Connect with us

Business

How an accidental phone answer exposed Rogers Communications 'coup plan' – Reuters

Published

 on


General view of the Rogers Building, quarters of Rogers Communications in Toronto, Ontario, Canada October 22, 2021. REUTERS/Carlos Osorio/File Photo

Oct 30 (Reuters) – In mid September, Rogers Communications Inc CEO Joe Natale called his then finance chief Tony Staffieri, who was discussing a secret plan to shake up Canada’s biggest telecom company’s board and senior management, including Natale.

Staffieri accidentally answered Natale’s call.

That left the line open for 21 minutes as Natale listened to Staffieri detail the big upcoming management reshuffle which ex-chairman Edward Rogers had plotted, according to an affidavit filed by Rogers Chairman John MacDonald.

MacDonald’s affidavit follows an Oct. 26 submission by Edward Rogers to the Supreme Court of British Columbia as the two factions fight for control of Rogers Communications’ board. A hearing is due on Monday.

Soon after the call Natale convened a meeting with independent directors to discuss what he had overheard. He told them he had lost confidence in Staffieri and sought his termination.

Less than two weeks later, Staffieri left the company, even as Rogers was navigating its biggest ever M&A, the C$20 billion ($16.1 billion) bid for smaller rival Shaw Communications (SJRb.TO).

Staffieri’s departure did not stop Edward, the only son of the company’s late founder Ted Rogers, from pursuing his plans. In the ensuing battle, the board of directors, including his mother and two sisters, voted to remove Edward as chairman and replace him with lead independent director MacDonald, who backed Natale as CEO. read more

The details and the timeline revealed in MacDonald and Edward’s affidavit capture the turmoil gripping Rogers Communications, and the wide rift and lack of trust within the family.

Differences within company boards and wealthy families are not unusual, but such a spat playing out in the open is rare in Canada and has caught investors and analysts by surprise and attracted the attention of regulators.

It has also weighed on Rogers shares, which are down 2.9% this year, compared with 17% gains for BCE Inc (BCE.TO) and a 12.6% rise for Telus Corp (T.TO) in the same period.

S&P Global Ratings said the distractions could hinder Rogers’ ability to raise capital while also navigating regulatory hurdles before it can complete the Shaw deal.

Responding to his removal as chairman, Edward used his position as chair of the family-owned Rogers Control Trust, which owns the majority of voting shares in the company, to constitute a new board, which recognized him as chairman. He then petitioned the Supreme Court of British Columbia, where the company is incorporated, to legitimize the new board.

The sequence of events outlined in court filings differ, but the common thread is Edward apparently falling out with the family’s matriarch, Loretta Rogers, as well as with his sisters Melinda Rogers-Hixon and Martha Rogers.

Spokesmen for Edward Rogers and other family members declined to comment, while Rogers Communications was not available for immediate comment.

In his affidavit, Edward said Natale had failed to turnaround the business and that the board agreed to replace Natale as CEO. Loretta Rogers said her decision initially to support Edward was based on wrong and incomplete information provided by Edward, and that she changed her view on learning additional facts and continues to back Natale.

In MacDonald’s affidavit he said the board and family members had not voted to terminate Natale, and that instead they believed he had “exceeded his goals” as CEO.

(This story has been refiled to add editing credit)

($1 = 1.2392 Canadian dollars)

Writing by Denny Thomas; Editing by Daniel Wallis

Our Standards: The Thomson Reuters Trust Principles.

Adblock test (Why?)



Source link

Continue Reading

Business

Take advantage of lower gas prices while you can: Expert – Toronto Sun

Published

 on


Article content

Don’t put off a trip to the pumps too long as gas prices will likely start to rise again mid-week, says Dan McTeague, president of Canadians for Affordable Energy.

Article content

The price of a litre of gas fell by 11 cents per litre on Sunday — the biggest drop in one day since January 2009 — due to concerns about the Omicron variant.

“I guess the word is take advantage of it while you can,” McTeague told the Toronto Sun.

On Saturday, gas at GTA stations was priced at around $1.45.9 per litre compared to $1.34.9 on Sunday. McTeague added he saw it even lower on Sunday in some places at 1.29.9.

“I predicted it, I guess, Friday afternoon,” McTeague said. “I watched all day as the market collapsed on a very light trading day. With oil dropping $10 a barrel, gasoline futures down 30 cents a gallon, which led to the 11 cents per litre drop (Sunday) morning, much to the relief of those who took my advice and waited.”

Article content

McTeague said he expects the market to correct itself on Monday, meaning that prices will likely start climbing by mid-week.

