Zoom Airlines

Zoom Airlines

August 03, 2006 10:57 ET

New Era for Zoom as Bank of Scotland Takes Stake in Low-Cost Airline

OTTAWA, ONTARIO--(CCNMatthews - Aug. 3, 2006) - Zoom Airlines, which operates low-cost scheduled flights between Canada and the UK, today announced that Bank of Scotland Growth Equity has acquired a minority stake in the airline as part of a $12 million investment package.

As a result of the investment, Zoom - which is owned by travel entrepreneur Hugh Boyle - plans to expand its operations to other worldwide destinations.

Holidays Bank of Scotland Growth Equity's investment will provide additional funds for the start up of a UK-based airline for the Ottawa-based carrier, as well as assisting with a rolling fuel hedging package.

Zoom Chairman, Hugh Boyle, said: "For such a prestigious organisation as Bank of Scotland to take an equity stake in our airline is a tremendous vote of confidence in the success of Zoom which, for the past three years, has pioneered the low fares concept on a transatlantic basis between eight Canadian destinations and six European airports.

The investment by the Bank of Scotland will assist in setting up Zoom UK which will enable us to expand our operations from the UK to non Canadian destinations. This is a red letter day for the airline which bodes well for our future prospects".

David Wilson, Director of Bank of Scotland Growth Equity, who negotiated the deal said: "We view Zoom as a successful and innovative carrier with a considerable reputation for quality as well as value for money. It is an exceptional growth opportunity and we are delighted to have made an investment in the company and to assist in its long term profitable expansion".

Hugh Boyle made his mark in the travel business with his brother John by starting Direct Holidays in the UK which they built up before selling to Airtours eight years ago in a multi-million pound deal. Hugh is now Chairman and Principal Shareholder of Ottawa-based Zoom Airlines and Go Travel Direct.

About Zoom Airlines:

- Zoom has carried 750,000 passengers between the UK and Canada over
the last three years. Zoom offers low-cost full service scheduled
flights from $199 one-way plus taxes all-year-round.

- Flights are available from Toronto, Vancouver, Montreal, Calgary,
Ottawa, Halifax, Edmonton and Winnipeg to London Gatwick, Glasgow,
Cardiff, Manchester, Belfast and Paris.

- Zoom fares are one-way enabling passengers to fly to one
destination and return from another.

- Zoom uses wide-bodied Boeing 767-300 aircraft with a seat pitch of
31 inches offering more legroom than a number of other
transatlantic carriers.

- Generous 20kg baggage allowance on all flights with no additional
charge for ski or sporting equipment.

- Premium seats can be booked from an additional $150 one-way
offering additional legroom and check-in, luggage and in-flight
meal and drinks benefits.

- Advanced seat selection in economy is an option from $15 and extra
legroom in economy is available from $60.

- Zoom flights can be booked at www.flyzoom.com or by calling 1-866-
FLY-ZOOM (359-9666)

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