Air Transat plans to cancel all flights from Western Canada to sun destinations and the United States this winter, with refunds en route to customers — a policy about-face in the COVID-19 era.
The airline is scrubbing all southbound routes that were slated to take off from Winnipeg, Calgary, Edmonton, Vancouver and Victoria, Air Transat parent Transat AT told customers this week.
The only routes out of western gateways between Nov. 1 and April 30 will be from Vancouver to Toronto and Montreal, and some connecting flights to Europe via Toronto.
Would-be passengers will automatically receive a full refund rather than the company credit that has previously been offered for flights cancelled due to the COVID-19 crisis, Transat said.
“Since the current situation does not allow us to foresee resuming routes from Western Canada in the near future and there will therefore be no direct flight options to use vouchers with Air Transat from their location, customers impacted by cancellations resulting from this suspension will receive a refund in the amount on file,” Transat spokesperson Marie-Christine Pouliot said in an email.
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“For other locations, where more options exist, we have offered more flexibility by relaxing our travel credit policy. They are now fully transferable and have no expiry date.”
Transat cited “the many challenges” facing the airline industry, which revolve around a pandemic that shut down borders and grounded fleets before traffic slowly starting to pick up in the summer, though not enough to revive the critical crossborder tourism or business travel markets. The Montreal-based carrier’s first flight in four months took off last week.
Airline refunds
Transat and other Canadian airlines have refused to reimburse most customers whose flights were cancelled as a result of the coronavirus.
Transat, Air Canada and WestJet Airlines Ltd. have all said their stance on refunds aligns with federal regulations and guidance posted over the past five months by the Canadian Transportation Agency (CTA).
Legal precedent, contract law suggest that’s not the case, said passenger rights advocate Gabor Lukacs, noting “the universal principal across Canada” that customers should be reimbursed for services never rendered.
Air Transat must refund all passengers whose flights were cancelled, regardless of their point of departure or the reason for the cancellation, says passenger rights advocate Gabor Lukacs. (Patrick Callahan/CBC)
“Air Transat must refund all passengers whose flights were cancelled, regardless of their point of departure or the reason for the cancellation,” Lukacs said, citing a CTA decision from 2004 concerning Transat as well as the carrier’s own contract of carriage.
The company’s crossborder tariff — a contract between airline and passenger — states that Transat “will refund the unused ticket” in the event of overbooking or cancellation by the airline.
Air Canada quietly changed its refund policy in June to allow some customers with cancelled flight tickets to recoup their cash — but not passengers whose trips originated in Canada.
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Travellers with flights originating in the European Union, Switzerland or Iceland are entitled to receive a refund, the airline said, but passengers who were slated to fly one-way or round-trip from Canada to Europe are not.
WestJet changed its policy to reimburse customers on flights between the U.S. and Canada that were cancelled due to COVID-19 after “carefully monitoring the regulatory frameworks” across jurisdictions.
The country’s three biggest airlines have cancelled tens of thousands of flights since late March. Air Canada saw capacity dip by 95 per cent in the spring after it lost more than $1 billion in the first quarter and projects passenger levels will not return to 2019 levels for at least three years.
Transat told The Canadian Press last week it will delay the closing deadline of its takeover by Air Canada, pushing it back by one month until Aug. 27 as European regulators and federal cabinet members mull how the $720-million acquisition will affect competition.
TORONTO – Canada Goose Holdings Inc. says it has signed a deal that will result in the creation of its first eyewear collection.
The deal announced on Thursday by the Toronto-based luxury apparel company comes in the form of an exclusive, long-term global licensing agreement with Marchon Eyewear Inc.
The terms and value of the agreement were not disclosed, but Marchon produces eyewear for brands including Lacoste, Nike, Calvin Klein, Ferragamo, Longchamp and Zeiss.
Marchon plans to roll out both sunglasses and optical wear under the Canada Goose name next spring, starting in North America.
Canada Goose says the eyewear will be sold through optical retailers, department stores, Canada Goose shops and its website.
