NEW BOOKING CLASS ALIGNMENT

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1 NEW BOOKING CLASS ALIGNMENT Effective December 3, 2013, Air Canada will further align booking classes between Tango/Flex and at a later phase will add booking classes for the Premium Economy/Executive cabins. DOCUMENT GUIDE New Booking Class Alignment: 1. Tango/Flex fare grid (current/ effective December 3) 2. Phase 1 (December 3, 2013) activities 3. Premium Economy/ Business Class fare grid (current/ effective February 18) 4. Phase 2 (February 18, 2014) activities 5. Q&A 6. Appendix

2 PHASE 1: TANGO/FLEX RE-ALIGNMENT CURRENT TANGO BOOKING CLASSES TANGO BOOKING CLASSES EFFECTIVE DECEMBER 3 CURRENT FLEX BOOKING CLASSES FLEX BOOKING CLASSES EFFECTIVE DECEMBER 3 MARKETS TANGO TANGO FLEX FLEX North America (Canada/U.S.) N, G, P, E, A, K S, T, L, A, K M, U, H, Q, V, W,S, T, L M, U, H, Q, V, W, G SUN (Caribbean/Mexico/Central America) W, S, T, L, A, K W, G, S, T, L M, U, H, Q, V M, U, H, Q, V Europe/ Israel W, S, T, L, K W, S, T, L, K M, U, H, Q, V M, U, H, Q, V Asia W, S, T, L, A, K W, G, S, T, L M, U, H, Q, V M, U, H, Q, V South Pacific N, G, P, E, A, T, L, K, W, G, S, T, L, A, K M, U, H, Q, V M, U, H, Q, V W, S South America W, S, T, L, K W, G, S, T, L, A, K M, U, H, Q, V M, U, H, Q, V PHASE 1: RE-BOOKING SCHEDULE RE-BOOKING BY SERVICE WHAT YOU SHOULD KNOW: WHAT YOU SHOULD KNOW CONTINUED: INTL Asia Starting November 11, A/K classes will be rebooked for China/HKG/ Korea departures on/after November 13. Starting November 13, A/K/P/E/N classes will be rebooked for Japan departures on/after November 15. ACV operated flights Starting November 11, S/T/L classes will be rebooked to W class for departures on/after November 13 on ACV operated flights numbers and North America Starting November 19, S/T/L classes will be rebooked to W class for departures on/after December 3. SUN Starting November 23, A/K classes will be rebooked to L class for departures on/after November 25. The new fare structure will appear in the GDS/online as follows: 1. Asia: eff. for travel Nov. 12, Sydney: eff. for travel Nov. 19, All other markets (N America, Atlantic, South America and AC Sun): effective for travel Dec.3, 2013 You are allowed to ticket against a stored fare and we strongly recommend that you store your fare prior to the PNRs being rebooked. In most cases, for Asia PNRs with a connecting North America segment, the North America segment will NOT be re-booked. When the booking tool recognizes an end-on-end ticket, it WILL rebook the North American segments that are booked in S/T or L classes. Starting the week of November 11, 2013, your clients that hold a corporate contract with Air Canada will receive a notification letter outlining all the changes. Ticketing instructions for Corporate clients will not be revised as a result of the change. Group bookings will be rebooked. OAL/codeshare segments will not be rebooked. Aeroplan /Air Canada Altitude members will accrue mileage based on the original purchased fare product. eupgrades will be processed based on the original purchased fare product.

3 PHASE 2: PREMIUM ECONOMY*/BUSINESS CLASS RE-ALIGNMENT CURRENT PREMIUM ECONOMY BOOKING CLASSES PREMIUM ECONOMY BOOKING CLASSES EFFECTIVE FEBRUARY 18/14 CURRENT BUSINESS BOOKING CLASSES BUSINESS BOOKING CLASSES EFFECTIVE FEBRUARY 18/14 MARKETS PREMIUM ECONOMY PREMIUM ECONOMY BUSINESS BUSINESS North America (Canada/U.S.) O O, E, N J, C,D, Z J, C,D, Z, P SUN (Caribbean/Mexico/Central America) Offered on select Domestic Canada routes** Offered on select Domestic Canada routes** Atlantic, Israel O O, E, N J, C,D, Z J, C,D, Z, P Asia South Pacific South America * Please note that on February 18: Routes/service may reflect some or all of the new Premium Economy/Business booking classes in your availability display. Therefore E,N and P classes may display on some services/routings but not on others Also, in some cases, where the new booking class shows in the availability display, there may be no associated fare with the booking class ** Premium Economy may be available for sale on select Domestic Canada routes due to aircraft positioning. PHASE 2: RE-BOOKING SCHEDULE RE-BOOKING Re-booking of P/E/N classes for all services will begin January 14 for departures on/after January 27, TO NOTE: P/E/N classes will be closed for sale for all services between Dec. 3 Feb. 18 *******Please refer to the appendix section for schedule of booking class and fare filing schedule.******

