QUEBEC CITY, Feb. 13, 2019 (GLOBE NEWSWIRE) -- Canada Jetlines Ltd. (JET:TSX-V) (JETMF:OTCQB) (the “Company” or “Jetlines”) and the Québec City Jean Lesage International Airport (YQB) (the “Québec City airport”, “YQB” or the “airport”) are pleased to announce they have reached an agreement in principle. Canada Jetlines intends to provide future ultra-low fare service from the airport.
In 2017, Québec City Jean Lesage International Airport doubled its capacity by opening a brand-new international terminal. Since its privatization in 2000, the airport has tripled its traffic going from 643,000 passengers to 1.8 million in 2018. YQB remains one of the fastest growing airports in Canada, with an annual compound passenger growth rate of 7.2% per year for the last 15 years.
Québec City has long been recognized as a premium tourist destination for Canadians, Americans, and international visitors. In 2016, Québec City had over 4 million tourists and that number continues to increase annually. Jetlines is excited about its plans to come into the market and provide a low-cost alternative to locals and tourists alike.
Javier Suarez, Jetlines CEO, stated “Québec City is an exciting addition to our future route network that will provide more Canadians with diversified and low-cost alternatives to explore this beautiful country. Jetlines plans to offer domestic as well as international flights. Québec City is also home to world-class tourism infrastructure and has been an increasingly popular destination for many travelers in recent years. This partnership will allow us to tap into the market opportunity available and stimulate demand for more travel, which Jetlines will be able to leverage to grow its business.”
“We salute Canada Jetlines' willingness to serve the passengers of Québec City. This decision aligns perfectly with our development strategy to improve accessibility to Québec City, increase the region’s connections to the rest of the world, and support its economic growth, visibility and prestige”, said Gaëtan Gagné, President and CEO of YQB. “Bringing a low-cost option to Québec City was one of our top priority for the future and one of the reasons why we’ve expanded our terminal. I am delighted to see that this strategy is paying off and we welcome Jetlines with enthusiasm”, he concluded.
The Company’s ability to service this airport is subject to the completion of the airline licensing process and the receipt of applicable regulatory approvals.
About Canada Jetlines Ltd.
Canada Jetlines is set to become Canada’s first true Ultra-Low Cost Carrier (ULCC) airline, with plans to operate flights across Canada and provide non-stop service from Canada to the United States, Mexico and the Caribbean. The Company plans to commence operations with the Airbus A320 fleet, the most widely used aircraft for ultra-low cost carriers worldwide. Jetlines is led by a board and management team with extensive experience and expertise in low-cost airlines, start-ups and capital markets. The Company was granted an unprecedented exemption from the Government of Canada that will permit it to conduct domestic air services while having up to 49% foreign voting interests.
For more information on Jetlines, please visit our website at www.jetlines.ca.
ON BEHALF OF THE BOARD
"Mark J. Morabito"
Canada Jetlines is part of the King & Bay group of companies. King & Bay is a merchant bank that specializes in identifying, funding, developing and supporting growth opportunities in the resource, aviation, and technology sectors.
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Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" concerning anticipated developments and events that may occur in the future. Forward-looking information contained in this news release includes, but is not limited to, statements with respect to the routes and airports that Jetlines intends to service, Jetlines ability to operate from these airports, and operate these routes successfully, the commencement of operations and the success of expected future operations of the Company.
In certain cases, forward-looking information can be identified by the use of words such as "plans", "expects" "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or " or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Forward-looking information contained in this news release is based on certain factors and assumptions regarding, among other things the receipt of financing to commence airline operations, the accuracy, reliability and success of the Jetlines’ business model; the timely receipt of governmental approvals; the timely commencement of operations by Jetlines and the success of such operations; the legislative and regulatory environments of the jurisdictions where the Jetlines will carry on business or have operations; the impact of competition and the competitive response to the Jetlines’ business strategy; and the availability of aircraft. While the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.
Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include risks related to, the ability to obtain financing at acceptable terms and in a timely manner to meet aircraft lease, regulatory and other financial commitments required for start-up, the impact of general economic conditions, domestic and international airline industry conditions, future relations with SmartLynx, volatility of fuel prices, increases in operating costs, terrorism, pandemics, natural disasters, currency fluctuations, interest rates, risks specific to the airline industry, the ability of management to implement Jetlines’ operational strategy, the ability to attract qualified management and staff, labour disputes, regulatory risks, including risks relating to the acquisition of the necessary licenses and permits; risks related to disputes under the agreement with Boeing to acquire 737-Max aircraft, and the additional risks identified in the "Risk Factors" section of the Company's reports and filings with applicable Canadian securities regulators.
Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. The forward-looking information is made as of the date of this news release. Except as required by applicable securities laws, the Company does not undertake any obligation to publicly update or revise any forward-looking information.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) has reviewed or accepts responsibility for the adequacy or accuracy of this release.