Air Canada 2009 Annual Report Download - page 3

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3
1. Highlights ................................................................................................................................................................. 2
Message from the President and CEO of Air Canada .................................................................................... 4
Management’s Discussion and Analysis of Results and Financial Condition ...................................... 7
2. Introduction ............................................................................................................................................................. 7
3. About Air Canada ................................................................................................................................................... 8
4. Strategy .................................................................................................................................................................... 9
5. Overview ................................................................................................................................................................... 12
6. Signifi cant Events in 2009 .................................................................................................................................. 13
7. Results of Operations – Fourth Quarter of 2009 versus Fourth Quarter of 2008 ............................ 15
8. Results of Operations – Full Year of 2009 versus Full Year of 2008 ........................................................ 23
9. Fleet ............................................................................................................................................................................ 34
10. Financial and Capital Management .................................................................................................................. 36
10.1 Financial Position .................................................................................................................................. 36
10.2 Adjusted Net Debt ............................................................................................................................... 37
10.3 Liquidity ................................................................................................................................................... 38
10.4 Capital Expenditures and Related Financing Arrangements .................................................... 40
10.5 Contractual Obligations ..................................................................................................................... 41
10.6 Pension Funding Obligations ............................................................................................................ 42
10.7 Share Information ................................................................................................................................ 44
11. Quarterly Financial Data ..................................................................................................................................... 45
12. Selected Annual Information .............................................................................................................................. 46
13. Financial Instruments and Risk Management ............................................................................................... 47
14. Off-Balance Sheet Arrangements ..................................................................................................................... 53
15. Related Party Transactions .................................................................................................................................. 54
16. Critical Accounting Estimates ............................................................................................................................ 59
17. Accounting Policies ............................................................................................................................................... 64
17.1 Changes in Accounting Policies ........................................................................................................ 64
17.2 Future Accounting Standard Changes ............................................................................................ 65
18. Sensitivity of Results ............................................................................................................................................ 71
19. Risk Factors .............................................................................................................................................................. 72
20. Controls and Procedures ...................................................................................................................................... 81
21. Non-GAAP Financial Measures .......................................................................................................................... 82
22. Glossary .................................................................................................................................................................... 83
Management’s Report ................................................................................................................................................. 84
Auditors’ Report ............................................................................................................................................................ 85
Consolidated Financial Statements and Notes 2009 ..................................................................................... 86
Offi cers and Directors ................................................................................................................................................. 144
Investor and Shareholder Information ................................................................................................................. 145
Offi cial Languages at Air Canada ............................................................................................................................ 145
Corporate Profi le ........................................................................................................................................................... 14
TABLE OF CONTENTS
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