Transat A.t. Inc. · TSX:TRZ
Transat A.t — Shareholder Meeting (March 2016)
74 slides from Transat A.t's shareholder meeting presentation, Mar 10, 2016
Slide 1: Annual and Special Meeting of Shareholders 2016
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016
Slide 2: Jean-Marc Eustache, President and Chief Executive Officer
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN-MARC EUSTACHE PRESIDENT AND CHIEF EXECUTIVE OFFICER
Slide 3: Annual and Special Meeting of Shareholders
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016
Slide 4: Denis Pétrin, VP Finance and Administration and CFO
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 DENIS PÉTRIN VICE-PRESIDENT, FINANCE AND ADMINISTRATION AND CHIEF FINANCIAL OFFICER
Slide 5: Bernard Bussières, VP, General Counsel and Corporate Secretary
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 BERNARD BUSSIÈRES VICE-PRESIDENT, GENERAL COUNSEL AND CORPORATE SECRETARY
Slide 6: Agenda
AGENDA 1. Appointment of Scrutineers 2. Scrutineers’ Report and Quorum 3. Election of Directors 4. Appointment of Auditors 5. Resolution: Executive Compensation 6. Shareholder Proposals 7. President’s Message 8. Financial Report 9. Results of the Vote 10. Question Period
Slide 7: Agenda: Appointment of Scrutineers
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 1. Appointment of Scrutineers 2. Scrutineers’ Report and Quorum 3. Election of Directors 4. Appointment of Auditors 5. APPOINTMENT OF Resolution: Executive Compensation 6. SCRUTINEERS Shareholder Proposals 7. President’s Message 8. Financial Report 9.
Slide 8: Scrutineers' Report and Quorum
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 SCRUTINEERS’ REPORT AND QUORUM
Slide 9: Annual and Special Meeting of Shareholders
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016
Slide 10: Election of Directors
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 ELECTION OF DIRECTORS
Slide 11: Raymond Bachand
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 RAYMOND BACHAND STRATEGIC ADVISOR NORTON ROSE FULBRIGHT
Slide 12: Louis-Marie Beaulieu
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 LOUIS-MARIE BEAULIEU CHAIRMAN OF THE BOARD AND PRESIDENT AND CHIEF EXECUTIVE OFFICER GROUPE DESGAGNÉS INC.
Slide 13: Lucie Chabot
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 LUCIE CHABOT VICE-PRESIDENT AND CHIEF FINANCIAL OFFICER SAIL OUTDOORS INC.
Slide 14: Lina De Cesare
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 LINA DE CESARE CORPORATE DIRECTOR
Slide 15: Jean Pierre Delisle
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN PIERRE DELISLE CORPORATE DIRECTOR AND EXECUTOR OF ESTATES
Slide 16: W. Brian Edwards
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 W. BRIAN EDWARDS CORPORATE DIRECTOR
Slide 17: Susan Kudzman
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 SUSAN KUDZMAN EXECUTIVE VICE-PRESIDENT CORPORATE AFFAIRS AND CHIEF RISK OFFICER LAURENTIAN BANK OF CANADA
Slide 18: Jean-Yves Leblanc
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN-YVES LEBLANC LEAD DIRECTOR CORPORATE DIRECTOR
Slide 19: Jacques Simoneau
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JACQUES SIMONEAU PRESIDENT AND CEO AND DIRECTOR GESTION UNIVALOR, S.E.C.
Slide 20: Philippe Sureau
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 PHILIPPE SUREAU CORPORATE DIRECTOR
Slide 21: Jean-Marc Eustache
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN-MARC EUSTACHE CHAIRMAN OF THE BOARD PRESIDENT AND CHIEF EXECUTIVE OFFICER TRANSAT A.T. INC.
Slide 22: Election of Directors
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN-MARC EUSTACHE CHAIRMAN OF ELECTION THE BOARD OF DIRECTORS PRESIDENT AND CHIEF EXECUTIVE OFFICER, TRANSAT A.T. INC.
Slide 23: Appointment of Auditors
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 APPOINTMENT OF AUDITORS
Slide 24: Resolution: Executive Compensation
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 RESOLUTION: EXECUTIVE COMPENSATION
Slide 25: Shareholder Proposals
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 SHAREHOLDER PROPOSALS
Slide 26: Proposal 1
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 PROPOSAL 1
Slide 27: Proposal 2
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 PROPOSAL 2
Slide 28: President's Message
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 PRESIDENT’S MESSAGE
Slide 29: Jean-Marc Eustache, President and CEO
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN-MARC EUSTACHE PRESIDENT AND CHIEF EXECUTIVE OFFICER
Slide 30: Annual Results
ANNUAL RESULTS (In millions of dollars) Adjusted Adjusted operating income net income 62.6 99.9 100.8 45.2 42.9 2014 2015 2014 2015 (9.7) (15.3)
Slide 31: Distribution, Hotels, Markets
DISTRIBUTION HOTELS MARKETS
Slide 32: Cost Reduction and Margin Improvement Initiatives
COST REDUCTION AND MARGIN IMPROVEMENT INITIATIVES $55 million 2012 2013 2014
Slide 33: Cost-Reduction and Margin-Improvement Initiatives $155M
