Despite earlier representations to us, the Monitor to the reorganization of Air Canada and Jazz made its final distribution of shares in late June 2005 rather than March 2005 as was first expected last Fall. As a result, we received the shares in question only in July 2005. We have since been engaged in the process of delivering them to the buyer in order to receive payment for them. We are still awaiting payment for the shares. Also, we have to wait for the Monitor to pay us interests on the money that we had overpaid to it. Upon reception of both these payments, will we be able to calculate exactly the amounts of money owed and make the payments thereafter . We do not expect to be able to make the distribution before October 2005, if not later.

Meanwhile, we are still negotiating with Canada Revenu Agency and Revenu Quebec to save you money on income taxes on the amounts paid from the sale of the shares. There are many parties involved and the negotiations are very slow however, we are working hard to ensure that your rights are respected.

Stéphane Lacoste
General Counsel
Teamsters Canada