Prepare common-sized income statements for Air Canada for the fiscal years 2019 and 2020.

Based on this provided information:

Consolidated Statements of Financial Position DECEMBER 31, 2020 DECEMBER 31, 2019 (Canadian dollars in millions) Note 2P Note 20 ASSETS Current Cash and cash equivalents Short-term investments Total cash, cash equivalents and short-term investments Restricted cash Accounts receivable Aircraft fuel inventory Spare parts and supplies inventory Prepaid expenses and other current assets Total current assets Investments, deposits and other assets Property and equipment Pension assets Deferred income tax Intangible assets Goodwill Total assets Note 2 Note 20 $ 3,658 3,843 7,501 106 644 41 125 254 8,671 833 12,137 2,840 25 1,134 3,273 $ 28,913 $ 2,090 3,799 5,889 157 926 102 110 332 7,516 936 12,834 2,064 134 1,002 3,273 $ 27,759 Note 5 Note 6 Note 10 Note 12 Note 7 Note 8 Note 20 Note 20 Note 9 LIABILITIES Current Accounts payable and accrued liabilities Advance ticket sales Aeroplan and other deferred revenue Current portion of long-term debt and lease liabilities Total current liabilities Long-term debt and lease liabilities Aeroplan and other deferred revenue Pension and other benefit liabilities Maintenance provisions Other long-term liabilities Deferred income tax Total liabilities Note 9 Note 20 Note 10 Note 11 $ 2,465 2,314 572 1,788 7,139 11,201 4,032 3,015 1,040 696 75 $ 27,198 $ 2,456 2,939 1,162 1,218 7,775 8,024 3,136 2,930 1,240 181 73 $ 23,359 Note 12 Note 13 SHAREHOLDERS' EQUITY Share capital Contributed surplus Accumulated other comprehensive income (loss) Retained earnings (deficit) Total shareholders' equity Total liabilities and shareholders' equity 2,150 98 (39) (494) 1,715 $ 28,913 785 83 25 3,507 4,400 $ 27,759 Consolidated Statements of Operations For the year ended December 31 2020 2019 (Canadian dollars in millions except per share figures) OPERATING REVENUES $ Note 20 Note 20 Passenger Cargo Other Total revenues 4,382 920 531 5,833 $ 17,232 717 1,182 19,131 Note 21 Note 6 Note 3 1,322 2,242 1,086 1,849 681 545 4,347 3,184 1,956 1,986 1,004 990 OPERATING EXPENSES Aircraft fuel Wages, salaries and benefits Regional airlines expense, excluding fuel Depreciation and amortization Aircraft maintenance Airport and navigation fees Sales and distribution costs Ground package costs Catering and onboard services Communications and information technology Special items Other Total operating expenses Operating income (loss) 874 627 445 397 252 250 171 372 (116) 955 9,609 (3,776) Note 4 1,671 17,481 1,650 499 Note 9 164 (515) 35 (39) 23 Note 10 Note 17 NON-OPERATING INCOME (EXPENSE) Foreign exchange gain (loss) Interest income Interest expense Interest capitalized Net financing expense relating to employee benefits Gain (loss) on financial instruments recorded at fair value Gain on sale and leaseback of assets Other Total non-operating income (expense) Income (Loss) before income taxes Income tax recovery (expense) Net income (Loss) Net income (loss) per share Basic earnings (loss) per share Diluted earnings (loss) per share (293) 132 (656) 25 (27) (242) 18 (34) (1,077) (4,853) 206 $ (4,647) Note 22 (42) 125 1,775 (299) $ 1,476 Note 12 Note 15 5.51 $ (16.47) $ (16.47) $ $ 5.44 Consolidated Statements of Comprehensive Income (Loss) For the year ended December 31 2020 2019 (Canadian dollars in millions) $ (4,647) S 1,476 Note 12 COMPREHENSIVE INCOME Net income (loss) Other comprehensive income, net of tax expense: Items that will not be reclassified to net income Remeasurements on employee benefit liabilities Remeasurements on equity investments Total comprehensive income (loss) Note 10 765 (64) $ (3,946) (22) 25 1,479 $ Consolidated Statements of Changes in Equity SHARE CAPITAL $ 798 CONTRIBUTED SURPLUS $ 75 ACCUMULATED OCI S RETAINED EARNINGS (DEFICIT) $ 2,404 1,476 (22) 25 25 1,454 13 14 (5) (Canadian dollars in millions) January 1, 2019 Net income (Loss) Remeasurements on employee benefit liabilities Remeasurements on equity investments Total comprehensive income (loss) Share-based compensation Shares issued Shares purchased and cancelled under issuer bid December 31, 2019 Net income (Loss) Remeasurements