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WestJet, Air Canada passengers baffled after travel partners compensated $1,000, but they got zilch – CBC News



Frederik van der Veen was confident he’d be compensated for his cancelled WestJet flight, which caused a 12-hour delay when flying home to Montreal from Puerto Vallarta, Mexico, in July.

After all, his wife and travel partner, Irma De La Luz Perez, had already applied for and received $1,000 compensation for the same flight. But, much to his surprise, WestJet rejected van der Veen’s claim, stating the flight disruption was “due to an operational issue” outside the airline’s control.

“[I’m] disappointed and kind of bewildered,” he said. “Why would they pay one and not the other if we’re on the same flight?”


CBC News interviewed three WestJet and two Air Canada passengers who, when they applied for compensation, were flatly denied — even though their travel partner received $1,000 for the same flight disruption. 

“The rules aren’t working,” said Air Canada passenger Dave Marrone.

Following a flight cancellation in August, Marrone’s wife and travel partner, Kielyn, got $1,000 compensation for what resulted in a 19-hour delay in their return trip from London to Sudbury, Ont.

But Air Canada rejected Marrone’s claim for the same flight, telling him the cancellation was either outside the airline’s control or safety-related. 

“It does seem like it’s a real grab bag of sort of how it’s applied, how it works and who gets compensated,” said Marrone, who lives just outside Espanola, Ont. 

Kielyn and Dave Marrone were delayed by 19 hours when flying home from a trip to the U.K. in August. When they applied to Air Canada for compensation, only Kielyn received $1,000. (Dave Marrone)

Under federal rules, airlines only have to pay compensation — up to $1,000 — if a flight delay or cancellation is within an airline’s control and not required for safety reasons. 

Following this spring and summer’s travel chaos which sparked numerous flight delays and cancellations, many passengers complained to CBC News that they were unjustly denied compensation. Since April, more than 19,000 air passengers have filed complaints with the Canadian Transportation Agency (CTA) related to flight disruptions, according to the agency.

The flood of complaints prompted Transport Minister Omar Alghabra to repeatedly warn carriers to play by the rules.

“Airlines must respect travellers’ rights and compensate travellers who are eligible,” he said during a transport committee hearing in August. 

Airlines respond

Both Air Canada and WestJet have repeatedly told CBC News they do abide by the air passenger regulations. 

About two hours after CBC News inquired about Marrone’s case, Air Canada informed him it had re-evaluated his claim and that he would receive $1,000 compensation.

In another case, Air Canada compensated passenger Bob Hays last week — four months after he complained about being denied compensation even though his fiance got $1,000 for the same 24-hour flight delay in June. 

“It was frustrating,” said Hays, who lives in Prince Rupert, B.C. “It’s almost comical, but it’s not comical that two people can be on the same flight and get different decisions.” 

In an email, Air Canada spokesperson Peter Fitzpatrick blamed both mismatches on “a processing error.”

WATCH | Airlines launch legal battle over customer compensation decisions: 

Air Canada, WestJet fighting customer compensation decisions

15 days ago

Duration 2:12

Both WestJet and Air Canada launch legal battles to appeal recent decisions ordering them to compensate passengers. Experts say if the airlines are successful, it could impact other claims.

WestJet said it had erred in the cases of all three passengers CBC News interviewed, but that in two cases, including van der Veen’s, the airline had paid out $1,000 to the passengers’ travel partners by mistake.

“We apologize for the confusion and understand the frustration any discrepancies may have caused,” said spokesperson Madison Kruger in an email. 

That means van der Veen won’t be getting any cash. However, he still believes he’s owed compensation, because WestJet never provided details about the “operational issue” beyond its control that caused his flight cancellation.

“What are they talking about?” said van der Veen. “It’s a bit of a gong show.”

Paul Stephenson and Lisa head were both delayed 18 hours when flying home from London. When they applied to Air Canada for compensation, only Head received $1,000. (Paul Stephenson)

Following CBC News’ inquiry this week, one WestJet passenger did get $1,000 compensation: Paul Stephenson of Salt Spring Island, B.C. Previously, only his travel partner, Lisa Head, was compensated for the 19-hour delay they endured when flying from London to Victoria in January.

In March, WestJet told Stephenson he didn’t qualify for compensation because his flight disruption had been impacted by weather. Then in April, after he pointed out that his partner got compensation for the same flight, WestJet rejected Stephenson’s claim again and said the case was closed. 

“It’s pretty poor customer service,” he said. “The Canadian Transportation Agency needs to come down a lot harder on airlines and enforce the regulations regarding compensation.”

