Ms. Annick Guerard reports

AIR TRANSAT AND PORTER ANNOUNCE TRANSFORMATIVE JOINT VENTURE BENEFITING CANADIAN TRAVELLERS

Air Transat, air carrier subsidiary of Transat A.T. Inc., and Porter Airlines are extending their existing code-sharing agreement by creating a joint venture, transforming the current Canadian aviation competitive landscape. By combining both airlines' complementary networks, this alliance offers travellers significant benefits, including enhanced travel options across multiple regions. The alliance expands services between North, Central and South America, Europe, North Africa, Mexico and the Caribbean, integrating Porter's and Transat's highly complementary, non-overlapping networks at Toronto Pearson (YYZ) and Montreal Trudeau (YUL) airports.

This feeder network strategy is designed to facilitate the acceleration of both airlines' expansion in their respective markets: domestic and transborder short- and medium-haul for Porter, and international medium- and long-haul for Air Transat. It will also foster stronger network optimization through collaboration on scheduling and route planning. The alliance will be gradually implemented throughout 2024.

"This historic agreement constitutes a significant step forward in executing Transat's strategic plan and an important milestone in developing a more-sustainable competitive network," said Annick Guerard, president and chief executive officer of Transat. "We are delighted to further extend our collaboration with Porter, a partner that shares our customer-centric approach and values. Through this alliance, we will accelerate the expansion of our transatlantic footprint by allowing us to leverage the domestic market served by Porter, while allowing for a more-efficient use of our fleet."

"Porter is in the midst of disrupting the North American market through a significant continental expansion that will only be amplified by this alliance," said Michael Deluce, president and chief executive officer of Porter. "The flow of passengers on both carriers means that Porter will be able to develop a more-robust network by increasing flight frequency on key domestic and transborder routes, and entering into new markets with less point-to-point traffic. As we continue receiving deliveries of up to 100 new Embraer E195-E2 aircraft, our options for deploying this fleet are even greater based on this collaboration with Air Transat."

This alliance is an evolution of the current code-sharing agreement between Air Transat and Porter, which has been active since October, 2022. It demonstrates the commitment of both companies to a long-term collaboration, allowing Air Transat and Porter to align goals, strategies and resources to achieve their ambitions.

Air Transat brings its expertise in leisure travel, serving over 60 international destinations, and its 35-year presence in the Quebec and Ontario markets, while Porter contributes its 17 years of expertise in facilitating air travel within Eastern Canada and the United States with a growing coast-to-coast presence within North America.

About Air Transat

Founded in Montreal 36 years ago, Air Transat is a leading travel brand, voted world's best leisure airline by passengers at the 2023 Skytrax World Airline Awards. Its program offers access to international destinations, mainly in: Europe; the Caribbean; the east and west coasts of the United States; South America; and North Africa. Air Transat is recognized for its excellent customer service. By renewing its fleet with the most energy-efficient aircraft in their category, Air Transat is committed to a more-sustainable travel industry. Based in Montreal with major hubs in Montreal-Trudeau International Airport and Toronto Pearson International Airport, it has near 5,000 employees with a common purpose to bring people closer together.

About Porter Airlines

Since 2006, Porter Airlines has been elevating the experience of economy air travel for every passenger, providing genuine hospitality with style, care and charm. Porter's fleet of Embraer E195-E2 and De Havilland Dash 8-400 aircraft serves a North American network from Eastern Canada.