FlyerTalk Forums - View Single Post - Ottawa eyes Air Canada pension moratorium extension

Nov 6, 2014 | 7:39 pm

#61

tcook052

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Air Canada may opt out of government lifeline as pension surplus grows

http://business.financialpost.com/20...surplus-grows/

In early 2013, when Air Canada’s pension was deep in the red, the airline signed an agreement with the federal government that gave it more time to cover the shortfall. In exchange, executive compensation was frozen at the rate of inflation and dividends and share buybacks were prohibited.

Mr. Rousseau said the airline will decide early next year whether it will opt out of that agreement now that its pension plan is back in the black, potentially opening the door for new treats for shareholders.

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