Continued Strong EBITDAR Margins slide image

Continued Strong EBITDAR Margins

Key Three-Year Financial Targets - 2018-2020 2015-2018 Targets (2) 2018-2020 Targets (3) Annual EBITDAR Margin (1) 15% - 18% 17% - 20% Annual ROIC (1) 13% 16% 13% -16% Free Cash Flow (1) (Cumulative over the period) $2.0 $3.0 billion Leverage Ratio (1) (4) 2.2 by end of 2018 1.2 by end of 2020 (1) For additional information on non-GAAP financial measures, refer to the Appendix of this presentation (2) As reported at Air Canada's 2015 Investor Day on June 2, 2015 (3) The impact of accounting standard changes discussed under "Accounting Standard Changes" of this presentation are not factored into Air Canada's 2017 Investor Day projections (4) The 2020 leverage ratio target is based on a foreign exchange rate of US$1 = C$1.32 19
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