Cauadtau
INTERNATIONAL ASSOCIATION GF MATHIN‘STS ANO AEROSPACE

mEaO Drerice 7F7S8G RIVER ROAD. RITHMONO. BT VEX 1X7

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RESTRUCTURING OF CANADIAN AIRLINES,

Canadian Airlines has undertaken a restructuring, including employee
investment of $200 million.

Resiructuring by creditors and lenders to convert $700 million in debt to
equity.

This is the most promising large-scale joint venture in Canadian History.

Creditors to approve restructuring plan by August 1993.
Shareholders to approve restructuring plan by August !993,

N.T.A. (UNANIMOUS) RULING (May 27, 1993)

C.A.1./A.M.R. transaction is NOT against public interest.
Control of C.A.1. will remain in Canada.
Gemini will NOT fail as a result of C.A.1./A.M.R. transaction.

COMPETITION TRIBUNAL FINDINGS

That Gemini will NOT fail if C.A.I. is allowed to transfer its hosting to
Sabre.

The best resolution of Gemini is to allow C.A.I. to transfer but the
Tribunal lacked junsdiction.

That Gemini predicted a healthy financial future through 1995.

That two strong CRS (Computer Reservation Systems) businesses could
exist in the Canadian Market.

ADVANTAGES CAYAMR TRANSACTION.

$246 million infusion.

Saving of $30 million per year after payment of services fees to A.M.R.
Increased international revenue estimated at $40 million (based on 135
additional U.S. passengers per day).

CAI/AMR has complimentary route structuring resulting in minimal
competition for passengers.

YVR terminal expansion includes “Intransit Facility” allowing U.S.
originating passengers to access international departures without clearing
Canada Customs.

£4

WORKERS