WestJet hit with fines

In September, the CTA — Canada’s transport regulator — doled out its first fines to an airline for violating the compensation regulations. The recipient, WestJet, was fined for 55 violations in January for failing to provide compensation or an explanation why compensation was denied within 30 days of a passengers’ claim. 

The 55 fines ($200 each) totalled $11,000. Former Air Canada executive John Gradek argues that’s not enough of a deterrent for a major airline. 

“It’s really just a token slap on the wrist to basically say, ‘You naughty boys — or girls,'” said Gradek, a lecturer and program co-ordinator for the aviation management program at McGill University.

He said the CTA should look to the U.S. Department of Transportation, which this week announced it is assessing more than $7.25 million US in penalties against six airlines for “extreme delays” in providing flight refunds.

“You’ve got to get the airlines’ attention,” said Gradek. “The U.S. Department of Transportation now is saying, ‘OK, we’re playing hardball.'”

WestJet did not comment on the fines.

The CTA said that if the airline commits the same violation again within the next four years, it will face steeper penalties. The agency added that, when it comes to consumer protection, its main focus is resolving passenger complaints to help them get what they’re entitled to. 

Van der Veen has filed a complaint with the CTA and is hoping he’ll finally get the compensation he feels he’s owed. 

According to the new air passenger regulations, the amount of compensation for a flight disruption will be based on the amount of time that a traveller is delayed before reaching their final destination. (CBC)

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India’s Adani firms lose $65bn in value – Al Jazeera English



Most Adani Group shares fell sharply on Monday as the Indian conglomerate’s rebuttal of a US short seller’s criticism failed to pacify investors, deepening a market rout that has now led to losses of $65bn in the group’s stock values.

Led by Asia’s richest man Gautam Adani, the Indian group has locked horns with Hindenburg Research and on Sunday hit back at the short seller’s report of last week that flagged concerns about its debt levels and the use of tax havens.

Adani said it complied with all local laws and had made the necessary regulatory disclosures.


Adani Transmission, Adani Total Gas, Adani Green Energy, Adani Power and Adani Wilmar fell between 5 percent and 20 percent on Monday.

Flagship Adani Enterprises, which is facing a crucial test this week with a follow-on share offering, swung between gains and losses before settling 4.8 percent higher. It stayed well below the offer price of the issue, which if successful will be the largest such share offering ever in India.

Adani Enterprises’ $2.5bn secondary share sale closed its second day amid weak investor sentiment. The stock closed at 2,892.85 rupees ($35.47), 7 percent below the 3,112 rupees ($38.17) lower end of the offer price band. The upper band is 3,276 rupees ($40.17).

Data from stock exchanges on Monday showed Adani has now received bids for 1.4 million shares, or just over 3 percent, of the 45.5 million shares on offer. The deal closes on Tuesday.

Foreign and domestic institutional investors, as well as mutual funds, have made no bids so far, according to the data.

“Retail participation is likely to have a shortfall with current market prices still trailing the offer price and sentiment taking a hit due to the Hindenburg controversy,” said Hemang Jani, equity strategist at Motilal Oswal Financial Services.

“While there is a risk that the share sale does not go through, it will be crucial today to wait and see how institutional investors participate.”

Abu Dhabi conglomerate International Holding Company said on Monday that it would invest 1.4 billion dirhams ($381.17m) in the offering.

Share sale on schedule

The Adani Group told Reuters in a statement on Saturday that the sale remained on schedule at the planned issue price, even as sources said bankers of the country’s largest secondary share sale were considering extending the timeline beyond January 31, or tweaking the price due to the fall in its share price.

India’s rules stipulate that the share offering must receive a minimum subscription of 90 percent, and if it does not, the issuer must refund the entire amount. Maybank Securities and Abu Dhabi Investment Authority are among investors who bid for the anchor portion of the issue.

Maybank said in a statement that “there is no financial impact” on it as the subscription to Adani’s offer was fully funded by client funds.

India’s state-run insurance behemoth Life Insurance Corporation (LIC) told Reuters on Monday that it was reviewing the Adani Group’s response to Hindenburg’s report and would hold talks with the management within days.

LIC took 5 percent of the $734m anchor portion. It already holds a 4.23 percent stake in the flagship Adani firm, while its other exposures include a 9.14 percent stake in Adani Ports and 5.96 percent in Adani Total Gas.

“Since we are a large investor we have the right to ask relevant questions,” LIC Managing Director Raj Kumar said.

Trading lower

US dollar-denominated bonds issued by Adani Ports and Special Economic Zone continued their fall into a second week, with the bond maturing in August 2027 down 5 cents to 73.03 cents, the lowest since June 2020. Other dollar-denominated bonds of the group were also trading lower.

Index provider MSCI has said it was seeking feedback from market participants on Adani and was monitoring the factors that “may impact the eligibility of those relevant securities” in MSCI indexes.

