Air Canada, Canadian government agree on pandemic bailout

In return for the aid, the carrier is offering refunds to customers who bought non-refundable fares but did not travel due to the pandemic since February 2020.

Air Canada and the Canadian government agreed on Monday on financing that will allow the airline to access as much as $5.9 billion Canadian (US$4.7 billion) to help it recover from the economic damage caused by the pandemic. Deputy Prime Minister Chrystia Freeland said the support includes $4 billion Canadian (US$3.2billion) in loans and $500 million Canadian (US$398 million) in equity that will give the Canadians a stake in Air Canada, which is the country's largest airline. As part of the financial package, Air Canada has agreed to a number of commitments related to customer refunds, service to regional communities, restrictions on the use of the funds provided, employment and capital expenditures.