Air Canada to issue refunds for cancelled flights after deal for $5.9B in federal aid

Details are still to come but Air Canada will issue ticket refunds after reaching a deal for $5.9 billion in federal aid.

As part of that package, Air Canada has agreed to refund passengers whose flights were cancelled due to the COVID-19 pandemic.

Some $1.4 billion of the government loans is earmarked to help reimburse the thousands of customers who paid for tickets but remained in the lurch at the end of 2020.

The company also agreed to cap executive compensation at $1 million and restore service to regional airports.

The company posted a $1.16-billion loss in the fourth quarter of last year.