May 30, 2023
ST. JOHN’S, Newfoundland and Labrador–(BUSINESS WIRE)–PAL Airlines Ltd. (“PAL Airlines”), a subsidiary of Exchange Income Corporation (TSX: EIF) (“EIC” or the “Corporation”), has completed a Letter of Intent (LOI) with Air Canada as a preliminary step towards the finalization of a commercial agreement between the two airlines for the provision of regional air services in eastern Canada (the “agreement”).
The proposed agreement, which remains subject to final negotiations between the parties, would see PAL Airlines acquire up to six additional Dash 8-400 aircraft to be operated on behalf of Air Canada for a term of up to five years on regional routes in eastern Canada.
Routes operated by PAL Airlines, on behalf of Air Canada under the Air Canada Express brand, pursuant to the proposed agreement would be in addition to the existing PAL Airlines scheduled and charter network throughout Eastern and Atlantic Canada.
“PAL Airlines has steadily built its extensive presence in Eastern and Atlantic Canada by pursuing the strategic growth of sustainable, essential services that provide connectivity to national carrier networks,” said Calvin Ash, President of PAL Airlines.” This proposed arrangement with Air Canada is a complimentary extension of that strategy. It would support continued growth in our operation, deepen our ability to build regional connectivity, and fortify PAL Airlines’ presence in the communities who have always supported our development.”
About PAL Airlines:
A proud member of the Exchange Income Corporation family of airlines, PAL Airlines is based in St. John’s, Newfoundland and Labrador and serves an extensive network of scheduled and charter destinations across Eastern Canada and Quebec. PAL Airlines has over 40 years experience in the aviation industry with a reputation built on safety, reliability, and exceptional customer service.
For more information, please visit: www.palairlines.ca
About Exchange Income Corporation
Exchange Income Corporation is a diversified acquisition-oriented company, focused in two sectors: aerospace & aviation services and equipment, and manufacturing. The Corporation uses a disciplined acquisition strategy to identify already profitable, well-established companies that have strong management teams, generate steady cash flow, operate in niche markets and have opportunities for organic growth.