Air Canada expects $120m charge on Aveos shutdown

Air Canada is expecting to take a $120-million charge in its first quarter caused mainly by the closure of Aveos Fleet Performance in March. The charge includes “a non-cash loss on investments of $65-million resulting from the 2010 restructuring of Aveos” and “a liability and corresponding loss from discontinued operations of $55-million related to Air Canada’s commitment under an employee separation program”, said the airline. Nevertheless, Air Canada said its first-quarter EBITDAR will range from $170-million to $180-million, surpassing analysts’ estimates.