Noah Zivitz

Managing Editor, BNN Bloomberg

Archive

Air Canada’s CEO is touting his company’s resilience in the face of “the serious disruption” caused by the grounding of Boeing’s 737 Max jets. Calin Rovinescu today said it’s been “extremely challenging” dealing with the fallout – which he says is holding back Air Canada from achieving its “full potential”. Nonetheless, his airline is standing by its full-year forecasts after a mixed third quarter (despite missing on some key metrics, Baskin Wealth Management’s Barry Schwartz this morning told us “I’m an idiot for not owning this stock.”) Paige Ellis will dig into the results, and Rovinescu’s commentary will help set the stage for hotly anticipated testimony today by Boeing CEO Dennis Muilenburg.

MEANWHILE, WESTJET…

We spoke to WestJet CEO Ed Sims this morning; his airline just reported a 70 per cent surge in third-quarter profit as it works toward closing the pending privatization by Onex. WestJet isn’t holding a standard quarterly conference call with analysts today in light of its go-private deal, so our conversation with Sims was a unique opportunity to get his perspective on the quarter, Max groundings (Sims said he'd grade Boeing's handling of the crisis no higher than a B) and industry trends. If you missed the interview, watch it online at BNNBloomberg.ca.

CANFOR BACKS PATTISON OFFER

Jim Pattison’s Great Pacific Capital has won Canfor’s support for the $16-per-share privatization offer that was unveiled on Aug. 11.  The special committee that was tasked with evaluating the bid is pointing to a lack of alternatives and “ongoing industry headwinds” as reasons to accept the offer. Now the question is whether minority shareholders will agree. We’ll chase reaction.

EDIBLES PREVIEW

BNN Bloomberg's David George-Cosh is in Canopy Growth's hometown of Smiths Falls, Ont. for a sneak peek at what the big pot maker has up its sleeve for the launch of edibles later this year. Watch for his reporting starting on Commodities at 11 a.m. ET.

OTHER NOTABLE STORIES

-Hexo is back on our radar this morning after the pot producer’s fourth-quarter net loss ballooned to $56.7 million while taking a $16.9-million impairment on its inventory.

-Shopify shares are sagging in pre-market trading after the Canadian tech darling unexpectedly swung to an adjusted loss in the third quarter (albeit while raising its full-year revenue and operating income forecasts). We’ll speak with COO Harley Finkelstein tomorrow morning.

-Canada Jetlines has postponed its launch and is laying off staff after losing a pair of financial backers. It says prospective investors are being scared off by the potential for a “very aggressive” response by incumbent airlines.  

-Beyond Meat shares are tumbling in pre-market trading as 250 per cent third-quarter revenue growth and an upgrade to its full-year outlook get overshadowed by the end of a lockup that had prevented early investors from cashing out.

-General Motors has slashed its full-year profit forecast due to the just-ended strike by workers in the U.S., which punched a US$1-billion hole in the company’s third-quarter earnings. Despite setbacks from the walkout, GM shares are rising in pre-market trading after Q3 adjusted profit exceeded estimates.

NOTABLE RELEASES/EVENTS

-Notable earnings: Shopify, Air Canada, WestJet, Genworth MI Canada, General Motors, Merck, Pfizer, ConocoPhillips, Kellogg, Mattel, Mondelez, AMD, Mastercard

-10:00 a.m. ET: Boeing CEO Dennis Muilenburg testifies before U.S. Senate Commerce Committee

-1:00 p.m. ET: Alberta Premier Jason Kenney delivers State of the Province address in Edmonton

Every morning BNN Bloomberg's Managing Editor Noah Zivitz writes a ‘chase note’ to BNN Bloomberg's editorial staff listing the stories and events that will be in the spotlight that day. Have it delivered to your inbox before the trading day begins by heading to www.bnnbloomberg.ca/subscribe.