“The timing couldn’t have been worse because you pick a day when there’s extraordinarily light trading as the result of most American traders taking a holiday on Friday, of course (given) (American) Thanksgiving was Thursday. Without being impolite, the real traders will show up (Monday) morning and get back to work.”

McTeague added that OPEC was initially slated to meet Monday but delayed that meeting until Tuesday. By Friday or Saturday, the cost of a litre could increase by four or five cents.

“It’s hard to say. There are conflicting reports out there suggesting that the (Omicron) variant isn’t as dangerous as first thought. So we’ll see what happens,” said McTeague. “I just think markets were really hoodwinked in the sense that the headline (about Omicron fears) drove the trades, and I think it doesn’t take away from the fundamentals that the world is undersupplied in oil.”

Adblock test (Why?)



Source link

Continue Reading

Business

Labor shortage: Canada in need of cooks, nurses, mall Santas – ABS-CBN News

Published

 on


Photo by lasse bergqvist on Unsplash
Photo by lasse bergqvist on Unsplash

OTTAWA – The signs of an unprecedented labor shortage in Canada are glaring: hospital emergency rooms closed because of a lack of nurses, restaurants skipping meals and fewer Santas in malls.

In Ottawa, a “Help Wanted” notice in the window of Corazon De Maiz restaurant — like those in storefronts across Canada — has gone mostly unanswered since the recent lifting of public health restrictions introduced 19 months ago to slow the spread of the coronavirus.

The end of Covid-19 lockdowns brought droves of customers to the capital city eatery, but with kitchen staffing levels down, the restaurant has been unable to meet the demand for burritos and tacos.

“We’re suddenly busier, but we’re having to close early because my wife and I are exhausted after working all day,” owner Eric Igari told AFP.

One new hire worked three hours and quit, saying the job was too hard for not enough pay, Igari said.

“We’ve asked friends to pitch in, and even a few regular customers offered to help,” Igari said. Two customers actually worked a few shifts.

NO ‘HO HO HO’

Studies by the government and industry associations found that up to two-thirds of Canadian businesses are facing worker shortages, and claim the deficit is limiting their growth.

The industries most affected are health care, food services, manufacturing and construction.

According to the latest from Statistics Canada, there were a total of 1,014,600 job vacancies in September, including 196,100 in food services and 131,200 in health care — double the numbers from two years ago.

Trevin Stratton, a partner at Deloitte Canada, said factors contributing to the shortfall include an aging population leaving the workforce and lower recent immigration due to travel restrictions — which Canada lifted in September.

Some sectors are adapting through the use of technologies such as increased automation in manufacturing, e-commerce in retail, or allowing staff to work from home.

But in others, “many workers might not necessarily yet feel comfortable working somewhere where their physical presence is required,” Stratton said.

This is particularly true in the restaurant industry, which also shed workers fed up with the cycle of lockdowns and re-openings throughout the pandemic. “They’re now looking for more stability,” Stratton said.

With Christmas just weeks away, the trend has also impacted the supply of Santa actors usually hired for photos with children on their knee at shopping malls or professional mixers.

Jeff Gilroy of Just Be Claus said he’s turned down 200 Santa gigs in Ontario. After large gatherings were banned last Christmas, he told AFP, “people are looking to have a Santa to make it a more festive Christmas.”

Catherine Lacasse of the Professional Santa Claus Agency of Quebec said her province has ample Santas, “but we’re struggling to find enough elves.”

NURSES’ BURNOUT

“In health care, we’ve seen an exodus, particularly of nurses this year,” Stratton said. “Some of that has to do with the stress of the job right now.”

Lachine hospital in Montreal was forced to close its emergency room at night due to a “critical shortage of nurses,” said spokeswoman Gilda Salomone.

Several others, she said, “are experiencing a major labor shortage that is limiting the quality and access to care.”

Observers have suggested simply raising salaries to lure workers.

But Jasmin Guenette of the Canadian Federation of Independent Business (CFIB), said this “isn’t an option for many small businesses still struggling to recoup pandemic losses.”

“We see things slowly getting back to normal, going out to restaurants, for example, and we think that means businesses are doing well. But that’s not the case. The impact of the pandemic was severe, and is still being felt,” he said.

According to a CFIB survey, the average small business in Canada racked up Can$170,000 (US$135,000) in debts over the pandemic. And an estimated 180,000 businesses, or one in six, are now “at risk of closing.”

Chez Mere-Grand restaurant in Montreal sought for 21 weeks to hire a cook and a barista. Its owner Romain Beiso explained that the hiring pool is smaller because many people now insist on a better work-life balance and job security found in other sectors.

