Air Canada 2006 Annual Report Download - page 65

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18. CONTROLS AND PROCEDURES
Disclosure Controls and Procedures
Disclosure controls and procedures within Air Canada are designed to provide reasonable assurance that all
relevant information is identified to its Disclosure Policy Committee to ensure appropriate and timely decisions
are made regarding public disclosure.
An evaluation of the effectiveness of Air Canada’s disclosure controls and procedures, as defined under the
rules of the Canadian Securities Administration (CSA) was conducted at December 31, 2006 by and under Air
Canada’s management, including the President and Chief Executive Officer and the Chief Financial Officer.
Based on this evaluation, the President and Chief Executive Officer and the Chief Financial Officer have
concluded that Air Canada’s disclosure controls and procedures are effective.
Internal Controls over Financial Reporting
Internal controls over financial reporting are designed to provide reasonable assurance regarding the reliability
of Air Canada’s financial reporting and the preparation of financial statements in compliance with Canadian
generally accepted accounting principles.
An evaluation of the design effectiveness of Air Canada's internal controls over financial reporting was
conducted at December 31, 2006 by Air Canada's management, including the President and Chief Executive
Officer and the Chief Financial Officer. Based on this evaluation, management has concluded that the design of
Air Canada's internal controls and procedures is effective except for controls related to accounting for income
taxes, where process design improvements are required. Management has commenced remedial action to add
additional qualified income tax professionals with the appropriate knowledge and experience which addresses
this design area.
There were no changes to the Corporation's internal controls over financial reporting during the year ended
December 31, 2006 that have materially affected, or are reasonably likely to materially affect, its internal
controls over financial reporting.
65
Management's Discussion and Analysis of Results and Financial Condition