Air Canada to launch, give details of discount airline at event Tuesday

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TORONTO — Air Canada plans to launch its new low-cost airline Tuesday in Toronto.

The company gave few details but promised more information would be released at the event.

Air Canada (TSX:AC.B) executives will be on hand and the company will also host a vacation giveaway in Toronto's downtown Yonge-Dundas Square.

The unnamed discount carrier will focus on leisure destinations in the United States and Caribbean and some routes in Europe.

It will begin operations with two Boeing 767-300ER and two Airbus A319 aircraft that will be released from Air Canada's mainline fleet.

Additional planes will be added as Air Canada starts to take delivery of new Boeing 787 Dreamliner aircraft in 2014, ramping up to 50 planes.

Air Canada is Canada's largest domestic and international airline and the 15th largest airline in the world, serving more than 33 million passengers last year.

Organizations: Air Canada, TSX

Geographic location: TORONTO, Yonge-Dundas Square, United States Caribbean Europe Canada

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