Westjet 2007 Annual Report Download - page 43

WESTJET ANNUAL REPORT 2007 PAGE 41
MANAGEMENT’S REPORT TO THE SHAREHOLDERS
The consolidated financial statements have been prepared by management in accordance with Canadian generally accepted accounting principles.
When a choice between accounting methods exists, management has chosen those it deems conservative and appropriate in the circumstances.
Financial statements will by necessity include certain amounts based on estimates and judgments. Management has determined such amounts on a
reasonable basis to ensure that the consolidated financial statements are presented fairly in all material respects. Financial information contained in
the annual report is consistent, where appropriate, with the information and data contained in the consolidated financial statements. All information
in the annual report is the responsibility of management.
Management has established systems of internal control, including disclosure controls and procedures which are designed to provide reasonable
assurance that financial and non-financial information that is disclosed is timely, complete, relevant and accurate. These systems of internal control
also serve to safeguard the Corporation’s assets. The systems of internal control are monitored by management, and further supported by an internal
audit department whose functions include reviewing internal controls and their application.
The Board of Directors is responsible for the overall stewardship and governance of the Corporation, including ensuring management fulfills its
responsibility for financial reporting and internal control, and reviewing and approving the consolidated financial statements. The Board carries out
this responsibility principally through its Audit Committee.
The Audit Committee of the Board of Directors, comprised of independent Directors, meets regularly with management, the internal auditors and
the external auditors to satisfy itself that each is properly discharging its responsibilities, and to review the consolidated financial statements and
management’s discussion and analysis. The Audit Committee reports its findings to the Board of Directors prior to the approval of such statements
for issuance to the shareholders. The Audit Committee also recommends, for review by the Board of Directors and approval of shareholders,
the reappointment of the external auditors. The internal and external auditors have full and free access to the Audit Committee.
The consolidated financial statements have been audited by KPMG LLP, the independent external auditors, in accordance with generally accepted
auditing standards on behalf of the shareholders. The auditors’ report outlines the scope of their examination and sets forth their opinion.
AUDITORS’ REPORT TO THE SHAREHOLDERS
We have audited the consolidated balance sheets of WestJet Airlines Ltd. as at December 31, 2007 and 2006 and the consolidated statements of
earnings, comprehensive income, shareholders’ equity and cash flows for the years then ended. These financial statements are the responsibility
of the Corporation’s management. Our responsibility is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with Canadian generally accepted auditing standards. Those standards require that we plan and perform an
audit to obtain reasonable assurance whether the financial statements are free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used
and significant estimates made by management, as well as evaluating the overall financial statement presentation.
In our opinion, these consolidated financial statements present fairly, in all material respects, the financial position of the Corporation as at
December 31, 2007 and 2006 and the results of its operations and its cash flows for the years then ended in accordance with Canadian generally
accepted accounting principles.
Chartered Accountants
Calgary, Canada
February 11, 2008
SEAN DURFY
President and
Chief Executive Officer
Calgary, Canada
February 11, 2008
VITO CULMONE
Executive Vice-President, Finance
and Chief Financial Officer