Noah Zivitz

Managing Editor, BNN Bloomberg

Archive

Aurora Cannabis’s sweeping reset isn’t going over well with investors as the pot producer’s stock sinks in pre-market trading. To recap: co-founder Terry Booth has been replaced as CEO, the job cuts that BNN Bloomberg was first to report became reality (to the tune of 500 positions), up to $1 billion in writedowns are on tap in the second quarter, covenants have been renegotiated with the company’s bankers, net cannabis revenue fell substantially on a sequential basis in the company’s latest quarter, and it’s warning of “little to no growth” in its fiscal third quarter.  And in the spirit of its pursuit for profitability, Aurora is also vowing to “restructure” spending on items like marketing, travel, and entertainment. David George-Cosh will discuss the motivation for yesterday’s news and the signal it sends to Bay Street.

JOBS BLOWOUT 

Job growth in Canada nearly doubled Bay Street's expectation in January as 34,500 new positions were created last month. All of it was full-time. Once again, the gains were concentrated in Ontario and Quebec, while Alberta saw substantial job losses (-18,900). The overall growth helped push down Canada's unemployment rate and it all added up to wage growth above four per cent.

ALPHABET CFO ON PRIVACY, ANTITRUST, AND MORE

As promised in this space yesterday, we have Amanda Lang’s full interview with Ruth Porat today. The chief financial officer of Google and its parent company speaks out on privacy concerns and ever-present antitrust threats. On the latter, Porat said it’s Google/Alphabet’s scale that allows it to make major investments such as yesterday’s announcement about a significant expansion in Canada. Watch for that conversation today in Bloomberg Markets.

CORONAVIRUS HITS GOOSE

Canada Goose warned today the coronavirus outbreak is having a “material negative impact”, with revenue hits to business in Greater China and major travel hubs in North America and Europe. As such, the parka maker is now forecasting little-to-no profit growth this year. Its shares are falling in early trading. And it’s not the only pricey retailer warning of the virus’s impact, Burberry Plc is in the same boat with a similar message to investors who’ve sent its stock down as much as 4.8 per cent in London.

IN CONVERSATION WITH JASON KENNEY

Alberta’s premier joins Anita in The Real Economy today live from Washington, D.C., where he’s doing the rounds alongside a couple other Canadian premiers. We look forward to getting his perspective on the mood on Capitol Hill and his expectations for our federal government’s upcoming decision on Teck Resources’ Frontier oil sands mine.

OTHER NOTABLE STORIES

-Uber Technologies shares are rallying in pre-market trading after a broadly in line fourth quarter and CEO Dara Khosrowshahi’s clearly-stated push for profitability, including a new target for actual (adjusted) earnings in the fourth quarter of this year.  

-Fodder from the streaming wars: The Wall Street Journal is reporting Warner Bros. is in talks to reunite the cast of Friends for a special that would help launch HBO Max. According to the story, the show’s stars would be paid upward of US$2.5 million each for their appearance.

NOTABLE RELEASES/EVENTS

-Notable earnings: Canada Goose, Cameco, CAE

-Notable data: Canadian labour force survey, U.S. non-farm payrolls

-Ontario premier Doug Ford begins trade mission to Washington, D.C.

-Deputy Prime Minister Chrystia Freeland in D.C. (meetings with Maryland governor Larry Hogan, U.S. Trade Representative Robert Lighthizer, and media avail at 5:30 p.m. ET)

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.