Share information

Pursuant to the Canada Transportation Act, Air Transat A.T. Inc., a wholly owned subsidiary of Transat A.T. Inc., must at all times be in a position to establish that it is “Canadian” within the meaning of this act in order to hold the licences necessary to operate an air carrier service.

Because Transat A.T. Inc. wholly owns Air Transat A.T. Inc., qualifies as “Canadian.” Currently, we must ensure that no more than 25% of voting interests attaching to our shares are owned or controlled by non-Canadians.

Class A variable voting shares can be owned or controlled only by people who are not Canadian.

If the number of Class A variable voting shares issued and outstanding exceeds 25% of all shares issued and outstanding, or if the total number of votes cast by, or on behalf of, holders of Class A variable voting shares at any meeting exceeds 25%, the vote attached to each Class A variable voting share will decrease automatically without further act or formality.

Each Class A variable voting share issued and outstanding shall be automatically converted into one Class B voting share without any further intervention on the part of Transat A.T. Inc. or the holder, if i) the variable voting share is or becomes owned or controlled by a Canadian, or ii) the provisions contained in the Canada Transportation Act relating to foreign ownership restrictions are repealed and not replaced with other similar provisions.

Class B voting shares can be owned or controlled only by Canadians.

Each Class B voting share issued and outstanding shall be converted automatically into a Class A variable voting share without any further intervention on the part of Transat or the holder if such voting share is, or becomes, owned or controlled by a person other than a Canadian.

On March 11, 2009, Transat's Board of Directors has suspended until further notice the quarterly dividend to holders of Class B Voting Shares and Class A Variable Voting Shares, so as to conserve cash during this period of uncertain and challenging economic circumstances.

Eligible dividends

Pursuant to the Income Tax Act of Canada, all dividends paid by Transat A.T. Inc. to Canadian residents in 2006 are designated as eligible dividends. In addition, dividends paid by Transat A.T. Inc. to Quebec residents in 2006 are designated as eligible dividends, excluding those paid out prior to March 24, 2006, which are not designated as eligible dividends for Quebec taxation purposes.

Unless otherwise indicated, all dividends paid by Transat A.T. Inc. to Canadian residents in 2007 and subsequent years will be designated as eligible dividends in accordance with the Income Tax Act of Canada and for Quebec taxation purposes.

The following list details the common share dividends declared by the Transat A.T. Inc. Board of Directors.

Class A share dividends are paid in U.S. currency; the amount is equivalent to Class B share dividends in Canadian currency.

Transat A.T. Inc. common shares were split on the following date:

Following is a list of the most recent initiatives as part of Transat A.T. Inc.'s normal-course issuer bid.

The following list details the most recent of Transat A.T. Inc.'s substantial issuer bids.