Mr. Percy Gyara reports

CANADA JETLINES (NEO:CJET) ANNOUNCES CLOSING OF ADDITIONAL PROCEEDS OF $13.5 MILLION EQUITY FINANCING

Canada Jetlines Operations Ltd. has closed on an additional $2.66-million in proceeds from its non-brokered private placement with a single arm's-length investor to raise a total of $13,500,001. The offering consists of common shares issued at 17.21252 cents per share. The investor is Jetstream Aviation Inc., which is a Canadian corporation.

The closing of the additional proceeds of the offering resulted in the investor purchasing 15,453,868 shares, for an aggregate purchase price of $2.66-million. As a result of the closing of the additional proceeds of the offering, the investor now holds 35,051,885 shares, equal to approximately 30.69 per cent of the issued and outstanding shares of the company. The shares issued in the second tranche of the offering are subject to a hold period that expires on April 29, 2024.

As a result of the closing of the additional proceeds of the offering, Jetstream has become a "control person," as defined by the Neo Exchange Inc. listing manual. In accordance with the manual, the company obtained the approval of its shareholders at a special meeting on Nov. 14, 2023, for Jetstream to become a "control person."

The third and final tranche is scheduled to close in January, 2024. The third tranche will see the investor purchase an additional 43,379,402 shares. Upon completion of all three tranches of the offering, the investor will hold 78,431,287 shares of the company, representing approximately 50 per cent of the current issued and outstanding shares of the company.

As part of the transaction, the investor has the right to nominate two directors to the board of directors of the company.

The company intends to use the net proceeds of the offering for aircraft acquisition, and for general corporate and working capital purposes. No brokerage commissions or finders' fees are payable in connection with the offering.

Jetstream is a private corporation focused on investments in the aviation space.

Jetstream is acquiring the securities in the offering described herein for investment purposes. Depending on market conditions and other factors, Jetstream may, from time to time, acquire and/or dispose of securities of the company or continue to hold its current position.

A copy of the early warning report required to be filed with the applicable securities commission in connection with the transaction will be available on SEDAR+ and can be obtained by contacting Gurdev Singh at 416-888-1906.

About Canada Jetlines Operations Ltd.

Canada Jetlines is a Canadian leisure airline committed to providing an exciting travel experience to its passengers. With a growing network of destinations, Canada Jetlines is dedicated to connecting Canadians with some of the world's most captivating and sought-after locations.

We seek Safe Harbor.