on employee benefit liabilities Remeasurements on equity investments Total comprehensive income (loss) Share-based compensation Shares issued, net (Note 13) Shares purchased and cancelled under issuer bid December 31, 2020 (27) 785 TOTAL SHAREHOLDERS' EQUITY $ 3,277 1,476 (22) 25 1,479 13 9 (378) $ 4,400 (4,647) 765 (64) (3,946) 15 1,373 (127) $ 1,715 $ S 83 S (351) $ 3,507 (4,647) 765 25 (64) (64) (3,882) 15 1,373 (8) 2,150 (119) (494) $ S 98 S (39) $ Consolidated Statements of Cash Flow 2020 2019 For the year ended December 31 (Canadian dollars in millions) Cash flows from (used for) $ (4,647) 1,476 (164) 1,849 82 OPERATING Net income (loss) Adjustments to reconcile to net cash from operations Deferred income tax Depreciation and amortization Foreign exchange (gain) loss Card agreement proceeds Aeroplan points prepayment proceeds Gain on sale and leaseback of assets Employee benefit funding less than expense Financial instruments recorded at fair value Change in maintenance provisions Changes in non-cash working capital balances Special items Other Net cash flows from (used in) operating activities Note 12 Note 6 Note 17 Note 24 Note 24 Note 22 Note 10 Note 17 227 1,986 (361) 1,212 400 210 (37) 49 (18) 260 242 (54) (236) 315 18 (2,353) 566 Note 4 (16) 5,712 FINANCING Proceeds from borrowings Reduction of long-term debt and lease liabilities Shares purchased for cancellation Issue of shares Financing fees Net cash flows from (used in) financing activities Note 9 Note 9 Note 13 Note 13 6,262 (2,719) (132) 1,369 (78) 4,702 (1,084) (373) 9 (1) (1,449) (63) (1,202) 12 485 (255) (2,025) 24 INVESTING Investments, short-term and long-term Additions to property, equipment and intangible assets Proceeds from sale of assets Proceeds from sale and leaseback of assets Acquisition of Aeroplan Investment in Chorus Other Net cash flows used in investing activities Effect of exchange rate changes on cash and cash equivalents Increase in cash and cash equivalents Cash and cash equivalents, beginning of year Cash and cash equivalents, end of year Note 22 Note 24 Note 25 35 (733) (48) 1,568 2,090 $ 3,658 (517) (97) 75 (2,795) (8) 1,460 630 $ 2,090 Consolidated Statements of Financial Position DECEMBER 31, 2020 DECEMBER 31, 2019 (Canadian dollars in millions) Note 2P Note 20 ASSETS Current Cash and cash equivalents Short-term investments Total cash, cash equivalents and short-term investments Restricted cash Accounts receivable Aircraft fuel inventory Spare parts and supplies inventory Prepaid expenses and other current assets Total current assets Investments, deposits and other assets Property and equipment Pension assets Deferred income tax Intangible assets Goodwill Total assets Note 2 Note 20 $ 3,658 3,843 7,501 106 644 41 125 254 8,671 833 12,137 2,840 25 1,134 3,273 $ 28,913 $ 2,090 3,799 5,889 157 926 102 110 332 7,516 936 12,834 2,064 134 1,002 3,273 $ 27,759 Note 5 Note 6 Note 10 Note 12 Note 7 Note 8 Note 20 Note 20 Note 9 LIABILITIES Current Accounts payable and accrued liabilities Advance ticket sales Aeroplan and other deferred revenue Current portion of long-term debt and lease liabilities Total current liabilities Long-term debt and lease liabilities Aeroplan and other deferred revenue Pension and other benefit liabilities Maintenance provisions Other long-term liabilities Deferred income tax Total liabilities Note 9 Note 20 Note 10 Note 11 $ 2,465 2,314 572 1,788 7,139 11,201 4,032 3,015 1,040 696 75 $ 27,198 $ 2,456 2,939 1,162 1,218 7,775 8,024 3,136 2,930 1,240 181 73 $ 23,359 Note 12 Note 13 SHAREHOLDERS' EQUITY Share capital Contributed surplus Accumulated other comprehensive income (loss) Retained earnings (deficit) Total shareholders' equity Total liabilities and shareholders' equity 2,150 98 (39) (494) 1,715 $ 28,913 785 83 25 3,507 4,400 $ 27,759 Consolidated Statements of Operations For the year ended December 31 2020 2019 (Canadian dollars in millions except per share figures) OPERATING REVENUES $ Note 20 Note 20 Passenger Cargo Other Total revenues 4,382 920 531 5,833 $ 17,232 717 1,182 19,131 Note 21 Note 6 Note 3 1,322 2,242 1,086 1,849 681 545 4,347 3,184 1,956 1,986 1,004 990 OPERATING EXPENSES Aircraft fuel Wages, salaries