Transat A.T. Inc. announces that its shareholders have ratified the subscription rights plan which had been adopted by the Board of Directors of the Corporation on February 3, 1999.

The rights plan has been designed to give the Board of Directors of the Corporation sufficient time to fully consider any takeover bid and, if appropriate, to pursue other alternatives to maximize shareholder value.

The Corporation is not currently aware of any action to acquire its control and the rights plan was not adopted in response to any such action.

Transat A.T. Inc., leader of the Canadian travel and tourism industry, is a public corporation listed on the Montreal Stock Exchange and the Toronto Stock Exchange. Through its subsidiaries and affiliates, it is involved in all aspects of the distribution of travel services and air transportation. Its wholly-owned subsidiaries are: the airline Air Transat, tour operators Vacances Air Transat Holidays (Montréal, Québec City, Toronto, Vancouver and Fort Lauderdale), Vacances Air Transat (France), Nolitour (Montreal) and Regent Holidays (Toronto) as well as the Tourbec travel agency chain. Transat A.T. inc. holds interests in tour operators Look Voyages (98%), Brok'Air (39%) and World of Vacations (35%), and in Consultour/Club Voyages, a travel agency franchise group (50%), as well as in Services Haycot (50%), an airport handling services company. Vacances Air Transat holds a 66.7% interest in the incoming tour operator DMC Transat and Look Voyages owns 49.6% of STAR Airlines.