Transat A.T. Inc. Completes its Previously Announced $51,105,000 Public Offering of Convertible Debentures


Transat A.T. Inc. announces that it has completed the closing of a previously announced agreement to sell $51,105,000 principal amount of 9.00% Convertible Unsecured Subordinated Debentures due March 1, 2007 to a syndicate of underwriters led by CIBC World Markets Inc.

Each debenture will be convertible into common shares at the option of the holder at any time before maturity at a conversion price of $8.75. On or after March 1, 2005, the Debentures will be redeemable by Transat A.T. Inc. subject to the fulfillment of certain conditions.The net proceeds to Transat A.T. Inc. will be used for general corporate purposes and for debt reduction.

About Transat A.T. Inc.
Transat A.T. Inc., with its head office in Montreal, is an integrated company specializing in the organization, marketing, and distribution of holiday travel. The core of its business consists of tour operators in Canada and France. Transat is also involved in air transportation, hotel management, and value-added services offered at travel destinations, as well as in distribution through both travel agency networks and e-commerce initiatives. Transat A.T. Inc. is a public corporation listed on the Toronto Stock Exchange (TSE:TRZ).