Westjet 2014 Annual Report Download - page 87

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Notes to Consolidated Financial Statements
As at and for the years ended December 31, 2014 and 2013
(Stated in thousands of Canadian dollars, except percentage, ratio, share and per share amounts)
WestJet Annual Report 2014 │ 85
16. Commitments
(a) Purchased aircraft and spare engines
At December 31, 2014, the Corporation is committed to purchase 18 737 Next Generation aircraft for delivery between 2015 and
2017 as well as 65 737 MAX aircraft for delivery between 2017 and 2027. The Corporation is also committed to purchase 15
Q400 NextGen aircraft for delivery between 2015 and 2016 and a total of 10 spare engines for our Boeing and Bombardier
aircraft for delivery between 2015 and 2026.
The remaining estimated amounts to be paid in deposits and purchase prices for the 98 aircraft and 10 spare engines are
presented in the table below. Where applicable, US dollar commitments are translated at the period end foreign exchange rate.
Within 1 year 573,294
1 – 3 years 878,247
3 – 5 years 952,857
Over 5 years 2,318,142
4,722,540
(b) Leases and contractual commitments
The Corporation has entered into leases and other contractual commitments for aircraft, land, buildings, equipment, computer
hardware, software licenses and inflight entertainment. At December 31, 2014, the future payments under these commitments
are presented in the table below. Where applicable, US dollar commitments are translated at the period end foreign exchange
rate.
Within 1 year 287,447
1 – 3 years
431,880
3 – 5 years 233,264
Over 5 years
166,082
1,118,673
(c) Letters of guarantee
At December 31, 2014, the Corporation has a revolving letter of credit facility with a Canadian Chartered Bank totaling $30,000
(2013 – $30,000). The facility requires funds to be assigned and held in cash security for the full value of letters of guarantee
issued by the Corporation. At December 31, 2014, $9,515 (2013 – $8,322) letters of guarantee were issued under the facility by
assigning restricted cash of $9,515 (2013 – $8,322).