Air Canada and Sky Regional Airlines said today they have concluded a 10-year extension to their existing capacity purchase agreement (CPA), effective April 1, 2017.

"This 10-year extension to the existing capacity purchase agreement with Sky Regional Airlines underscores our confidence in our Air Canada Express partner to provide a seamless operation and customer experience on behalf of Air Canada in a number of our key domestic and transborder regional markets on a cost competitive basis," said Kevin Howlett, Senior Vice President, Regional Markets and Government Relations at Air Canada. "With its fleet comprised exclusively of Embraer 175 jet aircraft that has grown to 25 in recent years, Sky Regional strengthens Air Canada's competitive position in the rapidly evolving North American regional markets as low cost operators continue to grow, both in Canada and the United States."

"We are very pleased that Air Canada has recognized our commitment to the passenger experience, and are looking forward to continued success as Air Canada offers more regional options for Canadians," said Russell Payson, Chairman, Sky Regional Airlines.

In addition to Sky Regional, Air Canada has capacity purchase agreements with its other regional airline partners, Jazz, Air Georgian and EVAS, that operate regional Air Canada Express flights on behalf of Air Canada.