Canada has allowed at least 160 flights to criss-cross North America using Boeing 737 Max jets since grounding the fleet for commercial use almost a year ago.
Transport Minister Marc Garneau banned the planes from Canada’s airspace in March after two crashes within five months in Indonesia and Ethiopia killed 346 people, including 18 Canadians. Satellite data showed both planes experienced significant flight control problems. Garneau said earlier this month he won’t lift restrictions on the planes until all of Canada’s safety concerns have been addressed.
CBC News analyzed flight data that shows Canadian airlines have continued to fly the jets for the past 11 months, often multiple times a week. The flights include four hours in the air over Canada from Windsor to Vancouver and shorter hauls such as Montreal to Trois-Rivières, Que., and Abbotsford, B.C., to Calgary.
Transport Canada said no passengers were on board any of the flights. The department said it has been allowing Air Canada, WestJet and Sunwing to fly the planes for maintenance, storage, or pilot training under certain conditions. Only certain pilots with specialized training and briefings of the 737 Max are allowed to operate the aircraft.
The flights came as a shock to some families in Canada whose loved ones died on a 737 Max.
“It feels like a slap in the face,” said Chris Moore who lost his 24-year-old daughter died in the Ethiopian Airlines crash. “Your loved one has died due to that plane and they’re still gearing up for the day when it’s ungrounded.”
Paul Njoroge lost his wife, three young children, and mother-in-law in that same crash. He’s also concerned for the safety of the pilots in the air and Canadians on the ground.
“It’s shocking to me that they are still flying,” said Njoroge. “It just tells me that these people will never stop playing or juggling with human life.”
“You cannot say it’s not safe for passengers, but still allow the plane to fly. If you’ve grounded the plane, it has to remain grounded.”
‘Ferry flights’ exempted
When Garneau banned the jets on March 13, the notice to airmen stated it was “necessary for the protection of aviation safety and the public.” But the notice also made exemptions for “ferry flights” that take off or land in Canada.
CBC News pulled data from flight tracking website FlightRadar24 to see where Canadian 737 Max planes have been spotted in the skies since grounded.
An analysis reveals that Air Canada has been flying its Boeing 737 Max fleet the most often. Between March 14 and Jan. 16, Air Canada flew 121 times, in comparison to 29 times for WestJet and 12 for Sunwing.
In at least 27 of instances, Air Canada took off or landed in Marana, Ariz. In some cases, flying more than five hours straight.
“Those aircraft movements were required for maintenance purposes, including to relocate them to the southern desert where they can be stored more safely,” said Air Canada in a statement to CBC News.
Air Canada also said it’s using the ferry flights as an opportunity to keep pilot certifications current for those who train frontline pilots.
737 Max aircraft flew across Canada and the U.S. 0:18
WestJet said it’s ferry flights were for maintenance and storage space. Sunwing said it proactively grounded its fleet before Canada made it mandatory. Since then, the airline confirmed it moved several 737 Max aircraft from large, busy airports to outside storage facilities.
“We approach these necessary transfers with an abundance of caution, conducting thorough risk assessments and only using senior pilots who were briefed on responses to any potential anomalies. All these flights operated without incident,” said Sunwing in a statement.
Flights must be approved, follow ‘very strict conditions’
Transport Canada said in order for ferry flights to be approved, airlines must follow “very strict conditions”:
Only advanced pilot evaluators are allowed to fly.
Pilots must get specialized briefings and training including on a 737 Max simulator.
Additional crew is onboard all flights and a mandatory third pilot.
They can only fly in certain weather conditions.
Larry Vance, former Transportation Safety Board aviation crash investigator, said he has no concerns with the 737 Max flying under this criteria.
“These are not flying bombs about to explode,” said Vance. “They’re not gonna start dropping out of the sky on people. These are very safe airplanes flown under those conditions.
“They’re only flown by the best of the pilots with briefings. Anything that might go wrong with the airplane they know how to handle it.”
Vance added that planes are like cars — if left idle they deteriorate, and need to be in the air to stay in top shape.
Victims’ families meeting with transport minister
That doesn’t comfort Moore and Njoroge who question why the planes can’t be restored for service if and when Canada declares them safe for passengers.
“That tells you a lot about the regulatory authorities promoting the industry instead of promoting safety, instead of safeguarding the lives of human beings.” said Njoroge.
“I don’t understand why they would use that as an excuse to fly,” said Moore.
Families of the Ethiopian Airlines crash victims say they are meeting scheduled with Transport Minister Marc Garneau on Feb.12. Njoroge plans on asking Garneau to keep the planes on the ground — no exemptions.
Canada is continuing to independently review and validate changes to the Boeing 737 Max.
Transport Canada has four areas of concern that it wants addressed before the fleet can return to service including: acceptable levels of pilot workload, architecture of the flight controls, minimum training required for crew members, and aircraft performance, according to Garneau’s briefing binder obtained through an access to information request.
TOKYO (AP) — Japanese technology group SoftBank swung back to profitability in the July-September quarter, boosted by positive results in its Vision Fund investments.