COST-REDUCTION AND MARGIN-IMPROVEMENT INITIATIVES $155 M $155 million 25 30 45 $55 million 2012 2013 2014 2015 2016 2017
Slide 34: A310 - A330
A310 - A330 ¥ transat i ae —
Slide 35: Aircraft in Operation
AIRCRAFT IN OPERATION 2015 2015 2016 2016 A330/A310 14 21 12 23 14 5 19 7 B737 28 26 31 30
Slide 36: Transat route network
J transat DyBRIIAIN ANCHESTER FRANKFURT, —— er MADRID =>
Slide 37: Prague, Budapest
2014 PRAGUE Czech Republic 2015 BUDAPEST Hungary
Slide 38: Prague, Budapest, Zagreb
2014 PRAGUE Czech Republic 2015 BUDAPEST Hungary 2016 ZAGREB Croatia
Slide 39: Transat
Jr transat
Slide 40: Slide 40
Slide 41: % Clients Luxury, Distinction, Savvy
% clients Luxury, Distinction, Savvy 50% 36% 35% 2015 2016 2017
Slide 42: Slide 42
Slide 43: Winter (Sun) and Summer (Transatlantic) Capacity
80% 60% Winter (Sun) Summer (Transatlantic) (capacity in thousands) (capacity in thousands) 1,074 1,055 999 894 823 829 2014 2015 2016 2014 2015 2016
Slide 44: Ancillary Revenues $75M
ANCILLARY REVENUES $75 M $55 M 2014 2015 2016 2017
Slide 45: Distribution, Hotels, Markets
DISTRIBUTION HOTELS MARKETS
Slide 46: Transat Travel
Yc transat Travel
Slide 47: Transat
transat
Slide 48: Distribution, Hotels, Markets
DISTRIBUTION HOTELS MARKETS
Slide 49: Number of Rooms
Number of rooms Panorama Blue and Sand Casa del Mar Havana, Cuba Punta Cana, Dominican Republic Cayo Santa Maria, Cuba Coral & Turquesa Riviera Maya, Mexico Vista Azul Royal Maya Varadero el Patriarca Varadero, Cuba Riviera Maya, Mexico Varadero, Cuba
Slide 50: Number of Rooms
Number of rooms 5,000 G, 225 2,825 2015 2016 2017
Slide 51: Distribution, Hotels, Markets
DISTRIBUTION HOTELS MARKETS
Slide 52: International Arrivals 2000-2030
International Arrivals 2000-2030 (In millions) 1.8 1.1 billion billion 2015
Slide 53: Transat
J transat pe ee
Slide 54: Transat Vacances
J transat ao Vacances Ww ransat
Slide 55: Slide 55
Slide 56: Transat
Jr transat
Slide 57: Slide 57
Slide 58: Atmosfair
(? if ay fo m atmosfair > fh ys
Slide 59: Jean-Marc Eustache, President and CEO
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN-MARC EUSTACHE PRESIDENT AND CHIEF EXECUTIVE OFFICER
Slide 60: Denis Pétrin, VP Finance and CFO
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 DENIS PÉTRIN VICE-PRESIDENT, FINANCE AND ADMINISTRATION AND CHIEF FINANCIAL OFFICER
Slide 61: Consolidated Statements of Income
CONSOLIDATED STATEMENTS OF INCOME (In millions of dollars) 99.9 100.8 2015 2014 REVENUES 3,566.4 3,752.2 45.2 42.9 ADJUSTED OPERATING INCOME 100.8 99.9 ADJUSTED NET INCOME 42.9 45.2 NET INCOME ATTRIBUTABLE TO SHAREHOLDERS 42.6 22.9 2014 2015 ADJUSTED NET INCOME Adjusted operating income PER SHARE ($
Slide 62: 1st Quarter Results
1ST QUARTER RESULTS Variance of Canadian dollar (In millions of dollars) July 2014 – January 2016 1 Oct. – Jan. Oct. – Jan. 2016 2015 0.9 REVENUES 846.9 788.6 0.8 ADJUSTED OPERATING LOSS 40.6 35.8 USD 0.7 ADJUSTED NET LOSS 37.3 32.4 EURO NET LOSS ATTRIBUTABLE 61.2 0.6 TO SHAREHOLDERS 64.3 0.5 ADJUST
Slide 63: Outlook
OUTLOOK Second quarter Second quarter • Capacity +1% • Capacity +18% • 77% sold • 72% sold • Load factor +1,7% • Load factor -1,2% • Increase in operating • Decrease in operating expenses expenses Summer 2016 • Capacity +8% Second quarter • 30% sold • Bookings +10% • Load factor -2,2% • Selling pric
Slide 64: Consolidated Balance Sheet – As at January 31
CONSOLIDATED BALANCE SHEET – AS AT JANUARY 31 (In millions of dollars) 2016 2015 CASH 431 394 TOTAL ASSETS 1,782 1,683 INVESTMENT IN OCEAN HOTELS 107 85 BALANCE SHEET DEBT 0 0 WORKING CAPITAL RATIO 1.01 1.05
Slide 65: Normal-Course Issuer Bid
NORMAL-COURSE-ISSUER BID 2.3 million shares 16.5 million $
Slide 66: Hotels
Jr transat
Slide 67: Transat
J transat
Slide 68: Denis Pétrin, VP Finance and CFO
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 DENIS PÉTRIN VICE-PRESIDENT, FINANCE AND ADMINISTRATION AND CHIEF FINANCIAL OFFICER
Slide 69: Jean-Marc Eustache, President and CEO
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN-MARC EUSTACHE PRESIDENT AND CHIEF EXECUTIVE OFFICER
Slide 70: Results of the Vote
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 JEAN-MARC EUSTACHE RESULTS PRESIDENT AND OFOFFICER CHIEF EXECUTIVE THE VOTE
Slide 71: Question Period
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 QUESTION PERIOD
Slide 72: Adjournment of Meeting
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016 ADJOURNMENT OF MEETING
Slide 73: Annual and Special Meeting of Shareholders
ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS 2016
Slide 74: Non-IFRS financial measures definitions
Adjusted operating Operating income (loss) before depreciation and amortization expense, income (loss) restructuring charge and other significant unusual items, including premiums for fuel-related derivatives and other derivatives matured during the period. Adjusted pre-tax income Income (loss) befo