Halifax, December 31, 2021 - Chorus Aviation Inc. ("Chorus") (TSX: CHR) announces that it has today redeemed $85,000,000 principal amount (the "Redeemed Debentures") of Chorus’ 6% Senior Debentures due December 31, 2024 (the "6.00% Debentures"). As a result of this redemption, $115,000,000 aggregate principal amount of 6.00% Debentures currently remain outstanding.

The Redeemed Debentures were redeemed at par (being $1,000 for each $1,000 principal amount of Redeemed Debentures), plus accrued and unpaid interest to but excluding the Redemption Date. The redemption was funded using the net proceeds of the 5.75% Senior Unsecured Debentures due June 30, 2027 (issued by Chorus on September 27, 2021), as well as Chorus' available cash resources.

The 6.00% Debentures are secured by certain Dash 8-100s and Dash 8-300s and real estate property owned by Chorus' subsidiaries (the "Collateral Security"). The Collateral Security will be released upon the earlier of (i) Fairfax Financial Holdings Limited, its subsidiaries or affiliates (collectively, "Fairfax") ceasing to own all of the issued and outstanding 6.00% Debentures and (ii) the redemption of all of the 6.00% Debentures.

In connection with the issuance of the 6.00% Debentures, Chorus issued 24,242,424.242 warrants to Fairfax entitling the holder thereof to acquire, on exercise of each warrant and subject to certain adjustments, one Class A Variable Voting Share or Class B Voting Share of Chorus at a price of $8.25 per share (the "Warrants"). The Warrants are exercisable up to and including the earlier of (i) the business day immediately preceding the maturity date of the 6.00% Debentures and (ii) the date that all of the 6.00% Debentures have been redeemed.