BUZZ-Air Canada: Expects smaller decrease in costs
** Shares of Canada's largest airline down 7 pct at C$11.99; third biggest loser on Canada's main index
** Expects adjusted cost per available seat mile (CASM) to dip 1-2 pct in 2015, lower than 1.5-2.5 pct decline it forecast in May
** Q2 passenger revenue per available seat mile falls 5.5 pct as company adds lower-margin international flights
** Weakening in the Canadian dollar hurts Canadian airlines as some of their costs are denominated in U.S. dollars
** Up to Tuesday's close, stock had risen 8.7 pct this year
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