Noah Zivitz

Managing Editor, BNN Bloomberg

Archive

TRANSAT-AIR CANADA TAKEOVER TALKS

It’s been two weeks since Transat A.T. announced it was in talks with multiple parties about a potential takeover. This morning, it announced it’s in exclusive negotiations with Air Canada about an acquisition that could be worth $520 million for $13 per share. The news is breaking and we’re chasing reaction.

TRUMP AIMS TO FREEZE OUT HUAWEI 

The Trump administration is aiming to freeze out Huawei by forcing American companies to seek a licence before selling technology to the China telecommunications behemoth. “This could potentially lead to Huawei’s destruction,” according to one policy expert who spoke with our Bloomberg partners. Combined with the executive order that would ban purchases of gear from telecom companies that are deemed to be a security threat, the walls are closing in. And the consequences for trade negotiations can’t be ignored. Of course we’ll keep in mind Canada is deeply involved in this file.  

OIL TANKER BAN IN PERIL

The Senate Transport and Communications Committee has dealt the government a major setback, defeating the proposed ban on certain oil tanker traffic under Bill C-48. The legislation will soon go back to the full Senate for a vote on the committee’s recommendation. Alberta Premier Jason Kenney cheered the news via tweet, and I suspect ex-Saskatchewan Premier Brad Wall will have an opinion on this when we speak with him later today about his new gig in the real estate industry.

RISKS IN THE FINANCIAL SYSTEM

The Bank of Canada releases its deep dive on the stability of this country’s financial system later this morning, to be followed by a news conference in Ottawa. The report will include a detailed analysis of housing issues, and we’re looking forward to Amanda Lang’s feature interview with Governor Stephen Poloz. Watch for it tomorrow on Bloomberg Markets.

TRUDEAU WARNS ON TECH

The Prime Minister cut straight to the point today. “What we’re seeing now is a digital sphere that’s turned into the Wild West,” Justin Trudeau said at the Viva Tech conference in Paris as he announced the government is launching a “digital charter” that will help guide the development of new policies. It’s light on specifics at this point, but it’s another reminder of the increasing scrutiny facing Big Tech. Should be noted that Trudeau pointedly said the blame can’t fall “on people like Mark Zuckerberg.” We’ll chase reaction.

FENDING OFF ACTIVISTS

We’ll get unique insight on board-level strategies for managing the threat of activist campaigns this morning on The Open. Walied Soliman, Norton Rose Fulbright’s Global Chair, will join Jon to discuss trends (including some recent truces) and tactics when shareholders agitate for change.

CONRAD BLACK PARDONED

The former media baron and author whose works include "Donald J. Trump, A President Like No Other," has been granted a full pardon by the American president more than a decade after his trial in Chicago and three years spent in prison on fraud and obstruction of justice charges. "It was nonsense, all of it," Black said about his legal fight in a lengthy statement last night that recounts his conversation with Trump ("Is that the great Lord Black?," he recalls the president saying after initially wondering if he was being pranked). We'll chase Black and some other principals involved in the legal saga. 

OTHER NOTABLE STORIES

-Walmart shares are inching up in pre-market trading after reporting a first-quarter profit ahead of estimates on US$123.9 billion in revenue. In prepared remarks, CFO Brett Biggs said Walmart is  “monitoring the tariff discussions and are hopeful that an agreement can be reached.”

-13F season has revealed Warren Buffett’s Berkshire Hathaway held 483,300 Amazon.com shares as of the end of March. At current market prices, that stake is worth US$904 million.

-Seymour Schulich announced late yesterday he raised his stake in Pengrowth Energy to 29.7 per cent.

NOTABLE RELEASES/EVENTS

-Notable earnings: Walmart, Nvidia, Pinterest

-Notable data: Canadian manufacturing sales, Canadian international securities transactions, U.S. housing starts and building permits

-10:00 a.m. ET: Parliamentary Budget Officer releases report “Costs Associated with Replacing the Federal Pay System”

-10:30 a.m. ET: Bank of Canada releases Financial System Review (plus news conference at 11:15 a.m. ET)

-12:00 p.m. ET: Conservative Party of Canada Leader Andrew Scheer delivers keynote at Economic Club in Toronto

-2:30 p.m. ET: Finance Minister Bill Morneau holds media avail in Toronto after touring Ryerson University's Centre for Urban Innovation​

-Provincial election in Newfoundland and Labrador

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.