Air Canada & PAL Airlines to grow service in Eastern Canada

Air Canada and PAL Airlines intend on expanding the commercial agreement under which PAL operates regional flights for Air Canada Express – a move that will help protect and grow service in Eastern Canada.

The existing agreement is to be extended by an additional four years to 2032, and the number of PAL aircraft covered by the deal is expected to grow by five, to eleven.

“Air Canada is committed to regional connectivity. Our proposed agreement with PAL Airlines will enable us to protect existing services from Montréal to destinations in Québec and New Brunswick and support the overall growth of our regional network,” said Mark Galardo, executive vice president and chief commercial officer, and president of Cargo at Air Canada, in a press release.

“Since PAL Airlines began operating for Air Canada Express in 2023, it has proven to be a strong partner, offering our customers in eastern Canada reliability, excellent customer service and a greater choice of flying options.”

Calvin Ash, president of PAL, added that the proposed extended arrangement with Air Canada “reflects their confidence in our operation, supports the continued growth of our airline, and will solidify our presence in the regions which have supported our development.”

Air Canada and PAL have signed a letter of intent, which remains subject to final negotiations, to expand the existing arrangement between PAL and Air Canada and extend it until 2032.

It would increase the agreement’s covered fleet by five additional Dash 8-400 aircraft to be operated on behalf of Air Canada on regional routes in Eastern Canada and Quebec.

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