Canadian North and Calm Air Expand Partnership

Now offering through-fares with better connections


YELLOWKNIFE, NORTHWEST TERRITORIES--(Marketwire - April 14, 2011) -

Canadian North Airlines and Calm Air are now offering codeshare services, providing customers more choice when flying in the North.

Passengers can now book Calm Air flights on key Canadian North routes and Canadian North customers can now confirm a Canadian North ticket on Calm Air flights in the Kivalliq region and to select destinations in Manitoba, for travel commencing April 18, 2011.

The two airlines have chosen to collaborate to offer customers better connections (equating to fewer overnights), competitive through-fares, and a more streamlined booking process. By offering their flights on each other's aircraft, a customer can book their trip on one carrier from start to finish, providing for a smoother travel experience. Customers travelling on both carriers will also be able to earn Aeroplan® Miles.

"The Kivalliq is an important region for our customers who wish to visit family and friends," says Lorraine Bonner, VP of Scheduled Service at Canadian North, "as well as to the business person looking to conduct their affairs in the area. We are pleased to be partnering with Calm Air in this way as they have been serving the Kivalliq for many years now and offer good connections for all of our customers."

With the new alliance, Canadian North customers will be able to book their flights from Edmonton, Yellowknife, Iqaluit and Ottawa through Rankin Inlet to the following Calm Air destinations:

- Arviat, NU

- Baker Lake, NU

- Chesterfield Inlet, NU

- Coral Harbour, NU

- Repulse Bay, NU

- Whale Cove, NU

- Churchill, MB

- Thompson, MB

- Winnipeg, MB

"We are very excited about our new partnership with Canadian North and how it will enhance our customers' travel experience when visiting destinations outside the Kivalliq region" said Rebecca Condon, VP of Marketing & Sales at Calm Air. "We are proud of serving the region for close to 40 years and very pleased to offer this improved service to our passengers."

Calm Air customers will now benefit from the ability to book their tickets from Calm Air cities through Rankin Inlet to the following Canadian North destinations:

- Edmonton, AB

- Iqaluit, NU

- Ottawa, ON

- Yellowknife, NT

Flights on either carrier can be booked online, through their respective call centres, or through travel agents.

For more information on what a codeshare is, go to: http://www.canadiannorth.com/content/what-codeshare

To view a copy of the press release in Inuktitut, please visit the following link:

http://media3.marketwire.com/docs/CODESHARE_RELEASE_INUKTITUT.pdf

About Canadian North

Canadian North is a major provider of scheduled passenger and cargo services from Edmonton and Ottawa to points throughout the Northwest Territories and Nunavut. Extending beyond Northern Canada as well, they offer non-scheduled charter flights for industrial clients, sports teams, and large groups. Canadian North is a member of the NorTerra Group of Companies whose parent corporation, NorTerra Inc., is owned equally by Nunasi Corporation, representing the Inuit of Nunavut, and the Inuvialuit Development Corporation, representing the Inuvialuit of the Western Arctic.

About Calm Air

Calm Air serves Manitoba and the Kivalliq region of Nunavut with scheduled passenger and cargo services from bases in Baker Lake, Rankin Inlet, Churchill, Thompson and Winnipeg. Calm Air offers convenient group, conference and sports event travel services and also provides non-scheduled charter service within Canada and the United States; including passenger, cargo, combination, bulk fuel and off-strip charter capabilities. Calm Air is owned by the Exchange Income Corporation.

® Aeroplan is a registered trademark of Aeroplan Canada Inc.

Contact Information:

Canadian North Airlines
Lisa Hicks
Marketing Manager
(867) 669-4000 or (403) 503-2310
(867) 669-4040 or (403) 250-2019
lhicks@canadiannorth.com

Calm Air
Karen Yip
Nunavut Area Manager
(867) 793-2890 or (867) 793-2873
(867) 793-2188
kyip@calmair.com