Air Canada reports December traffic; record load factors for December and full year 2008
MONTREAL, Jan. 7 /CNW Telbec/ - For the month of December, Air Canada
today reported a record load factor of 81.7 per cent on a consolidated basis
with Jazz, versus 78.8 per cent in December 2007, an increase of 2.9
percentage points. System traffic decreased 6.6 per cent on a capacity
reduction of 9.9 per cent system wide.
For the full year 2008, load factor was 81.4 per cent on a consolidated
basis with Jazz, a record for the fifth consecutive year, versus 80.6 percent
in 2007, an increase of 0.8 percentage points.
Air Canada mainline reported a load factor of 82.7 per cent in December
2008 compared to 79.3 per cent in December 2007; an increase of 3.4 percentage
points. The mainline carrier flew 6.2 per cent fewer revenue passenger miles
(RPMs) in December 2008 than in December 2007 on a capacity decrease of 10.0
per cent.
Jazz, from which Air Canada purchases regional capacity, reported a load
factor of 72.1 per cent, a decrease of 1.4 percentage points from 73.5 per
cent in December 2007. Capacity decreased by 9.1 per cent from December 2007
and the carrier flew 10.8 per cent fewer RPMs than in the previous December.
"With an 81.4 per cent load factor for the full year, Air Canada and Jazz
reported a fifth consecutive year of record load factors in 2008 and once
again this December we surpassed previous years' records for the month," said
Montie Brewer, President and Chief Executive Officer. "These traffic results
reflect effective capacity management that, combined with the decline in fuel
prices, positions Air Canada well to manage through these challenging economic
times. In addition, in December we concluded financing arrangements that could
provide funding of more than half a billion dollars. These agreements
represent significant steps forward in the implementation of our strategy to
improve short term and longer term liquidity during the current economic
downturn."
Financing Agreements Concluded in December 2008
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As previously announced, during the month of December Air Canada
concluded financing arrangements providing funding of up to C$503 million. The
financing arrangements consist of: a secured revolving credit facility of up
to C$100 million with the Canadian Imperial Bank of Commerce (CIBC) with draw
downs being subject to certain conditions; a series of agreements for secured
financings with General Electric Capital Corporation (GECC) and its affiliates
providing up to US$195 million (approximately C$238) upon fulfillment of
certain conditions and completion of certain documents; a secured financing
transaction with Calyon New York Branch and Norddeutsche Landesbank
Girozentrale for a US$78 million (approximately C$95 million) loan maturing in
December 2013; and an agreement with Aeroplan under which it accelerated
approximately C$70 million in payments to Air Canada to December 31, 2008 as
well as provided commercial terms that are beneficial to both parties.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
This disclosure may include forward-looking statements within the meaning
of applicable securities laws. Forward-looking statements are based on
assumptions, are subject to important risks and uncertainties and cannot be
relied upon due to, amongst other things, changing external factors and
general uncertainties of the business. Results indicated in forward-looking
statements may differ materially from actual results due to a number of
factors, including without limitation, energy prices, general industry,
market, credit and economic conditions, currency exchange and interest rates,
competition, war, terrorist acts, epidemic diseases, insurance issues and
costs, changes in demand due to the seasonal nature of the business, the
ability to reduce operating costs, employee and labour relations, pension
issues, supply issues, changes in laws, regulatory developments or
proceedings, pending and future litigation and actions by third parties, as
well as the factors (including assumptions) identified in Air Canada's public
disclosure file and accessible through SEDAR at www.sedar.com. Any
forward-looking statements contained in this disclosure represent Air Canada's
expectations as of the date of this disclosure and are subject to change after
such date. Air Canada disclaims any intention or obligation to update or
revise any forward-looking statements whether as a result of new information,
future events or otherwise, except as required under applicable securities
regulations.AIR CANADA
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AIR CANADA MAINLINE
(Includes Jetz & Tier 3)
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DECEMBER YEAR-TO-DATE
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2008 2007 Change 2008 2007 Change
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Traffic
(RPMs millions) 3,432 3,660 -6.2% 46,416 46,365 +0.1%