“Our wages are not competitive because we cannot afford it,” he also acknowledged.

Over at Hotel Place d’Armes, manager Benoit Pretet worries about being short 25 staff going into the holiday season.

“The clientele is back,” he said, “but we can’t open all our rooms.”

amc-ast/caw/dw

© Agence France-Presse

Adblock test (Why?)



Source link

Continue Reading

Business

U.S. stock futures, oil rally as sentiment steadies – Reuters

Published

 on


A man wearing a protective face mask amid the coronavirus disease (COVID-19) outbreak, looks at an electronic board displaying Japan’s Nikkei Index outside a brokerage in Tokyo, Japan, September 24, 2021. REUTERS/Kim Kyung-Hoon

Register now for FREE unlimited access to reuters.com

  • <a href=”https://tmsnrt.rs/2zpUAr4″>Asian stock markets:</a>
  • U.S. stock futures bounce, bonds surrender some gains
  • Nikkei recoups early losses, sentiment stabilises
  • Omicron spreads, but markets hope effects will be mild
  • Oil rallies 5% after Friday’s plunge

SYDNEY, Nov 29 (Reuters) – U.S. stock futures led a market rebound on Monday as investors prepared to wait a few weeks to see if the Omicron coronavirus variant would really derail economic recoveries and the tightening plans of some central banks.

Oil prices bounced more than $3 a barrel to recoup a chunk of Friday’s shellacking, while safe haven bonds and the yen lost ground as markets latched onto hopes the new variant of concern would prove to be “mild”.

While Omicron was already as far afield as Canada and Australia, a South African doctor who had treated cases said symptoms of virus were so far mild. read more

Register now for FREE unlimited access to reuters.com

“Another key difference is there are far higher vaccination take up rates globally now compared with when Delta emerged,” said Craig James, chief economist at asset manager CommSec.

“What the news on Omicron does highlight is the need for central banks and governments to take a cautious approach to removal of economic support and stimulus.”

Trading was erratic on Monday but there were signs of stabilisation as S&P 500 futures added 1.0% and Nasdaq futures 1.2%. Both indices suffered their sharpest fall in months on Friday with travel and airline stocks hit hard.

EUROSTOXX 50 futures rallied 1.7%, while FTSE futures firmed 1.3%.

MSCI’s broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) eased 0.1%, but found support ahead of its 2021 low. Likewise, Japan’s Nikkei (.N225) recouped early losses to be almost unchanged.

Bonds gave back some of their hefty gains, with Treasury futures down 16 ticks. The market had rallied sharply as investors priced in the risk of a slower start to rate hikes from the U.S. Federal Reserve, and less tightening by some other central banks.

Two-year Treasury yields edged up to 0.56%, after falling 14 basis points on Friday in the biggest drop since March last year. Fed fund futures had pushed the first rate rise out by a month or so.

The shift in expectations undermined the U.S. dollar, to the benefit of the safe haven Japanese yen and Swiss franc.

On Monday the dollar had steadied somewhat at 113.71 yen , after sliding 1.7% on Friday. The dollar index held at 96.190, after Friday’s 0.7% drop.

The euro was struggling again at $1.1276 , following its rally from $1.1203 late last week.

European Central Bank President Christine Lagarde put a brave face on the latest virus scare, saying the euro zone was better equipped to face the economic impact of a new wave of COVID-19 infections or the Omicron variant. read more

The economic diary is also busy this week with China’s manufacturing PMIs on Tuesday to offer another update on the health of the Asian giant. The U.S. ISM survey of factories is out on Wednesday, ahead of payrolls on Friday.

Fed Chair Jerome Powell and Treasury Secretary Janet Yellen speak before Congress on Tuesday and Wednesday.

In commodity markets, oil prices bounced after suffering their largest one-day drop since April 2020 on Friday.

“The move all but guarantees the OPEC+ alliance will suspend its scheduled increase for January at its meeting on 2 December,” wrote analyst at ANZ in a note.

“Such headwinds are the reason it’s been only gradually raising output in recent months, despite demand rebounding strongly.”

Brent rebounded 4.8% to $76.20 a barrel, while U.S. crude rose 5.2% to $71.71.

Gold has so far found little in the way of safe haven demand, leaving it stuck at $1,791 an ounce .

Register now for FREE unlimited access to reuters.com

Reporting by Wayne Cole; Editing by Richard Pullin, Shri Navaratnam and Lincoln Feast.

Our Standards: The Thomson Reuters Trust Principles.

Adblock test (Why?)



Source link

Continue Reading

Trending