Air Canada 2012 Annual Report Download - page 79

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2012 Management’s Discussion and Analysis
79
Adjusted CASM is reconciled to GAAP operating expense as follows:
(Canadian dollars in millions, except where
indicated)
Fourth Quarter Full Year
2012 2011 Change 2012 2011 Change
GAAP operating expense $2,795 $2,797 $(2) $11,683 $ 11,433 $250
Remove:
Aircraft fuel (821) (808) (13) (3,561) (3,375) (186)
Cost of ground packages at Air Canada
Vacations (57) (57) – (319) (307) (12)
Benefit plan amendments – – – 124 – 124
Operating expense, excluding the
above-noted items $1,917 $1,932 $(15) $7,927 $ 7,751 $176
ASMs (millions) 15,484 15,290 1.3% 67,269 66,460 1.2%
Adjusted CASM (cents) ¢12.4 ¢12.6 (2.0%) ¢11.8 ¢ 11.7 1.0%
Adjusted Net Income (Loss) and Adjusted Net Income (Loss) Per Share – Diluted
Air Canada uses adjusted net income (loss) and adjusted net income (loss) per share – diluted to assess the performance of its
business without the effects of foreign exchange, net financing income (expense) relating to employee benefits, mark-to-
market adjustments on derivatives and other financial instruments recorded at fair value and unusual items. These measures
are not recognized measures for financial statement presentation under GAAP, do not have a standardized meaning and may
not be comparable to similar measures presented by other public companies.
(Canadian dollars in millions, except per
share values)
Fourth Quarter Full Year
2012 2011 Change $ 2012 2011 Change $
Net income (loss) for the period attributable
to shareholders $7 $(62) $69 $127 $ (255) $382
Remove:
Benefit plan amendments – – – (124) – (124)
Foreign exchange (gain) loss (9) (114) 105 (106) 54 (160)
Net financing expense (income) relating to
employee benefits 3 4 (1) 16 16 –
(Gain ) loss on financial instruments recorded
at fair value (7) 5 (12) 20 63 (43)
Loss on investment in Aveos – – – 65 – 65
Discontinued operations – Aveos – – – 55 – 55
Adjusted net income (loss) $(6) $(167) $161 $53 $ (122) $175
Weighted average number of outstanding
shares used in computing diluted income
per share (in millions) 276 277 (1) 278 278 –
Adjusted net income (loss) per share diluted $(0.02) $(0.60) $0.58 $0.19 $ (0.44) $0.63