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Capacity
(ASMs millions) 4,152 4,614 -10.0% 56,418 57,076 -1.2%
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Load Factor 82.7% 79.3% +3.4 pts 82.3% 81.2% +1.1 pts
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RPMs 1,015 995 +2.0% 13,257 13,077 +1.4%
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Canada ASMs 1,231 1,230 +0.1% 16,314 16,054 +1.6%
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Load
Factor 82.5% 80.9% +1.6 pts 81.3% 81.5% -0.2 pts
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RPMs 550 649 -15.3% 6,827 7,561 -9.7%
U.S. ----------------------------------------------------------------
Trans- ASMs 687 873 -21.3% 8,616 9,652 -10.7%
border ----------------------------------------------------------------
Load
Factor 80.1% 74.3% +5.8 pts 79.2% 78.3% +0.9 pts
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RPMs 825 899 -8.2% 12,430 12,477 -0.4%
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Atlantic ASMs 963 1,079 -10.8% 14,642 15,013 -2.5%
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Load
Factor 85.7% 83.3% +2.4 pts 84.9% 83.1% +1.8 pts
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RPMs 530 630 -15.9% 8,509 8,688 -2.1%
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Pacific ASMs 609 806 -24.4% 10,076 10,543 -4.4%
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Load
Factor 87.0% 78.2% +8.8 pts 84.4% 82.4% +2.0 pts
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RPMs 512 487 +5.1% 5,393 4,562 +18.2%
Latin ----------------------------------------------------------------
America ASMs 662 626 +5.8% 6,770 5,814 +16.4%
& Other ----------------------------------------------------------------
Load
Factor 77.3% 77.8% -0.5 pts 79.7% 78.5% +1.2 pts
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AIR CANADA JAZZ
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AIR CANADA'S REGIONAL CAPACITY PROVIDER
(JAZZ)
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DECEMBER YEAR-TO-DATE
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2008 2007 Change 2008 2007 Change
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Traffic
(RPMs millions) 297 333 -10.8% 4,096 4,265 -4.0%
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Capacity
(ASMs millions) 412 453 -9.1% 5,644 5,739 -1.7%
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Load Factor 72.1% 73.5% -1.4 pts 72.6% 74.3% -1.7pts
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RPMs 202 254 -20.5% 2,954 3,208 -7.9%
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Canada ASMs 270 335 -19.4% 3,885 4,184 -7.1%
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Load
Factor 74.8% 75.8% -1.0 pts 76.0% 76.7% -0.7 pts
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RPMs 95 79 +20.3% 1,142 1,057 +8.0%
U.S. ----------------------------------------------------------------
Trans- ASMs 142 118 +20.3% 1,759 1,555 +13.1%
border ----------------------------------------------------------------
Load
Factor 66.9% 66.9% 0.0 pts 64.9% 68.0% -3.1 pts
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AIR CANADA
&
AIR CANADA JAZZ
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COMBINED
(AIR CANADA MAINLINE AND JAZZ)
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DECEMBER YEAR-TO-DATE
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2008 2007 Change 2008 2007 Change
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Traffic
(RPMs millions) 3,279 3,993 -6.6% 50,512 50,630 -0.2%
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Capacity
(ASMs millions) 4,564 5,067 -9.9% 62,062 62,815 -1.2%
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Load Factor 81.7% 78.8% +2.9 pts 81.4% 80.6% +0.8 pts
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RPMs 1,217 1,249 -2.6% 16,211 16,285 -0.5%
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Canada ASMs 1,501 1,565 -4.1% 20,199 20,238 -0.2%
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Load
Factor 81.1% 79.8% +1.3 pts 80.3% 80.5% -0.2 pts
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RPMs 645 728 -11.4% 7,969 8,618 -7.5%
U.S. ----------------------------------------------------------------
Trans- ASMs 829 991 -16.3% 10,375 11,207 -7.4%
border ----------------------------------------------------------------
Load
Factor 77.8% 73.5% +4.3 pts 76.8% 76.9% -0.1 pts
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RPMs 1,867 2,016 -7.4% 26,332 25,727 +2.4%
Interna- ----------------------------------------------------------------
tional ASMs 2,234 2,511 -11.0% 31,488 31,370 +0.4%
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Load
Factor 83.6% 80.3% +3.3 pts 83.6% 82.0% +1.6 pts
-------------------------------------------------------------------------%SEDAR: 00001324EF
For further information:
For further information: Isabelle Arthur (Montréal), (514) 422-5788; Peter Fitzpatrick (Toronto), (416) 263-5576; Angela Mah (Vancouver), (604) 270-5741; Internet: aircanada.com