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Aircraft maker Bombardier sees revenue rise as it pushes further into maintenance

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MONTREAL – Steady demand for private jets, and the maintenance they require, helped push earnings and revenue higher at Bombardier Inc. last quarter.

The company said Thursday that its earnings amounted to US$117 million, compared with a loss of US$37 million a year earlier, as its revenue rose 12 per cent, boosted by growth in its services business.

Bombardier saw revenue for the maintenance and repair side of the business increase 28 per cent to US$528 million, to make up about a quarter of revenue, as the company has been working to boost its aftermarket side.

The company has more than doubled the segment since launching a strategy to grow the segment about five years ago, and is looking at expanding capacity further.

“This is growing so fast around the globe that every single region right now, we have things in consideration,” chief executive Éric Martel told a conference call to discuss the company’s latest results.

Bombardier’s push further into services has seen it grow from around 33 per cent of market share to approaching 50 per cent, he said.

The company’s growing number of aircraft in operation, adding about 100 net per year, also creates the potential for more business on the service side.

“The trend moving forward is this business is going continue to grow for us significantly.”

More potential on the service side comes as Bombardier has been able to maintain the same level of order backlog as a year earlier, with demand steady in most areas outside of Europe, Martel said.

While there have been some concerns about a slowdown after the pandemic-fuelled jump in demand, he said he’s not seeing that.

“A lot of people were concerned that that new normal was not going to stay. But I’m telling you after two years, post COVID, it’s sticking.”

The jump in demand for private jets has also led to a 46 per cent jump in emissions between 2019 and 2023, a study out Thursday said.

Emissions from private aviation produced at least 15.6 million tonnes of carbon dioxide, the study published in Communications Earth & Environment found, with extensive travel for leisure as part of the growth.

Bombardier did not immediately provide comment on the results of the study.

Martel said the U.S. market remains positive.

“The whole election, you know, was creating a bit of a uncertainty. I think having clarity on the results yesterday is probably a positive for us to complete the quarter, and to engage into next year.”

Bombardier reported revenue of US$2.07 billion, up from US$1.86 billion a year earlier.

The aircraft maker, which keeps its books in U.S. dollars, says its profit amounted to US$1.09 per diluted share for the quarter ended Sept. 30 compared with a loss of 47 cents US per diluted share in the same quarter last year.

On an adjusted basis, Bombardier says it earned 74 cents US per share in its latest quarter compared with an adjusted profit of 73 cents US per share in the same quarter last year.

Analysts on average had expected the company to earn 73 cents US per share, according to LSEG Data & Analytics.

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

Companies in this story: (TSX:BBD.B)

The Canadian Press. All rights reserved.



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Ottawa’s TikTok order sends mixed messages to users, experts say

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TORONTO – By ordering TikTok to shut down its Canadian operations but not banning the app, digital media experts say the federal government is sending mixed messages that make it too hard for the average user to decide whether they should remain on the platform.

Richard Lachman says the government’s messaging around the order was confusing because it conveyed to people that there is some trouble with TikTok, but didn’t give them enough information to know how alarmed they should be about the social media platform.

Without knowing more about what concerned the government, the associate professor at Toronto Metropolitan University’s Radio and Television Arts School of Media says all Canadians can do is make an uninformed decision.

Philip Mai, co-director of Toronto Metropolitan University’s Social Media Lab, agrees. He says without knowing more about what worried the government, Canadians must treat TikTok use as a personal choice.

The federal government said Wednesday that it wants TikTok to close its Canadian operations because of national security risks but has yet to detail its specific concerns with the platform.

Lawmakers and security experts in other countries have feared TikTok’s Chinese parent company ByteDance could be compelled to assist the organization’s home country with intelligence gathering, putting other nations and their citizens at risk.

his report by The Canadian Press was first published Nov. 7, 2024.

The Canadian Press. All rights reserved.



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New Brunswick to allow medicare to pay for surgical abortions outside hospitals

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FREDERICTON – New Brunswick Premier Susan Holt announced today that medicare will now cover surgical abortions that are administered outside hospitals in the province.

Access to abortions in clinics has been restricted across New Brunswick because the government only covered the cost of the surgical procedures if they were performed in one of three hospitals.

Holt, whose Liberals came to power in an election last month, calls the change an important first step to improve abortion access.

She says New Brunswick will now be aligned with most other provinces by covering the cost of abortions whether they are administered in hospitals or clinics.

Her government’s next step is to work with groups, including the province’s medical society and regional health authorities, to establish how abortions will be provided in communities.

The previous Progressive Conservative government had refused to pay for surgical abortions outside hospitals, saying women across the province had access to medical abortions, which are administered with prescription medication.

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

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India halts some consular visits amid Sikh-Hindu clashes

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OTTAWA – India’s consulate in Toronto is suspending some of its diplomatic visits to process paperwork at places like religious temples after violence between Sikh and Hindu people.

The violence started Sunday outside the Hindu Sabha Mandir in Brampton, Ont., where police allege people in the crowd were carrying weapons and throwing objects.

The next day there were tense protests outside the temple, leading to another police intervention and calls to ban protests at Brampton religious sites.

The clashes have involved Hindu groups clashing with Sikh separatists, who have protested visits by Indian consular officials to process paperwork for matters such as pensions.

The violence has further heightened tensions between Ottawa and New Delhi after Canada expelled six Indian diplomats last month when the RCMP flagged them as persons of interest in alleged crimes against Canadians.

India’s Toronto consulate says it’s suspending some of its announced site visits, but did not specify which ones have been cancelled.

“In view of the security agencies conveying their inability to provide minimum security protection to the community-camp organizers, (the Toronto) consulate has decided to cancel some of the scheduled consular camps,” the consulate said in a post on X.

The consulate’s website lists planned visits in places like Brampton, Mississauga, Halifax, Windsor and London, Ont.

India’s high commission in Canada did not immediately respond when asked if its Ottawa mission or Vancouver consulate had also suspended consular visits. Officials in those missions have announced what they call “consular camps” across the Prairies this weekend, as well as in Montreal and parts of British Columbia later this month.

Sikh separatists, who advocate for an independent country called Khalistan to be carved out of India, have alleged Indian diplomats use their temple visits to recruit informants to target Khalistan supporters.

While the Canadian government has refused to identify the diplomats it expelled, the federal government does maintain a database of diplomats who are accredited to Canada. That database was updated a week after the expulsions were announced on Oct. 14, and six names that were previously on the list had been removed.

That includes High Commissioner Sanjay Kumar Verma and Toronto consul general Siddhartha Nath. The websites of each Indian mission now list interim replacements for both positions.

The database also previously included Bikram Pal Singh Bhatty, a first secretary at the Ottawa high commission, as well as Toronto consular officer Dheeraj Pareek, Vancouver consular officer Rahul Negi and a Vancouver consular employee named Kanwaljit Singh.

Global Affairs Canada would not confirm whether those were the names of the six diplomats who were expelled.

“We are not in a position to provide the names of the six Indian diplomats that are now considered persona non grata. We can confirm that they have left Canada,” wrote spokeswoman Clémence Grevey.

India’s foreign ministry listed the names and ranks of the six Canadian diplomats it also expelled; both countries claimed they had ordered expulsions first.

Yet the spokesman for India’s foreign ministry, Randhir Jaiswal, refused to identify the six diplomats Canada expelled, when asked at an Oct. 17 press conference.

“For various reasons, we don’t want to reveal their names to you,” he said.

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

The Canadian Press. All rights reserved.



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