Why it matters
Affects 2 airline programs (Air Canada, Air Canada Rouge).
What happened
Air Canada is transferring its entire fleet of Boeing 737 MAX 8s to its low-cost subsidiary, Air Canada Rouge, throughout 2026. This move accelerates the original timeline from 2028. The 737 MAXs will undergo reconfiguration for Rouge service: the cabin will shift from 16 business/153 economy (mainline) to 12 business/165 economy (Rouge), eliminating one row of business class to add two rows of economy. Despite the density increase, Rouge passengers will gain seatback televisions and fast, free Wi-Fi for Aeroplan members, amenities currently missing from the A320-family fleet. Concurrently, Air Canada is retiring ex-Rouge A319s and converting ex-Rouge A320s and A321s to mainline service, where they will receive the airline's latest cabin standard. The mainline narrow-body fleet will thus consist of A220-300s, refreshed A320s, and A321s, with A321XLRs on order for long-haul and transborder routes. The first reconfigured Rouge 737 is already operating out of Vancouver
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