At a news conference, Col. Christopher Shelley said the unidentified pilot had disengaged auto-pilot during nighttime training exercises on rescuing people from boats, CTV News reported.
The Cormorant rescue helicopter had a crew of seven aboard when it nose-dived into the Atlantic Ocean and broke into two pieces July 13, 2006. Three men were unable to escape and drowned, Shelley said.
The inquiry found emergency exits had been blocked, seat harnesses were difficult to unlatch and breathing equipment was stowed where the crew couldn't reach it, the report said.
The report said the Cormorant was in good mechanical shape and weather was not a factor.
The military said more than 60 changes have been implemented in procedures as a result of the crash, CTV said.