Air Canada Loss Widens On Revenue Drop

Air Canada reported a wider quarterly loss Friday as it was hit by lower passenger revenue.

The airline posted a net loss of CAD$400 million (USD$343 million), or CAD$4.00 a share, compared with a net loss of CAD$288 million, or CAD$2.88 a share, a year ago.

Excluding items, the company reported an operating loss of CAD$188 million.

On an adjusted basis excluding losses on foreign exchange, the airline reported a loss of CAD$2.99 a share.

Passenger revenue fell 13 percent to CAD$2.01 billion due largely to a decrease in traffic, it said.

The airline reduced its overall capacity by 10.3 percent during the quarter.

The company said it had identified more than CAD$250 million in cost savings which it expects to realize over the next 18 months.