Mr. Joe Racanelli reports

AIMIA REACHES SETTLEMENT WITH THE CANADA REVENUE AGENCY

Aimia Inc. has successfully resolved its tax dispute with the Canada Revenue Agency (CRA) and anticipates a refund of approximately $27-million, pending final processing of the settlement agreement. The tax dispute relates to a 2013 income tax audit of Aimia's former subsidiary, Aeroplan Inc.

Aimia expects to use the proceeds from the CRA refund to support its 2025/2026 normal course issuer bid and for general working capital purposes.

Aimia completed the sale of Aeroplan to Air Canada in January, 2019. Under the terms of the purchase agreement, Aimia agreed to indemnify Air Canada for preclosing income tax liabilities and put $100-million from the sale proceeds into an escrow account for such purposes. In 2019, Aimia remitted $32.9-million from the escrow account to the CRA and the provincial tax agency, Revenu Quebec, upon receipt of a notice reassessment for the 2013 tax audit. In July, 2020, the balance of the escrow account, $67.1-million, was released to Aimia.

With its tax dispute with the CRA now resolved, Aimia will seek recourse from Revenu Quebec for the remaining $6-million portion of the 2013 tax audit. Aimia anticipates that a similar resolution is likely.

About Aimia Inc.

Aimia is a diversified company focused on enhancing the value of its two core global businesses: Bozzetto, a sustainable specialty chemicals company; and Cortland International, a rope and netting solutions company. Headquartered in Toronto, Aimia's priorities include reducing its holding company costs, reducing the discount of its share price to the intrinsic value of its net assets and efficiently utilizing its loss carry-forwards to create shareholder value.

We seek Safe Harbor.