4 QUESTIONS AND ANSWERS 1. Air Canada recently re-aligned booking classes on September 24, why are the booking classes changing again? We are re-aligning because additional booking classes are required to sell Premium Economy. 2. Where applicable, will the rebooking activity include Air Canada rouge operated flights? Yes. 3. Will P/E/N booking classes be available for booking in Economy Class between December 3, 2013 and February 17 th 2014? No. 4. If P/E/N booking classes are closed for sale as of Dec.3, how should agencies process changes for their customers booked in one of those classes on/after that date? The ADCOL will be waived (change fee still applies) and agencies should rebook their customers into the booking class indicated as follows: North America itineraries: S class//international itineraries (excludes SYD): L class// Sydney itineraries: S class Please note: there is no impact for customers booked in P/E/N classes, travelling between December 3, 2013 and January 19, Therefore their tickets will not be rebooked. 5. Will ticketing instructions for Corporate contracts be updated to reflect the updated booking class? Ticketing instructions will not be revised. Corporate account managers will send their corporate accounts notification letters, which the corporate accounts will share with their agency of record. All updates to Fare Filing will be completed by December 3, Will agencies be allowed to ticket against a stored fare? Yes, agencies are allowed to ticket using a stored fare quote and we strongly recommend that agencies store their fares prior to their PNRs being re-booked. No VAT is required. 7. What happens if agencies have not stored the fare? If there is no stored fare, the PNR will need to be re-quoted based on the current booking class and ticketed using the new fare quote. 8. Does the booking class updates impact Flight Pass products? Flight Pass products are priced based on fare families and will continue to offer the same attributes as they did when originally purchased. 9. Are agencies required to reissue tickets? No agencies are not required to reissue tickets but must action their queues and confirm HS segments which reflect the new booking classes. 10. What happens if agencies do not action their queues and update the file/segments? Agencies are expected to action their queues as per normal schedule change procedures in order avoid having their PNRs out of sync. 11. Will PNRs where travel has commenced also be rebooked? All eligible PNRs will be rebooked including those where travel has commenced. 12. Is there any impact to customers at the airport if the ticket is not reissued? There is no impact. An SSR CKIN will be added to all PNRs (including those where travel has commenced) advising the airport agent to accept tickets as is.

5 TANGO IN THE GDS: QUESTIONS AND ANSWERS 13. How do agencies purchase seat selection for GDS Tango bookings? Agencies can purchase advance seat selection for their GDS Tango PNRs by contacting the Call Centre. 14. Are the attributes for GDS Tango fares the same as online Tango fares? Yes. 15. Do GDS Tango fares have to be ticketed instantly? GDS Tango fares must be ticketed by the specified ticket time limit indicated in the fare rules. 16. My client uses the Corporate Booking Tool Concur - can a traveller combine an outbound Tango GDS fare with an inbound ac2u Flex fare on the same ticket? With the Concur booking tool, segments must be booked via the same channel and all segments must be reserved entirely using a GDS fare or an ac2u fare. They are not combinable. 17. For clients who use a Corporate Booking Tool and get content from ac2u and the GDS, will they see a GDS Tango fare and an ac2u Tango fare? Yes, depending on the booking tool and market. For example, with Concur on domestic Canada flights, if the customer has ac2u and the GDS content activated, the customer will see a double display and 2 different fares for the same booking class on the same flight. 18. Will I earn a Cash Reward for GDS Tango bookings? No. Agencies will continue to enjoy a 7% Cash Reward for Domestic Canada itineraries made online using a Tango fare.

6 APPENDIX ADDITION OF P/E/N booking classes FILING OF P/E/N fares EFFECTIVE DATE NORTH AMERICA ATLANTIC PACIFIC Feb. 17 P/E/N will be added and appear in the GDS** and online for AC operated flights Feb. 21-Mar 16: P/E/N will be added and appear in the GDS and online for AC*OA and OA*AC flights Feb : P/E/N will be added on YVR-YYZ flights Mar. 17 Apr. 21 P/E/N will be added to remaining flights EFFECTIVE DATE NORTH AMERICA ATLANTIC PACIFIC Feb. 18 E/N fares will be filed for YVR-YYZ and YUL-YYZ Feb. 20 E/N fares will be filed for eligible ATL markets Mar. 10 P fares will be filed for eligible ATL markets P/E/N will be added and appear in the GDS** and online for AC operated flights E/N fares will be filed for Japan to Canada E/N fares will be filed for Canada - HKG

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