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Mar 12, 2019

Air Canada shares decline as airline cancels two London flights amid Boeing ban

Should Boeing 737 Max planes be grounded globally?

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Air Canada was forced to cancel two London flights after aviation regulators in Europe suspended Boeing Co.’s 737 Max following the crash of an Ethiopian Airlines plane killed 157 on board. Shares of Air Canada and WestJet Airlines Ltd. declined.

The two London flights were from Halifax, Nova Scotia and from St. John’s, Newfoundland, a spokesman for the Montreal-based airline said in an email. Air Canada said it remains confident in the fleet’s safety.

The cancellations show the crisis over the 737 Max is deepening, with some carriers and aviation authorities around the world suspending flights of the new jet after two crashes in less then five months.

WestJet and Air Canada shares fell Tuesday as Canada’s government said it’s considering all options on the operation of the 737 Max planes. WestJet fell 1.9 per cent to $20.19 at 1:54 p.m. in Toronto. Air Canada dropped 2.7 per cent to $32.46.

Transport Minister Marc Garneau said the government is considering options on Boeing ahead of a meeting with the country’s aviation panel.

“I’ve canceled all my meetings and public events today in order to meet with my Civil Aviation Expert Panel,” Garneau tweeted. “All evidence is being evaluated in real time and we’re considering all potential actions.”

Calgary-based WestJet operates 13 Max 8 jets, while Air Canada has 24 of them, according to company data.