Aimia completes sale of Aeroplan loyalty program to Air Canada, repays debt

Air Canada has completed its purchase of the Aeroplan loyalty program from Aimia Inc., assuring customers their miles will be honoured on a "one-to-one basis" when the airline's new rewards program launches in 2020. "Air Canada is creating an industry-leading loyalty program that aims to provide unmatched flexibility, choice and convenience for customers when it debuts in 2020," CE Calin Rovinescu said Thursday. The deal marks a reunion for Aeroplan and Air Canada, which spun off the points program in 2005 under a restructuring. It will also mean better access to customer data for Air Canada -- Aeroplan has about five million members -- and positions the Montreal-based airline to compete against the PC Optimum loyalty program run by Loblaw Companies, which boasts about 16m members. Aimia used the majority of its gross proceeds from the sale, which totalled roughly $497m after adjustments related to working capital, to repay debt. Aimia said about half of its 1,500 employees will move to Air Canada as a result of the transaction.<br/>