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• Dash 8 Service to 7 Qikitani Communities
• Fuel Surcharge Index updated monthly

Canadian North Launches New Service to Seven Baffin Communities

Yellowknife, NT, April 1, 2008

Canadian North is proud to announce its service to Pangnirtung, Qikiqtarjuaq, Clyde River, Pond Inlet, Igloolik, Hall Beach and Cape Dorset effective April 1, 2008. The new service uses a dedicated Dash 8-100 combined passenger/freight (Combi) prop aircraft to link these important Nunavut communities with Iqaluit, Ottawa and the Kitikmeot Region, as well as Canadian North’s extensive northern network and southern gateways.

The new Baffin schedule includes service to Pond Inlet seven days a week. Igloolik and Pangnirtung will be served six days a week. Cape Dorset five days a week, Qikiqtarjuaq five days a week, Clyde River four days a week and Hall Beach two days a week. The schedule also includes daily service to Ottawa from Iqaluit with earlier departure times. We’ve increased our frequency between Rankin Inlet and Iqaluit to five days a week.

We're proud to introduce our new Dash 8 aircraft because it allows us to offer the same great inflight service our customers are accustomed to receiving on our jet aircraft.

Customers will benefit from the flexibility of the Dash 8 Combi aircraft that will ensure the timely and consistent movement of air cargo throughout the region

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Fuel Surcharge Index Updated Monthly

Each and every month Canadian North updates the Fuel Surcharge Index to let cargo customers know as much information as possible regarding their costs. It is our goal is to add value to your daily business. We aim to do this by providing a quality product and a level of service that meets your expectation at a fair and reasonable rate.

The costs in the transportation industry continue to escalate. Some of these increased costs include insurance, airport usage, landing charges, utilities and labour. Any fuel cost changes will continue to be addressed separately through the fuel surcharge. This surcharge will now be tied to an index designed to reflect the monthly fluctuations, up or down, in the actual cost of fuel. This index is available on our website on the Fuel Surcharge/Index page.

In order to better utilize existing cargo capacity, we introduced the practice of volume pricing (dimensionalizing) in September 2005. This process, which is standard practice in the transportation industry, allows the carrier to more equitably charge for actual capacity utilized. Also, dimensionalizing will allow us to mitigate any future costs and to provide greater accuracy for cargo bookings on specific aircraft. While volume pricing does not affect most shipments, it will allow us to more fairly respond to all customers needs and requirements.

Canadian North continues to appreciate the loyalty that you have demonstrated in shipping with us. We will continue to undertake to provide the level of service to your business now and in the future that you require and to provide this at a competitive rate.

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