Transat A.T. Inc. Specifies its Non-Canadian Ownership Level

Montréal, Qc, Canada - le 3 décembre 2004

Transat A.T. Inc., which owns 100% of air carrier Air Transat A.T. Inc., advises that, as of the close of market on Wednesday, December 2, 2004, based on the statements filed representing approximately 99.99% of its outstanding common shares, the non-Canadian ownership level of Transat common shares was approximately 24.96%.

Transat implemented special share transfer and issuance procedures for non-Canadians. The purpose of these procedures is to closely monitor non-Canadian ownership of its voting shares and ensure continuous compliance with the non-Canadian ownership limit of 25% of the outstanding voting shares prescribed to air carriers by the Canada Transportation Act.

Transat intends to issue press releases promptly following any incremental increase or decrease of non-Canadian ownership of 1% or more of its outstanding common shares for so long as non-Canadian ownership is in the aggregate in excess of 20% of outstanding common shares.

Transat reminds that non-Canadians wishing to acquire Transat common shares will have to apply for authorization to Transat’s transfer agent, Computershare Trust Company of Canada (Computershare). In addition, non-Canadian holders of 9% Convertible Unsecured Subordinate Debentures due in 2007 or warrants to purchase common shares expiring in 2007 will also have to apply to Computershare for issuance of the underlying shares. The applications will be processed when Transat is satisfied that such transfers and issuance would not result in violating the non-Canadian ownership limit. Such procedures do not apply to transfers and issuances of common shares to Canadian investors.

The non-Canadian authorization application form may be obtained by calling Computershare at 1-800-982-9723 between 8:00 a.m. and 5:00 p.m. (Eastern time) Monday to Friday, excluding statutory holidays. The non-Canadian authorization application form must be deposited with Computershare at the following e-mail address:

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, value-added services at travel destinations, as well as in distribution through travel agency networks. Transat is listed on the Toronto Stock Exchange (TSX:TRZ)