Evidence of meeting #44 for Transport, Infrastructure and Communities in the 40th Parliament, 3rd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was aveos.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Louise-Hélène Sénécal  Assistant General Counsel, Law Branch, Air Canada
Michel Bissonnette  Senior Director, Engines and Airframe Maintenance, Air Canada
Joseph Galimberti  Director, Government Relations, Air Canada

12:35 p.m.

Director, Government Relations, Air Canada

Joseph Galimberti

Just to be clear, we've committed to getting back to you as much as we can. Obviously, if there is confidentiality in the contract between us and Aveos, then we can't unilaterally breach that contract here today. That just fundamentally doesn't work. If it is possible for us to disclose exactly the information you've requested, then we will, in very short order.

12:35 p.m.

NDP

Dennis Bevington NDP Western Arctic, NT

If the information we're looking for is part of an act of Parliament and fundamental to your own charter, surely that's public information.

12:35 p.m.

Director, Government Relations, Air Canada

Joseph Galimberti

Well, no, you're asking.... We are here on behalf of Air Canada, and we have told you on behalf of Air Canada that we are compliant today with the act and it is our intention to remain compliant going forward.

12:40 p.m.

NDP

Dennis Bevington NDP Western Arctic, NT

No, I appreciate that--

12:40 p.m.

Director, Government Relations, Air Canada

Joseph Galimberti

As to our relationship with Aveos, which is not immediately on the table, we will confirm with Aveos as much as we can, and review those contracts, and see if it is possible to share further information. But the contracts that are contemplated between us and Aveos are commercial arrangements and not something that is structural to the company.

12:40 p.m.

NDP

Dennis Bevington NDP Western Arctic, NT

But the information we're looking for is not about the nature of your commercial agreements with Aveos, but the nature of their relationship to this act, to this act right here.

12:40 p.m.

Assistant General Counsel, Law Branch, Air Canada

12:40 p.m.

NDP

Dennis Bevington NDP Western Arctic, NT

We're not interested in your commercial relationship. We're interested in—

12:40 p.m.

Director, Government Relations, Air Canada

Joseph Galimberti

But you are.

12:40 p.m.

Conservative

The Chair Conservative Merv Tweed

I think I will have to intervene here.

12:40 p.m.

Director, Government Relations, Air Canada

Joseph Galimberti

As concisely as I can say it, Air Canada is compliant. We intend to remain compliant. You've had Transport Canada come before you to tell you what their impression of compliance is and to confirm that we're compliant.

As to the specifics of our relationship with Aveos—and you are asking a fundamental question about the contract we maintain with that company—we have told the committee that we will go back to that company and, as quickly as we can, determine whether we're capable of sharing that information. If we are, then we will share it.

12:40 p.m.

Conservative

The Chair Conservative Merv Tweed

Thank you.

Mr. Jean.

12:40 p.m.

Conservative

Brian Jean Conservative Fort McMurray—Athabasca, AB

Thank you.

First of all, I want to let you know you've answered all my questions. I appreciate you coming here today and doing that.

We've established already that Air Canada is owned by shareholders, of which 75% are Canadians. Yes?

12:40 p.m.

A voice

Yes.

12:40 p.m.

Assistant General Counsel, Law Branch, Air Canada

December 14th, 2010 / 12:40 p.m.

Director, Government Relations, Air Canada

Joseph Galimberti

At a minimum.

12:40 p.m.

Conservative

Brian Jean Conservative Fort McMurray—Athabasca, AB

Yes, at least.

Have we established an approximate worth of Air Canada? What's it worth? If you were going to give that to me tomorrow...?

12:40 p.m.

Assistant General Counsel, Law Branch, Air Canada

12:40 p.m.

Conservative

Brian Jean Conservative Fort McMurray—Athabasca, AB

Four billion dollars?

12:40 p.m.

Assistant General Counsel, Law Branch, Air Canada

Louise-Hélène Sénécal

Well, it depends. Worth can be calculated in different ways.

12:40 p.m.

Conservative

Brian Jean Conservative Fort McMurray—Athabasca, AB

I only have two minutes, so just approximately.

12:40 p.m.

Assistant General Counsel, Law Branch, Air Canada

12:40 p.m.

Conservative

Brian Jean Conservative Fort McMurray—Athabasca, AB

It's many billions. A lot of money, owned by Canadians--

12:40 p.m.

Assistant General Counsel, Law Branch, Air Canada

12:40 p.m.

Conservative

Brian Jean Conservative Fort McMurray—Athabasca, AB

My parents had some land in one of the South American countries. They nationalized, and that's pretty much exactly what the coalition is suggesting here today, with new legislation to come forward. I saw the price of my parents' land in South America drop considerably as a result of government restriction, of nationalization, right? That in essence is what is being proposed. If, as a government and as Parliament, we were going to restrict Air Canada's ability to operate in a competitive environment, what would happen to your share price? What would happen to that $5 billion or $10 billion?