MONTREAL, April 22, 2013 /CNW Telbec/ – Air Canada today provided preliminary results for the first quarter of 2013:
- Adjusted net loss of approximately $143 million versus an adjusted net loss of $162 million in the first quarter of 2012
- Net loss of approximately $260 million versus a net loss of $274 million in the first quarter of 2012
- Operating loss of approximately $106 million versus an operating loss of $91 million in the first quarter of 2012
- EBITDAR (earnings before interest, taxes, depreciation, amortization and impairment, and aircraft rent) of approximately $145 million versus $174 million in the first quarter of 2012
Air Canada is issuing this news release pursuant to its obligations under applicable Canadian securities laws to enable it to disclose this information in meetings as it explores a range of debt financing opportunities. Air Canada does not intend to continue to provide preliminary results or to provide guidance for future periods in respect of RASM, EBITDAR, operating income, net income, adjusted net income and adjusted net debt.
In the first quarter of 2013, Air Canada’s financial results were negatively impacted by an estimated $10 million due to flight cancellations caused by severe weather conditions and operational challenges at the airline’s major Canadian airport hubs, as well as aircraft deicing service delays at Toronto Pearson International Airport. ? A higher proportion of leisure passengers versus business passengers, in part due to a shift of the Easter holiday, and an unfavourable foreign currency impact on passenger revenues also contributed to the lower operating results year-over-year.? In addition, Air Canada expects to record an impairment charge of $24 million related to Airbus A340-300 aircraft (none of which are operated by Air Canada) which is reflected in Air Canada’s preliminary operating loss and net loss results.
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