Tokyo-based SoftBank Group Corp. reported Tuesday a fiscal second quarter profit of nearly 1.18 trillion yen ($7.7 billion), compared with a 931 billion yen loss in the year-earlier period.
Quarterly sales edged up about 6% to nearly 1.77 trillion yen ($11.5 billion).
SoftBank credited income from royalties and licensing related to its holdings in Arm, a computer chip-designing company, whose business spans smartphones, data centers, networking equipment, automotive, consumer electronic devices, and AI applications.
The results were also helped by the absence of losses related to SoftBank’s investment in office-space sharing venture WeWork, which hit the previous fiscal year.
WeWork, which filed for Chapter 11 bankruptcy protection in 2023, emerged from Chapter 11 in June.
SoftBank has benefitted in recent months from rising share prices in some investment, such as U.S.-based e-commerce company Coupang, Chinese mobility provider DiDi Global and Bytedance, the Chinese developer of TikTok.
SoftBank’s financial results tend to swing wildly, partly because of its sprawling investment portfolio that includes search engine Yahoo, Chinese retailer Alibaba, and artificial intelligence company Nvidia.
SoftBank makes investments in a variety of companies that it groups together in a series of Vision Funds.
The company’s founder, Masayoshi Son, is a pioneer in technology investment in Japan. SoftBank Group does not give earnings forecasts.
Shopify Inc. executives brushed off concerns that incoming U.S. President Donald Trump will be a major detriment to many of the company’s merchants.
“There’s nothing in what we’ve heard from Trump, nor would there have been anything from (Democratic candidate) Kamala (Harris), which we think impacts the overall state of new business formation and entrepreneurship,” Shopify’s chief financial officer Jeff Hoffmeister told analysts on a call Tuesday.
“We still feel really good about all the merchants out there, all the entrepreneurs that want to start new businesses and that’s obviously not going to change with the administration.”
Hoffmeister’s comments come a week after Trump, a Republican businessman, trounced Harris in an election that will soon return him to the Oval Office.
On the campaign trail, he threatened to impose tariffs of 60 per cent on imports from China and roughly 10 per cent to 20 per cent on goods from all other countries.
If the president-elect makes good on the promise, many worry the cost of operating will soar for companies, including customers of Shopify, which sells e-commerce software to small businesses but also brands as big as Kylie Cosmetics and Victoria’s Secret.
These merchants may feel they have no choice but to pass on the increases to customers, perhaps sparking more inflation.
If Trump’s tariffs do come to fruition, Shopify’s president Harley Finkelstein pointed out China is “not a huge area” for Shopify.
However, “we can’t anticipate what every presidential administration is going to do,” he cautioned.
He likened the uncertainty facing the business community to the COVID-19 pandemic where Shopify had to help companies migrate online.
“Our job is no matter what comes the way of our merchants, we provide them with tools and service and support for them to navigate it really well,” he said.
Finkelstein was questioned about the forthcoming U.S. leadership change on a call meant to delve into Shopify’s latest earnings, which sent shares soaring 27 per cent to $158.63 shortly after Tuesday’s market open.
The Ottawa-based company, which keeps its books in U.S. dollars, reported US$828 million in net income for its third quarter, up from US$718 million in the same quarter last year, as its revenue rose 26 per cent.
Revenue for the period ended Sept. 30 totalled US$2.16 billion, up from US$1.71 billion a year earlier.
Subscription solutions revenue reached US$610 million, up from US$486 million in the same quarter last year.
Merchant solutions revenue amounted to US$1.55 billion, up from US$1.23 billion.
Shopify’s net income excluding the impact of equity investments totalled US$344 million for the quarter, up from US$173 million in the same quarter last year.
Daniel Chan, a TD Cowen analyst, said the results show Shopify has a leadership position in the e-commerce world and “a continued ability to gain market share.”
In its outlook for its fourth quarter of 2024, the company said it expects revenue to grow at a mid-to-high-twenties percentage rate on a year-over-year basis.
“Q4 guidance suggests Shopify will finish the year strong, with better-than-expected revenue growth and operating margin,” Chan pointed out in a note to investors.
This report by The Canadian Press was first published Nov. 12, 2024.
TORONTO – RioCan Real Estate Investment Trust says it has cut almost 10 per cent of its staff as it deals with a slowdown in the condo market and overall pushes for greater efficiency.
The company says the cuts, which amount to around 60 employees based on its last annual filing, will mean about $9 million in restructuring charges and should translate to about $8 million in annualized cash savings.
The job cuts come as RioCan and others scale back condo development plans as the market softens, but chief executive Jonathan Gitlin says the reductions were from a companywide efficiency effort.
RioCan says it doesn’t plan to start any new construction of mixed-use properties this year and well into 2025 as it adjusts to the shifting market demand.
The company reported a net income of $96.9 million in the third quarter, up from a loss of $73.5 million last year, as it saw a $159 million boost from a favourable change in the fair value of investment properties.
RioCan reported what it says is a record-breaking 97.8 per cent occupancy rate in the quarter including retail committed occupancy of 98.6 per cent.
This report by The Canadian Press was first published Nov. 12, 2024.