem Aeroplan miles.

Copyright Photo: Greenwing/AirlinersGallery.com. Air Canada rouge’s pilots have been performing proving flights to Dublin before the official July 1 launch. Boeing 767-33A ER C-GHPE (msn 33423) taxies at DUB.

Air Canada: AG Slide Show

Air Canada rouge: AG Slide Show

Expanding Route Map:

Air Canada rouge 6:2013 Route Map

Air Canada rouge’s first newly painted Boeing 767-300 ER aircraft arrives at Mirabel airport

AIR CANADA ROUGE - Air Canada rouge's first newly painted Boeing

Air Canada rouge’s (Air Canada) first newly painted Boeing 767-300 ER aircraft touched down on Saturday morning (June 1) at Mirabel airport from Tel Aviv where it underwent an exterior transformation during a scheduled maintenance check. The plane was flown from Tel Aviv by Air Canada pilots Captain David Lywood, First Officer Kurtis Paproski and Captain John Liska (above).

After being stripped to its aluminum base, painters applied primer, two coats of white and finally used massive stencils to spray on the airline’s distinct red and burgundy branding — about 70 gallons of paint were used over nearly eight days to complete the painting. In order to maximize fuel efficiency by adding minimal weight, the least amount of paint possible is applied while achieving optimal coverage. Following a short period flying Toronto-Dublin for Air Canada in June, starting July 1 the Boeing 767-300 ER plane will fly Air Canada rouge’s three European routes between Toronto (Pearson) and Venice/Athens/Edinburgh and Montreal (Trudeau)/Athens.

The aircraft will now undergo minor interior modifications; Air Canada rouge’s aircraft will be among the first in North America equipped to offer streaming inflight entertainment to customers’ own devices (laptops, tablets, smartphones, etc).

It joins two Air Canada rouge Airbus A319 aircraft already at Mirabel airport, which will initially fly Caribbean routes and are also undergoing interior modifications to reflect the airline’s relaxed, stylish approach to leisure travel. With this delivery Air Canada rouge now has 3 of its 4 startup aircraft, with the last painted Boeing 767-300 ER arriving at Mirabel airport early next week. Air Canada rouge introduced its new inflight crew look earlier this week and also announced that its flight crews would be taking customer service excellence training at the Disney Institute in Orlando, Florida.

Copyright Photo: Air Canada. The crew of the ferry flight pose in front of Boeing 767-33A ER C-GHPE (msn 33423) at Montreal (Mirabel). C-GHPE is the first AC 767 to wear the rouge colors.

Air Canada: AG Slide Show

Air Canada rouge unveils its uniforms

Air Canada rouge group uniforms (AC rouge)(HR)

Air Canada (Montreal) has unveiled the uniforms for its new leisure airline Air Canada rouge. The airline issued this statement:

With its inaugural flight just over a month away, Air Canada rouge is taking a differentiated approach to leisure travel by focusing on customer service excellence through customized training and stylishly relaxed onboard apparel, both of which will contribute to a fresh, comfortable and vacation like environment for travellers.

Air Canada rouge flight attendants will receive customized service excellence training at the Disney Institute in Florida in addition to industry-leading safety and regulatory training from Air Canada at its Toronto and Montreal training centers. Their uniforms and overall look, unveiled today by six flight attendants-in-training, are comprised of stylishly relaxed, comfortable clothing, accessories and grooming that convey an approachable and friendly atmosphere onboard.

“Our inflight crews will embody the distinctive leisure personality that we want our customers to enjoy on Air Canada rouge,” said Michael Friisdahl, Air Canada rouge President and Chief Executive Officer. “We’re investing in the Disney Institute’s service excellence training to ensure our customers’ vacations truly start when they board our aircraft. By offering exceptional customer service, uncompromising safety, a relaxed inflight environment and a host of Air Canada and Air Canada Vacations benefits, we’re confident Air Canada rouge will soon be the leading choice for leisure travel.”

Air Canada rouge FAs (Air Canada(HR)

Flight attendant training and recruitment
Air Canada rouge’s first 150 flight attendants will complete this week Air Canada’s intensive safety training program and in mid-June will attend customer service excellence training at the Disney Institute at Disneyworld in Orlando, Florida and at Air Canada rouge’s base in Toronto.

Air Canada rouge is accepting resumes for its next round of hiring which will begin later this summer with the next inflight class starting training in mid-August. The airline plans to train and hire, on average, 25-40 onboard flight attendants for every aircraft it takes delivery of in the next three years. Under current plans, subject to commercial demands, Air Canada rouge will have 20 B 767-300ER aircraft and 30 Airbus 319 aircraft in its fleet during the next 3 to 5 years. Air Canada rouge flight attendants are based in Toronto for operational start up and bases at other Canadian cities will be added as its network expands. Recruitment information is available at http://aircanadarouge.com/en/job_desc.html

Uniform and look: comfortably stylish to convey a warm welcome
“Our goal was to create a unique, welcoming and fashion forward look with lasting appeal that would also be practical and comfortable,” said Renee Smith-Valade, Vice President, Customer Experience. “We developed our uniform and overall look with our partners in record time – about four months — with close attention to cost and making every effort to engage with Canadian designers for an end result that reflects our relaxed, fun, holiday atmosphere onboard.”