and benefits Regional airlines expense, excluding fuel Depreciation and amortization Aircraft maintenance Airport and navigation fees Sales and distribution costs Ground package costs Catering and onboard services Communications and information technology Special items Other Total operating expenses Operating income (loss) 874 627 445 397 252 250 171 372 (116) 955 9,609 (3,776) Note 4 1,671 17,481 1,650 499 Note 9 164 (515) 35 (39) 23 Note 10 Note 17 NON-OPERATING INCOME (EXPENSE) Foreign exchange gain (loss) Interest income Interest expense Interest capitalized Net financing expense relating to employee benefits Gain (loss) on financial instruments recorded at fair value Gain on sale and leaseback of assets Other Total non-operating income (expense) Income (Loss) before income taxes Income tax recovery (expense) Net income (Loss) Net income (loss) per share Basic earnings (loss) per share Diluted earnings (loss) per share (293) 132 (656) 25 (27) (242) 18 (34) (1,077) (4,853) 206 $ (4,647) Note 22 (42) 125 1,775 (299) $ 1,476 Note 12 Note 15 5.51 $ (16.47) $ (16.47) $ $ 5.44 Consolidated Statements of Comprehensive Income (Loss) For the year ended December 31 2020 2019 (Canadian dollars in millions) $ (4,647) S 1,476 Note 12 COMPREHENSIVE INCOME Net income (loss) Other comprehensive income, net of tax expense: Items that will not be reclassified to net income Remeasurements on employee benefit liabilities Remeasurements on equity investments Total comprehensive income (loss) Note 10 765 (64) $ (3,946) (22) 25 1,479 $ Consolidated Statements of Changes in Equity SHARE CAPITAL $ 798 CONTRIBUTED SURPLUS $ 75 ACCUMULATED OCI S RETAINED EARNINGS (DEFICIT) $ 2,404 1,476 (22) 25 25 1,454 13 14 (5) (Canadian dollars in millions) January 1, 2019 Net income (Loss) Remeasurements on employee benefit liabilities Remeasurements on equity investments Total comprehensive income (loss) Share-based compensation Shares issued Shares purchased and cancelled under issuer bid December 31, 2019 Net income (Loss) Remeasurements on employee benefit liabilities Remeasurements on equity investments Total comprehensive income (loss) Share-based compensation Shares issued, net (Note 13) Shares purchased and cancelled under issuer bid December 31, 2020 (27) 785 TOTAL SHAREHOLDERS' EQUITY $ 3,277 1,476 (22) 25 1,479 13 9 (378) $ 4,400 (4,647) 765 (64) (3,946) 15 1,373 (127) $ 1,715 $ S 83 S (351) $ 3,507 (4,647) 765 25 (64) (64) (3,882) 15 1,373 (8) 2,150 (119) (494) $ S 98 S (39) $ Consolidated Statements of Cash Flow 2020 2019 For the year ended December 31 (Canadian dollars in millions) Cash flows from (used for) $ (4,647) 1,476 (164) 1,849 82 OPERATING Net income (loss) Adjustments to reconcile to net cash from operations Deferred income tax Depreciation and amortization Foreign exchange (gain) loss Card agreement proceeds Aeroplan points prepayment proceeds Gain on sale and leaseback of assets Employee benefit funding less than expense Financial instruments recorded at fair value Change in maintenance provisions Changes in non-cash working capital balances Special items Other Net cash flows from (used in) operating activities Note 12 Note 6 Note 17 Note 24 Note 24 Note 22 Note 10 Note 17 227 1,986 (361) 1,212 400 210 (37) 49 (18) 260 242 (54) (236) 315 18 (2,353) 566 Note 4 (16) 5,712 FINANCING Proceeds from borrowings Reduction of long-term debt and lease liabilities Shares purchased for cancellation Issue of shares Financing fees Net cash flows from (used in) financing activities Note 9 Note 9 Note 13 Note 13 6,262 (2,719) (132) 1,369 (78) 4,702 (1,084) (373) 9 (1) (1,449) (63) (1,202) 12 485 (255) (2,025) 24 INVESTING Investments, short-term and long-term Additions to property, equipment and intangible assets Proceeds from sale of assets Proceeds from sale and leaseback of assets Acquisition of Aeroplan Investment in Chorus Other Net cash flows used in investing activities Effect of exchange rate changes on cash and cash equivalents Increase in cash and cash equivalents Cash and cash equivalents, beginning of year Cash and cash equivalents, end of year Note 22 Note 24 Note 25 35 (733) (48) 1,568 2,090 $ 3,658 (517) (97) 75 (2,795) (8) 1,460 630 $ 2,090