Air Canada 2008 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 ................................................................................................................................................... 9
4. Overview ................................................................................................................................................................... 10
5. Strategy ..................................................................................................................................................................... 11
6. Results of Operations – Fourth Quarter 2008 versus Fourth Quarter 2007 ....................................... 16
7. Results of Operations – 2008 versus 2007 .................................................................................................... 25
8. Fleet .................................................................................................................................................................... 34
9. Financial and Capital Management .................................................................................................................. 36
9.1 Financial Position .................................................................................................................................. 36
9.2 Adjusted Net Debt ............................................................................................................................... 37
9.3 Liquidity ................................................................................................................................................... 38
9.4 Consolidated Cash Flow Movements ............................................................................................. 44
9.5 Contractual Obligations ..................................................................................................................... 45
9.6 Pension Funding Obligations ............................................................................................................. 46
9.7 Capital Expenditures and Related Financing Arrangements .................................................... 48
9.8 Share Information ................................................................................................................................ 49
10. Quarterly Financial Data ..................................................................................................................................... 50
11. Selected Annual Information ............................................................................................................................. 52
12. Financial Instruments and Risk Management ............................................................................................... 53
13. Off-Balance Sheet Arrangements ..................................................................................................................... 59
14. Related Party Transactions .................................................................................................................................. 60
15. Critical Accounting Estimates ............................................................................................................................ 65
16. Changes in Accounting Policies ......................................................................................................................... 69
17. Sensitivity of Results ............................................................................................................................................ 72
18. Risk Factors .............................................................................................................................................................. 73
19. Controls and Procedures ...................................................................................................................................... 82
20. Non-GAAP Financial Measures .......................................................................................................................... 83
21. Glossary .................................................................................................................................................................... 84
Management’s Report ................................................................................................................................................. 85
Independent Auditors’ Report .................................................................................................................................. 86
Consolidated Financial Statements and Notes 2008 ..................................................................................... 87
Officers and Directors ................................................................................................................................................. 150
Investor and Shareholder Information ................................................................................................................. 151
Official Languages at Air Canada ............................................................................................................................ 151
Corporate Profile ........................................................................................................................................................... 152
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