In its response on Sunday, Adani highlighted its relationships with local and international banks and its access to diverse funding sources and structures, listing US banks Citigroup and JPMorgan Chase & Co, as well as other lenders including BNP Paribas, Credit Suisse, Deutsche Bank, Barclays and Standard Chartered.

The stock market meltdown is a dramatic setback for 60-year-old Adani. The school dropout’s stunning rise came with over 1,500 percent gains in some of his group stocks over three years, making him the world’s third-richest man before he slipped to rank eighth on the Forbes list on Monday.

Responding to Adani’s rebuttal, Hindenburg said the company’s “response largely confirmed our findings and ignored our key questions”.

Hindenburg in its report said Adani companies had “substantial debt” and that shares in seven Adani-listed companies have an 85 percent downside due to what it called “sky-high valuations”.

Adani’s response stated that over the past decade, its group companies have “consistently de-levered”.

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Ford to cut prices of Mustang Mach-E, following Tesla's lead – Reuters




Jan 30 (Reuters) – Ford Motor Co (F.N) on Monday cut prices of its electric crossover SUV Mustang Mach-E by as much as $5,900 per vehicle, weeks after rival Tesla Inc (TSLA.O) slashed prices globally on its electric vehicles by as much as 20%.

Shares of Ford closed down 2.9% in above average trading to $12.89. Tesla fell 6.3%.

The move comes as electric vehicle manufacturers are feeling pressure from Tesla’s price cut to respond.

“Ford just cut Mustang EV prices in response to Tesla’s price cut. Mini price war about to begin with EVs in the US with Tesla’s shot across the bow on price cuts,” said Dan Ives, an analyst at Wedbush Securities, on Twitter.

The move will make at least one additional version of the Mach-E again eligible for a $7,500 federal tax credit, which requires the Ford EV to have a suggested retail price of no more than $55,000 to be eligible.

Ford had already planned to increase Mach-E production this year at its plant in Mexico to 130,000 vehicles from 78,000 in 2022, and said in November it was accelerating Mustang Mach-E production and targeting global annual production rate of 270,000 by the end of 2023 including its China production.

Ford builds the Mach-E in Mexico and China.

“Tesla’s price cut was a major blow to the prospects of competing EV models and the Mustang Mach-E directly competes with Tesla’s Model Y,” said Garrett Nelson, an analyst at CFRA Research.

Ford is cutting prices by up to 8% on various versions of the Mach-E, as well as cutting the price of the extended range battery by about 19%. The lowest-price models are getting smaller $600 to $900 price cuts. The Ford price cuts only impact North American prices.

Ford Chief Executive Jim Farley said on Twitter, “scaling will shorten customer wait times. And with higher production, we’re reducing costs, which allows us to share these savings with customers.”

Ford sold 39,458 Mach-Es in the United States last year, up from 27,140 in 2021.

General Motors (GM.N) said Monday it had no plans to adjust prices in response to others. The Detroit automaker in June cut prices on the Bolt by around $6,000 and by as much as 18% for the lowest-price version and earlier this month the vehicle became eligible for the $7,500 federal tax credit.

Ford said existing Mustang Mach-E customers awaiting delivery of vehicles will automatically receive the price cut.

Reporting by David Shepardson in Washington, Joseph White in Detroit and Aishwarya Nair and Nathan Gomes in Bengaluru; Editing by Krishna Chandra Eluri, Nick Zieminski and Christian Schmollinger

Our Standards: The Thomson Reuters Trust Principles.

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Nike sues Lululemon for infringement of footwear patents –



Nike Inc. sued Lululemon Athletica Inc. on Monday, saying that at least four of the Canadian athletic apparel company’s footwear products infringe its patents.

In a complaint filed in the U.S. federal court in Manhattan, New York, Nike said it has suffered economic harm and irreparable injury from Lululemon’s sale of its Blissfeel, Chargefeel Low, Chargefeel Mid and Strongfeel footwear.

Nike, based in Beaverton, Ore., said the three patents at issue concern textile and other elements, including one addressing how the footwear will perform when force is applied.


Nike is seeking unspecified damages. 

Lululemon, based in Vancouver, did not immediately respond to requests for comment.

This wasn’t the first time Nike has sued Lululemon for patent infringement — on Jan. 5, 2022, it accused the athleisure brand of making and selling the Mirror Home Gym and related mobile apps without authorization.

Nike accused its smaller rival of infringing six patents, including technology that enables users to target specific levels of exertion, compete with other users and record their own performance.

Nike has sought triple damages for Lululemon’s alleged willful infringement and a variety of other remedies regarding the Mirror Home Gym and related mobile apps.

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