An Air Canada Rouge Airbus A319-100, registration C-GARO performing flight RV-1692 from Calgary,AB to Halifax,NS (Canada) with 132 people on board, had just levelled off at cruise FL350 when the crew initiated an emergency descent due to the loss of cabin pressure. The aircraft diverted to Saskatoon,SK (Canada) for a safe landing. The Canadian TSB reported the passenger oxygen masks were not released. The right hand engine (CFM56) bleed air pressurization regulator valve was replaced by maintenance.