Management is responsible for the preparation and fair presentation of these unaudited condensed interim financial statements in accordance with International Accounting Standard 34 Interim Financial Reporting, and The Treasury Board of Canada’s Directive on Accounting Standards: GC 5200 Crown Corporations Quarterly Financial Report, and for such internal controls as management determines are necessary to enable the preparation of the unaudited condensed interim financial statements that are free from material misstatement.

(Unaudited)

For the Three and Six Months Ended September 30, 2024

Year ended March 31, 2024

(In thousands of Canadian dollars)

1. Authority, mandate and programs

CATSA was established pursuant to the CATSA Act on April 1, 2002. CATSA is a Crown corporation listed under Part I, Schedule III of the Financial Administration Act (FAA) and is an agent of His Majesty in right of Canada.

Year ended March 31, 2024

Management’s Responsibility Statement

Year ended March 31, 2024

For the year ended March 31, 2024

Management’s Discussion and Analysis (MD&A) outlines CATSA’s financial results and operational changes for the year ended March 31, 2024. This MD&A should be read in conjunction with CATSA’s audited annual financial statements and accompanying notes for the year ended March 31, 2024, which have been prepared in accordance with International Financial Reporting Standards (IFRS). The information in this report is expressed in thousands of Canadian dollars and is current to June 19, 2024, unless otherwise stated.

CATSA is an agent Crown corporation with a Board of Directors appointed by the Governor in Council on the recommendation of the Minister of Transport.

Table 1: Results for the Implementation of CATSA’s Mandate

The following table identifies key performance indicators (KPIs), which correspond to the organization’s performance in the management of its mandated operations. These KPIs are reported to the Senior Management Committee and the Board of Directors on a quarterly basis for oversight and management of the organization’s performance.

Effectiveness

Given the sensitivity of this performance category and its associated results, this data cannot be included in a public document.

Risk management is embedded into strategic decision-making and resource allocation within CATSA, thereby allowing the organization to make informed decisions at the corporate and operational levels. CATSA recognizes the principle of risk-reward, and manages its risks knowing that:

• The complete elimination of risk is not possible;
• Risk aversion is not the same as risk management; and
• Acceptance of risk can lead to positive outcomes for the organization.

CATSA’s overall risk attitude can be described as conservative and flexible.

Security is a shared responsibility in Canada’s aviation industry. CATSA works with airlines, airport authorities, and its third-party screening contractors, with particular focus on improving the traveller journey. As well, the organization engages with a number of Government of Canada departments and agencies, most notably its regulator Transport Canada, the Canadian Transportation Agency, the Canada Border Services Agency, the Royal Canadian Mounted Police, and the Canadian Security Intelligence Service.