Many partners were involved in the design, delivery and ongoing production of the new uniforms. The uniform concept was developed by Montreal’s VF Imagewear incorporating Air Canada rouge’s signature colours of burgundy and slate with bright accent colors to create a fresh, simple and relaxed style in keeping with the vacation atmosphere onboard. Signature custom elements such as Fluevog shoes, designer neckwear, luggage and L’Oreal/Redken beauty and grooming make for a distinctly on-trend and fresh Air Canada rouge look.

What’s next in Air Canada rouge’s Countdown to Takeoff?
Air Canada rouge’s next Countdown to Takeoff milestone in mid-June will be a hands-on look at the onboard experience that the airline’s customers will enjoy including cabin interiors and seating, wireless streaming inflight entertainment and menu offerings.

About Air Canada rouge
Air Canada rouge is Air Canada’s new leisure airline, part of the new Air Canada Leisure Group, along with Air Canada Vacations. Air Canada rouge will operate a fleet of Boeing 767-300ER and Airbus 319 aircraft sporting an attractive new livery and interior, designed to reflect the airline’s relaxed friendly ambience. Initially flights will operate from Toronto and Montreal to vacation spots in Europe and the Caribbean. Air Canada rouge is the only leisure airline that offers a full network of connecting flights, Aeroplan Miles with every flight as well as redemption, and Air Canada Vacations package holidays or flight-only options.

All Images: Air Canada.

Air Canada: AG Slide Show

Video:

Route Map:

Air Canada rouge 5:2013 Route Map (Air Canada)HR)

Air Canada paints the first Airbus A319 for Air Canada rouge

Air Canada rouge shares first look at newly painted plane

Air Canada (Montreal) has painted and handed over its first Airbus A319 for its new low-fare division called Air Canada rouge. The company issued these photos and short statement:

Countdown to takeoff! Air Canada rouge has just taken delivery of its first Airbus 319 aircraft in its new livery at Mirabel Airport today (May 22) where it will now undergo a new interior design. Air Canada rouge will soon be leading the way in affordable, leisure travel when service starts July 1. Further details will be released on flight team training and the unveiling of new uniforms starts on May 27.

Top Copyright Photo: Air Canada. Airbus A319-112 C-GSJB (msn 1673) is the first aircraft to be painted.

Air Canada Rouge logo

Air Canada Rouge A319-100 (12)(Flt)(Air Canada)(LRW)

Air Canada: AG Slide Show

Bottom Copyright Photo: Air Canada. Air Canada rouge VP Operations Al Read was on hand to take delivery of the leisure airline’s first Airbus 319 in its new livery today at Mirabel Airport, where the aircraft will be fitted with its new interior.

Air Canada rouge shares first look at newly painted plane

Air Canada rouge to serve Ireland year-round starting on May 1, 2014

Air Canada Rouge 767-300 (12)(Flt)(Air Canada)(LRW)

Air Canada (Montreal) has announced that its current seasonal service between Toronto and Dublin, Ireland will be converted to year-round service operated by its new leisure carrier, Air Canada rouge, beginning in 2014. Air Canada will operate the route this year from May 17 through to September 30, 2013 and Air Canada rouge will commence year-round service starting May 1, 2014.

“Air Canada has been serving Ireland since its predecessor, Trans-Canada Air Lines, first flew to Shannon in 1947. Today, there is a very strong market for both leisure customers and visiting friends and relatives, so this is an ideal market for our new leisure carrier, Air Canada rouge, to operate more cost effectively on a year-round basis,” said Ben Smith, Executive Vice President and Chief Commercial Officer at Air Canada. “This is the fourth European destination announced for Air Canada rouge, which will begin flying this July to Edinburgh, Venice and Athens in addition to a number of Caribbean destinations. We intend to grow Air Canada rouge quickly from four aircraft to 32 aircraft by the end of 2014 and 42 aircraft by the end of 2015.”

Air Canada rouge‘s July 1 launch network also includes eleven destinations in the Caribbean.  Its startup fleet consists of two Airbus A319 aircraft and two Boeing 767-300ER aircraft that will grow to ten aircraft by the end of 2013, 32 aircraft by the end of 2014 and 42 aircraft by the end of 2015.

Air Canada rouge‘s Boeing 767-300ER aircraft feature a two-cabin configuration with three customer comfort options including rougerouge Plus with preferred seating with additional legroom, and, beginning in winter 2013, Premium rouge offering both additional room and enhanced service.  The airline’s Airbus A319 aircraft are configured with rouge and rouge Plus preferred seating.

Image: Air Canada.

