Noah Zivitz

Managing Editor, BNN Bloomberg

Archive

Calin Rovinescu is retiring as Air Canada’s CEO at one of the most difficult times in the company’s history. The announcement was made this morning, with Rovinescu’s deputy, Michael Rousseau, tapped to succeed him in mid-February. Perhaps it’s the ultimate sign of confidence in Rousseau that this transition is happening in midst of a global pandemic and with no end in sight to the travel restrictions that are pummeling the aviation industry. Today we’ll reflect on Rovinescu’s reign, look ahead to what awaits Rousseau, and gather reaction from the investment community.

POT SECTOR STUMBLES INTO CANNAVERSARY

Tomorrow will mark two years of legal recreational cannabis use in this country, and the sector is still struggling (failing?) to live up to the hype that inflated stock prices in the lead-up to that milestone. The Horizons Marijuana Life Sciences Index ETF (HMMJ) has plunged 43 per cent over the last year, and Aurora Cannabis has emerged as the poster child for industry woes in recent months, with its shares ranking as the second-worst performing stock (-83%) on the TSX this year. David George-Cosh will help explain what’s gone so wrong, and we’ll speak with Aurora’s new CEO at 10:10 a.m. ET

BRIDGING CANADIANS’ FINANCES

Among the key takeaways from this week is that Canadian households are finding ways to stay above water, but without much margin for error. On the one hand, Bank of Nova Scotia disclosed on Wednesday that 98 per cent of clients whose loan-payment deferrals had expired as of Aug. 31 were managing to stay current with their payments. On the other hand, an MNP survey showed nearly half of respondents claimed to be within $200 of insolvency. So this leaves us to wonder what happens on the other side of the six-month coordinated deferral program that the Big Six announced with great fanfare in mid-March. CTV's Cheif Financial Commentator Pattie Lovett-Reid will take a closer look at how important that decision has been in helping Canadians bridge their finances during the pandemic and what awaits consumers and the banks as the grace period winds down.    

OTHER NOTABLE STORIES

-Boeing shares are up more than two per cent in pre-market trading after some encouraging commentary from the head of Europe’s aviation regulator. Patrick Hy, executive director of the European Union Aviation Safety Agency, indicated to Bloomberg News that the 737 Max could be fit to fly before the end of this year. “The level of safety reached is high enough for us,” he said. 

-We’ll watch shares of BRP today after the company disclosed Bain Capital is selling 2 million subordinate shares in a bought deal arrangement with BMO at $75.45 apiece. The TSX-listed stock closed yesterday at $77.40. The share sale was upsized this morning after BRP originally indicated late yesterday that Bain would sell 1 million shares.

NOTABLE RELEASES/EVENTS

-Notable data: Canadian manufacturing sales, Canadian international securities transactions, U.S. retail sales

-Notable earnings: Schlumberger

-11:30 a.m. ET: Prime Minister Justin Trudeau holds media avail in Ottawa alongside Intergovernmental Affairs Minister Dominic LeBlanc, Chief Public Health Officer Theresa Tam, and Deputy Chief Public Health Officer Howard Njoo