Canada Goose CEO Dani Reiss told The Canadian Press in August that he envisioned his company eventually expanding into eyewear and luggage.
This report by The Canadian Press was first published Sept. 19, 2024.
Almost seven years since news broke of an alleged conspiracy to fix the price of packaged bread across Canada, the saga isn’t over: the Competition Bureau continues to investigate the companies that may have been involved, and two class-action lawsuits continue to work their way through the courts.
Here’s a timeline of key events in the bread price-fixing case.
Oct. 31, 2017: The Competition Bureau says it’s investigating allegations of bread price-fixing and that it was granted search warrants in the case. Several grocers confirm they are co-operating in the probe.
Dec. 19, 2017: Loblaw and George Weston say they participated in an “industry-wide price-fixing arrangement” to raise the price of packaged bread. The companies say they have been co-operating in the Competition Bureau’s investigation since March 2015, when they self-reported to the bureau upon discovering anti-competitive behaviour, and are receiving immunity from prosecution. They announce they are offering $25 gift cards to customers amid the ongoing investigation into alleged bread price-fixing.
Jan. 31, 2018: In court documents, the Competition Bureau says at least $1.50 was added to the price of a loaf of bread between about 2001 and 2016.
Dec. 20, 2019: A class-action lawsuit in a Quebec court against multiple grocers and food companies is certified against a number of companies allegedly involved in bread price-fixing, including Loblaw, George Weston, Metro, Sobeys, Walmart Canada, Canada Bread and Giant Tiger (which have all denied involvement, except for Loblaw and George Weston, which later settled with the plaintiffs).
Dec. 31, 2021: A class-action lawsuit in an Ontario court covering all Canadian residents except those in Quebec who bought packaged bread from a company named in the suit is certified against roughly the same group of companies.
June 21, 2023: Bakery giant Canada Bread Co. is fined $50 million after pleading guilty to four counts of price-fixing under the Competition Act as part of the Competition Bureau’s ongoing investigation.
Oct. 25 2023: Canada Bread files a statement of defence in the Ontario class action denying participating in the alleged conspiracy and saying any anti-competitive behaviour it participated in was at the direction and to the benefit of its then-majority owner Maple Leaf Foods, which is not a defendant in the case (neither is its current owner Grupo Bimbo). Maple Leaf calls Canada Bread’s accusations “baseless.”
Dec. 20, 2023: Metro files new documents in the Ontario class action accusing Loblaw and its parent company George Weston of conspiring to implicate it in the alleged scheme, denying involvement. Sobeys has made a similar claim. The two companies deny the allegations.
July 25, 2024: Loblaw and George Weston say they agreed to pay a combined $500 million to settle both the Ontario and Quebec class-action lawsuits. Loblaw’s share of the settlement includes a $96-million credit for the gift cards it gave out years earlier.
Sept. 12, 2024: Canada Bread files new documents in Ontario court as part of the class action, claiming Maple Leaf used it as a “shield” to avoid liability in the alleged scheme. Maple Leaf was a majority shareholder of Canada Bread until 2014, and the company claims it’s liable for any price-fixing activity. Maple Leaf refutes the claims.
This report by The Canadian Press was first published Sept. 19, 2024.
Companies in this story: (TSX:L, TSX:MFI, TSX:MRU, TSX:EMP.A, TSX:WN)
TORONTO – TD Bank Group, which is mired in a money laundering scandal in the U.S., says chief executive Bharat Masrani will retire next year.
Masrani, who will retire officially on April 10, 2025, says the bank’s, “anti-money laundering challenges,” took place on his watch and he takes full responsibility.
The bank named Raymond Chun, TD’s group head, Canadian personal banking, as his successor.
As part of a transition plan, Chun will become chief operating officer on Nov. 1 before taking over the top job when Masrani steps down at the bank’s annual meeting next year.
TD also announced that Riaz Ahmed, group head, wholesale banking and president and CEO of TD Securities, will retire at the end of January 2025.
TD has taken billions in charges related to ongoing U.S. investigations into the failure of its anti-money laundering program.
This report by The Canadian Press was first published Sept. 19, 2024.
