From here.

"In order to achieve the right economics with the older fleet of Dash 8-100 and Dash 8-300 aircraft, the business will consist of two operating units. The first unit, which is Jazz, will transition to a mix of larger, newer aircraft comprised of Q400, CRJ 200 and CRJ705 aircraft. The creation of a second airline will address the requirement for improved economics of the older Dash 8-100/300 fleet. This unit will be similar to Air Canada's rouge as it will have its own work force."

As well, new Q400s have been ordered and a rebuilding of the -300 fleet has been ordered.