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Retailer Aritzia well on its way to replicating Canadian success in U.S.: CEO

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Aritzia Inc.’s chief executive says the apparel retailer is making progress in its push to make the brand as popular in the U.S. as it is in Canada.

Jennifer Wong told analysts on a Thursday call that she is pleased with the company’s performance south of the border.

“After 40 years in business, we’re very well-known and loved in Canada and we’re well on our way to replicating that love in the United States,” she said.

Aritzia, which was founded in Vancouver in 1984, has long been a Canadian favourite, with brands like TNA, Wilfred, Babaton and Reigning Champ drawing in younger shoppers as well as celebrities like Hailey Bieber and Jessica Alba.

It set its sights on the U.S. in 2007, opening its first stores there that year. Now, 52 of its 119 stores are in the U.S., and Wong believes that’s just the start.

“The opportunity to grow our brand remains tremendous,” Wong said.

Over the last 12 months, Aritzia opened five new boutiques and remodelled four more. In its current quarter, it welcomed shoppers to a location in Boca Raton, Fla., and said three more locations are due to open this year in Florida, Texas and California.

Store openings, said Wong, are the company’s “most consistent and most predictable” growth driver.

They often exceed the company’s predictions, too.

The Boca Raton location alone beat Aritzia’s internal projections by more than 35 per cent already, and the company is expected to cover off the costs of opening the store within 10 months, earlier than the 12 to 18 months it first expected.

Wong was also delighted that in the Boca Raton store’s first week, more than 60 per cent of clients were new to the Aritzia brand. Another location recently opened in Sacramento, Calif., saw 50 per cent new customers in its first month.

“It’s very encouraging,” Wong said.

The insights into the company’s U.S. footprint came as Aritzia reported earnings of $15.8 million in its first quarter, down from $17.5 million a year earlier.

Earnings per diluted share were 14 cents during the period ended June 2, down from 15 cents last year.

Aritzia’s adjusted net income amounted to $25 million compared with $11.2 million a year prior.

Net revenues for the business totalled $498.6 million, up from $462.7 million.

Its retail net revenue rose 9.2 per cent from a year before to $357.8 million, while its ecommerce net revenue jumped 4.2 per cent to $140.8 million.

This report by The Canadian Press was first published July 11, 2024.

Companies in this story: (TSX:ATZ)

The Canadian Press. All rights reserved.

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How to get a whole city to stop lawn watering? Experts say praise over punishment

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CALGARY – For almost two weeks, a city of 1.6 million people has been told once again to stop watering lawns, take three-minute showers, hold off on laundry and dishes, and let the yellow in their toilets mellow.

Calgarians are about halfway through water rationing redux and, this time, more has gone down the drain than the city can sustainably manage as a troubled pipe is repaired.

Some who study social dynamics during crises say it will take continued appeals to citizens’ better natures, a constant stream of detailed information and a sparing use of punishment to get through the outage, slated to end around Sept. 23.

Canadians are generally a rule-following bunch who are willing to act for the common good, says University of Calgary philosophy professor Allen Habib.

“If the authorities asked you to do something, that’s a reason to do it right there,” he said.

But he said it gets harder the longer it goes on.

In early June, the Bearspaw South Feeder Main in northwest Calgary suddenly burst, forcing a citywide clampdown on water use.

Restrictions had mostly been eased, when the city announced in early August that more trouble spots had been found along the more than 10-kilometre pipe, which would have to be dug up and reinforced.

Not doing so, city officials have said, would risk another catastrophic break during the winter, when river flows can’t be relied upon to replenish reservoirs.

Calgarians typically use about 600 million litres of water each day. The city says it can comfortably manage 485 million litres of daily usage while the massive main is down.

Between that amount and 500 million litres, the system is working full-tilt. Anything above 500 million litres means the city would struggle to replenish supplies.

On Friday, water usage was roughly 502 million litres, likely due to scorching weather, said Francois Bouchart, the city’s director of capital priorities and investment.

“We are incredibly thankful for the water savings Calgarians have made so far,” he said.

“If everyone in Calgary skipped one extra toilet flush, we would save a further eight million litres. Skip two flushes, and we have reached our goal.

“These small actions truly add up.”

But Bouchart said enforcement officers continue to hand out $3,000 fines for outdoor watering with potable supplies.

“We understand that it can be frustrating when you’re doing your part and see others who are not,” he said, encouraging people to report water misuse.

Punishment is one important lever the city has, but Habib said positive reinforcement tends to be the best first-line approach.

“I’d be surprised if (fines) played a super big role in motivating people,” he said.

Caroline McDonald-Harker, a sociologist at Mount Royal University, said Albertans have faced a litany of recent crises, like the 2013 southern Alberta floods, the 2016 Fort McMurray wildfire and the COVID-19 pandemic.

Calgary’s water restrictions are a minor nuisance in comparison, she said.

“It is understandable that people are starting to become a little frustrated,” said McDonald-Harker, who also directs the Centre for Community Disaster Research.

