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For immediate distribution - Tuesday, July 25, 2006

VIA offers travellers
new monthly commuter pass (Revised)

MONTREAL - VIA Rail Canada today announced it is offering a new monthly commuter pass to its frequent travellers. The move to a monthly pass was made in response to proposed new tax amendments announced by the government earlier this year. Under the proposed new tax measure, commuter travellers purchasing monthly passes could be entitled to a federal non-refundable income tax credit of 15.25% on the value of their passes.

"This is encouraging news for VIA's frequent travellers," said Steve Del Bosco, VIA's Chief Customer Officer. "Our aim is to make the experience of travelling with VIA simple and cost-effective. This new monthly pass allows transit users to reduce their travel costs and to do their part to protect the environment by using an environment-friendly travel mode and from which they will benefit."

In addition to the existing commuter passes which offers 10 round-trips, travellers can now purchase a monthly commuter pass valid for up to 31 round trips during a calendar month. VIA customers wishing to take advantage of the proposed federal tax credit should keep the receipt from their monthly commuter pass.

"This decision was made following the federal government's recent budget announcement on this proposed tax measure that would allow transit users to claim a tax credit for public transit use on their income tax returns," said Alan Switzer, Manager, Pricing at VIA. "We felt it was important for VIA to respond to our customers needs by offering a product to passengers who use our services to commute to work daily."

The new monthly commuter pass is on sale starting today at VIA stations or on VIA's web site (viarail.ca).

The proposed tax credit measure will not apply to holders of current 20 one-way trip commuter passes, although these passes will continue to be available.

For more information on the proposed tax measure, please visit the Canada Revenue Agency web site, at www.cra-arc.gc.ca.

As Canada's national passenger rail service, VIA Rail Canada's mandate is to provide efficient, environmentally responsible and cost effective passenger transportation services, both in Canada's business corridor and in remote and rural regions of the country. Serving more than 450 communities with a network of inter-city, transcontinental and regional trains, demand for rail services continues to grow as more Canadians turn to train travel as a safe and convenient travel choice. For more information, or to reserve a ticket, go to viarail.ca or call toll-free 1-888-VIA-RAIL (1-888 842-7245) or 1 800-268-9503 (hearing impaired).

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