Air Canada rouge ad

Air Canada: AG Slide Show

Air Canada introduces Air Canada rouge, its new leisure airline subsidiary

Air Canada Rouge logo

Air Canada (Montreal) today unveiled its new leisure airline. According to the carrier, the new subsidiary “marks a milestone in the transformation of Canada’s flag carrier to compete in the growing leisure travel sector.  Special introductory fares are available for sale beginning today at aircanada.com and through travel agents.  Along with details of the initial destinations it will fly to beginning in July 2013, the name of Canada’s new leisure airline – Air Canada rouge – was announced following a contest launched on Facebook inviting customers, employees and travel industry professionals for their input.”

“With the introduction today of Air Canada rouge, Air Canada enters today’s growing leisure travel market on a truly competitive basis,” said Ben Smith, Air Canada’s Executive Vice President and Chief Commercial Officer, at a news conference in Toronto to unveil the new leisure airline.  “In partnership with Air Canada Vacations, part of our new leisure group, Air Canada rouge will leverage the strengths of Air Canada’s extensive network, operational expertise and frequent flyer reward program in order to offer Canadians great value for their vacation travel.”

Michael Friisdahl, President and Chief Executive Officer of Air Canada’s Leisure Group, continued, “With leisure time at a premium, Air Canada rouge will combine affordable fares, great service and choice leisure destinations with those benefits offered by Air Canada and Air Canada Vacations that are valued most by vacation travellers. We look forward to giving them a warm welcome onboard Air Canada rouge, Canada’s affordably stylish leisure airline.”

Special introductory Air Canada rouge fares now on sale to: Venice, Edinburgh, Athens, Cuba, Dominican Republic, Jamaica and Costa Rica

For its inaugural 2013 season, Air Canada rouge will introduce new routes not currently operated by Air Canada to Venice, Italy and Edinburgh, Scotland.  In addition, Air Canada seasonal services from Toronto and Montreal to Athens, Greece will be flown by the leisure carrier.  Similarly, existing Air Canada flights operated in cooperation with Air Canada Vacations to Cuba, the Dominican Republic, Jamaica and Costa Rica will be operated by Air Canada rouge effective July 2013.

To celebrate the launch of Air Canada’s new leisure airline, special introductory fares are now available for purchase until December 25, 2012, subject to availability for travel on Air Canada rouge between July and October 26, 2013.  Examples of special introductory fares based on Toronto departures:

  • VeniceEdinburgh and Toronto/Montreal-Athens: starting as low as $949 round-trip including all taxes, fees, charges and surcharges.
  • Dominican Republic (Punta Cana, Puerto Plata and Samana) and Kingston, Jamaica: starting as low as $269 each way including all taxes, fees, charges and surcharges.
  • Costa Rica (San Jose and Liberia): starting as low as $389 each way including all taxes, fees, charges and surcharges.
  • Cuba (Varadero, Cayo Coco, Holguin and Santa Clara): starting as low as $538 round-trip including all taxes, fees, charges and surcharges

Air Canada rouge flights to all destinations to be served in the carrier’s inaugural 2013 summer schedule will depart Air Canada’s main hub at Toronto’s Pearson International Airport offering customers seamless connections with Air Canada, Air Canada Express and its Star Alliance partner flights.  Air Canada rouge will also operate non-stop flights to Athens from Montreal’s Trudeau Airport, in addition to its Toronto-Athens flights. Air Canada rouge customers benefit from attractively priced through-fares from any point within Air Canada’s extensive network on a single ticket as well as baggage checked through to final destination and Aeroplan mileage accumulation and redemption.

Air Canada Rouge 767-300 (12)(Flt)(Air Canada)(LRW)

All Images: Air Canada.

The Air Canada rouge fleet will initially be comprised of two Boeing 767-300 ER aircraft (above) to operate transatlantic flights in a two-cabin configuration offering a selection of rouge Plus™ seats with additional legroom and Premium rouge™ seats featuring additional seating comfort, space and enhanced meal and beverage service; and two Airbus A319 aircraft (below) to operate North American flights in an all-economy configuration offering a selection of rouge Plus seats with additional legroom.  These four aircraft will be released from Air Canada’s existing fleet to Air Canada rouge as the mainline carrier takes delivery of two new Boeing 777-300 ER aircraft in 2013, as announced October 1, 2012.

Air Canada Rouge A319-100 (12)(Flt)(Air Canada)(LRW)

Air Canada rouge will expand to other popular holiday destinations as Air Canada starts to take delivery of new Boeing 787 Dreamliner aircraft in 2014, thereby freeing up aircraft for deployment in the Air Canada rouge fleet. As this occurs, and subject to commercial demand, Air Canada rougemay operate up to 20 Boeing 767-300 ER aircraft and 30 Airbus A319 aircraft, for a total of 50 aircraft, to pursue opportunities in markets made viable by Air Canada rouge’s lower operating cost structure. Flights operated by Air Canada rouge are subject to receiving all required regulatory approvals.

Two hundred new jobs will be created for flight attendants and pilots at Air Canada rouge, in addition to Air Canada hiring 900 employees to meet its own planned workforce requirements as part of its 2012-2013 recruitment program announced September 20, 2012.

For more information: CLICK HERE

Air Canada: AG Slide Show

Initial Route Map:

Please click on the map to expand.

Please click on the map to expand.

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