“We’re seeing that some individuals are just getting tired of constantly having to be on alert, constantly thinking about their day-to-day life and routines and having to adapt.”

Most residents seem to be on board, she said. The more information they get, the more likely they are to comply.

“They’re able to see what impact it’s having and they’re able to see the end goal,” McDonald-Harker said.

City officials have held almost daily news conferences on water use, reiterating why restrictions are necessary and describing in painstaking detail the progress of the dig-up.

It helps when citizens can see they can collectively make a difference, said McDonald-Harker, pointing to how Albertans cut their power use almost instantly when the electrical grid came under strain earlier this year.

Children could be enlisted in the effort, she said, as research has shown them to be effective intermediaries between authorities and the adults in their lives when a problem requires collective action.

“My recommendation would even be for this messaging to be pushed through the school system to kids and they can take that information back to their parents,” said McDonald-Harker.

John Ellard, a University of Calgary psychology professor, said messaging about fines should be couched in praise and appreciation for the majority who seem to be doing what’s asked.

He’s not so sure the uptick in water use can be explained by non-compliance. It could be that, with the school year starting, there are simply more people drawing on resources than before.

“The more people perceive there’s fatigue and non-compliance, the more it gives them justification for breaking the rules themselves.”

This report by The Canadian Press was first published Sept. 7, 2024.



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Girl, 14, charged with attempted murder after allegedly setting classmate on fire at Sask. high school – CBC.ca

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Girl, 14, charged with attempted murder after allegedly setting classmate on fire at Sask. high school  CBC.ca

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Trudeau insists he’s staying on as Liberal leader. But what if he changes his mind?

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OTTAWA – The Liberal caucus is set to meet in Nanaimo, B.C., next week for a retreat ahead of the fall parliamentary sitting. Prime Minister Justin Trudeau insists he will lead his party into the next election despite polls citing his unpopularity among Canadians. Here’s a look at what would happen if he decided to call it quits.

Could Prime Minister Justin Trudeau step down?

Absolutely. But a decision to step down becomes a lot harder now that the New Democrats have pulled out of a supply and confidence agreement with the Liberals, which has helped keep the minority government in power. If Trudeau were to resign, the New Democrats could vote with the Conservatives on a confidence motion and trigger a snap election. That could leave the Liberal party without a leader as parties vie for votes.

What would happen if he resigned?

An interim leader would be appointed and a leadership race would be triggered. The national president would have 27 days to call a meeting with the party’s board of directors. A leadership vote committee would also form to plan, organize and carry out the leadership vote.

How quickly could a new leader be named?

It’s not typically a fast process. Trudeau won after a five-month race, but planning was in the works for years.

By comparison, it took two years for the Conservatives to vote in a new leader after Stephen Harper’s resignation following the 2015 election.

The race that brought Pierre Poilievre to the helm of the Conservatives in 2022 lasted eight months.

The Liberal party constitution lays out the process for any potential nominee. They have at least 90 days before a leadership vote to announce their intention to run. They need at least 300 signatures from registered Liberals, 100 of which must come from Liberals in three different provinces.

Could Trudeau resign but finish out his mandate?

Yes. But again, it would be complicated given a Liberal minority government and the threat of a snap election. NDP Leader Jagmeet Singh acknowledged this week that an election could happen earlier than initially expected, which is currently set for October of 2025.

Has a prime minister ever stepped down before?

Yes. In 2002, prime minister Jean Chrétien, facing a challenge from former finance minister and longtime rival Paul Martin, announced he would not lead the Liberals into the next election.

And in 1993 prime minister Brian Mulroney resigned as Progressive Conservative leader. Kim Campbell, defence minister in Mulroney’s cabinet, won the contest to succeed him.

Trudeau’s popularity has also faded, so why is this different?

Chrétien and Mulroney had majority governments, allowing leadership races to unfold without the threat of their administrations falling.

Though there have been rumblings of discontent about Trudeau from within his party, he continues to enjoy the public support of the cabinet and caucus. The exception is Liberal MP Wayne Long, who has called for his resignation.

In addition, there is no obvious heir apparent to Trudeau. Among the rumoured contenders for his job are Deputy Prime Minister Chrystia Freeland, Industry Minister François-Philippe Champagne and former Bank of Canada governor Mark Carney.

Why were the U.S. Democrats able to replace their candidate for president?

Canada and the U.S. have different systems of government, and Democrats and Liberals have their own sets of party rules.

Even though U.S. President Joe Biden was the Democrats’ presumptive nominee for president, he was not yet their official candidate. This allowed the Democrats to switch candidates before their convention in Chicago last month.

It’s always up to Democratic delegates at their convention to formally vote for an official presidential nominee.

And because there was no major challenge from within the party, it allowed for a smooth transition to replace Biden’s name on the ticket with that of U.S. Vice-President Kamala Harris.

Can Liberals oust Trudeau?

Unlikely. The Liberal party’s constitution says the party leader can be removed only because of a triggering event such as an electoral loss, incapacitation or death.

This report by The Canadian Press was first published Sept. 7, 2024.



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