Air Canada turns a solid 2Q2013 performance as it works toward aggressive cost goals

After warning earlier this year that its yields would continue to be under pressure during 2Q2013, Air Canada managed to grow yields by 1.5% and record a solid financial performance for the quarter.

Overall 2013 has been much calmer for the carrier as volatile labour negotiations during 2012 led to work slowdowns that weakened its results for the first half of that year. The closure of its main maintenance provider Aveos also took its toll on Air Canada's finances during 1H2012 when its losses widened from CAD241 million to CAD306 million year-on-year.

After recording a loss during 1Q2013 and a 1% decline in yields, Air Canada gained some traction in 2Q2013, posting an adjusted profit CAD115 million and shrinking 1H2013 losses year-on-year from CAD169 million (USD162 million) to CAD29 million (USD28 million).