Good Morning Yobbo:
Thank you for your comments and I am glad to see Clunkdriver gave you his perspective on business. As Clunkdriver was a small business owner he would be most aware of the late Margaret Thatcher's axiom "a shopkeeper makes sure that pennies going in are greater then pennies going out".
That being said Air Canada contributes over 14 Billion into the Canadian economy and employees close to 30,000 Canadians (a very rough rule of thumb one job supports 3 people to nine people depending on either service industry to heavy industry).
One of the many handicaps Air Canada faces is from the Air Canada Participation Act when Air Canada was privatized well over 25 years ago by the former Prime Minister Brian Mulroney (sorry Virginia Air Canada is not a "ward" of the Government or on the tax payers dime!).
Air Canada has to be head quartered in Montreal (sadly the center of the universe Toronto is the business hub of Canada). Air Canada has to maintain 4 maintenance bases in Canada, one each in Montreal, Toronto, Winnipeg, and Vancouver could you imagine what Bob Crandall the former CEO of American would have said to that one!!!! Being a bilingual company from manuals (duplication) services etc
Taxes now here is a favourite of everyone. Last year I was told Air Canada spent slightly north of 4 Billion dollars in fuel so let's say 1/2 was purchased in Canada which has a 13% tax on fuel that is not paid south of the border. Can you imagine the joy of having 260 million come back to your bottom line that does not go "down the toilet" for taxes! I could go on about fees taxes that are charged to all airlines in Canada but I won't.
In closing people say why not let other airlines come in for competion I say yes so they can also enjoy all the costs (that is why American low cost companies are south of the border not north because of the additional costs in Canada)