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WestJet sets sights on low-cost leisure with purchase of 42 more airplanes

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WestJet is making a substantial addition to its fleet with the purchase of 42 aircraft as the airline plans to expand its low-cost offerings, with plans to add routes to sun destinations from cities across Canada.

The Calgary-based airline announced the agreement with Boeing for the purchase of the 737-10 MAX planes on Thursday.

The purchase, which was on top of an existing order of 23 aircraft, includes the option to add 22 more planes depending on demand.

The purchase is a part of the airline’s plan to expand its low-cost offerings and offer sun and leisure flying across Canada, said WestJet Group’s chief executive officer, Alexis von Hoensbroech.

Earlier this month, WestJet said in a press release that it would be suspending several routes to Atlantic Canada, including flights between Halifax and Montreal, as of Oct. 28. Spring flight schedules are not yet available.

WestJet chief commercial officer John Weatherill said the decision was difficult but will help in the long run, as the airline shifts more of its eastern routes to sun and leisure destinations.

However, he said WestJet is not stopping Atlantic flights completely; instead, von Hoensbroech said the airline plans to ramp up its cross-country flights and flights from the East to leisure destinations including the Southern U.S. and the Caribbean.

“What we will do less, is flying within the East,” said von Hoensbroech. “So flights between Montreal and Toronto will decrease but Montreal to Cancun will increase.”

“We are a low-cost carrier and we want to improve our low-cost positioning,” said von Hoensbroech.

Supporting this move is the pending Sunwing acquisition, given Sunwing’s focus of servicing Eastern Canada’s leisure market, said WestJet’s chief executive officer.

Brought with the incoming aircraft is the need for more cabin crew, ground handlers and pilots,  a challenge recognized by WestJet’s chief executive officer, as staffing levels have been an industry-wide problem after the return of domestic and international travel.

While some roles are more challenging to fill, von Hoensbroech said that he is confident WestJet will find enough staff for the expansion and said it will create hundreds and thousands of additional job and career opportunities within WestJet.

“If you’re a pilot and you are joining an airline that is growing, this will give you a faster track to become a captain than if you are joining an airline that is not growing as fast as we do,” said von Hoensbroech.

WestJet says the Boeing 737-10 MAX provides the lowest cost per seat among mid-range aircraft and is part of the airline’s plan to offer more affordable flights.

The order will start delivering at the end of 2024 through to 2028, expanding the fleet by 65 aircraft over six years.

WestJet wouldn’t yet say whether the 42 additional aircraft will service WestJet alone or if they will also fly under Swoop, the airline’s ultra-low-cost carrier.

This report by The Canadian Press was first published Sept. 29, 2022.

Caitlin Yardley, The Canadian Press

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Cost of living: Pepsi and Coca-Cola absent in meeting with federal industry minister

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Innovation, Science and Industry Minister Francois-Philippe Champagne speaks to reporters in the foyer of the House of Commons on Parliament Hill in Ottawa on Tuesday, Sept. 19, 2023. Canada’s industry minister made a point of calling out Pepsi and Coca-Cola for not sending representatives to a meeting he convened on Monday with manufacturing companies to discuss stabilizing grocery prices. THE CANADIAN PRESS/Sean Kilpatrick

 

Canada’s industry minister made a point of calling out Pepsi and Coca-Cola for not sending representatives to a meeting he convened on Monday with manufacturing companies to discuss stabilizing grocery prices.

François-Philippe Champagne singled out the two companies when asked by a journalist what the consequences would be if major industry players did not succeed in stopping high inflation.

“This morning, (their CEOs) did not attend the meeting,” Champagne said of beverage giants Pepsi and Coca-Cola.

“I intend to call on them and I will continue to do so. … I don’t stop,” he told reporters.

The Canadian leaders of seven international manufacturing companies, including Nestlé and Kraft Heinz, met with Champagne.

He summoned them to answer to Prime Minister Justin Trudeau’s call earlier this month for Canadian grocers to come up with a plan to stabilize prices by Thanksgiving.

If major grocers fail to deliver ideas, Champagne said, “the consequence is for all 40 million Canadians because we will be able to see who is taking action and who is not.”

A government source told The Canadian Press that the CEOs of Pepsi and Coca-Cola responded to the federal government summons by stating they were not available Monday. The source was granted anonymity because they were not allowed to speak publicly about the matter.

It’s unclear, however, whether another meeting between major food companies and the government will take place.

Monday’s meeting brought together top Canadian executives from McCain, Unilever, Nestlé, Lactalis, Lassonde, Kraft Heinz, and Smucker Foods.

All avoided speaking with journalists. The CEO of the Food, Health & Consumer Products of Canada association, Michael Graydon, attended the meeting and agreed to answer questions on their behalf.

Graydon called the meeting “very productive.”

”We’re very much about co-operation and support, collaboration,” he said. “It’s an industry that needs to align and work collectively to find a solution.”

He said manufacturers want to collaborate with other players in the supply chain, such as major retailers like Loblaw and Costco, whose leaders Champagne met with one week earlier.

In a statement, Pepsi said it is open to meeting with Champagne.

“We are pleased that our industry association, FHCP, led a productive conversation with the government and representatives from industry today,” it said.

“We were not able to attend today’s meeting, but we offered to meet with the minister. We are committed to collaborating with the government to identify solutions during this challenging time for Canadians.”

Trudeau has said that if the government isn’t satisfied with what major grocers come up with to stabilize prices, he would intervene, including with tax measures.

Graydon said it remains to be seen how detailed the plans will be by the government’s Thanksgiving deadline.

”We’ll have to see whether, you know, the detail of how much completeness can be done by that time. But I think everybody’s working very hard to achieve that,” Graydon said.

Champagne said he is happy Graydon “wants to do something,” because “it’s a gain for Canadians.”

“It’s clear that what’s important is that we have timelines, work plans, and obviously concrete actions,” the minister said.

This report by The Canadian Press was first published Sept. 25, 2023.

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Moneris confirms credit and debit card processing outage, but offers few details

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Toronto

The Canadian payment processing firm Moneris confirmed Saturday that credit and debit card transactions were interrupted by a network outage earlier in the day.

The Toronto-based technology company issued a statement saying there was nothing to suggest the outage was related to a cyber attack.

Complaints about outages started rolling in to the Downdetector.ca website before noon eastern time, but Moneris did not say when the outage started.

About three hours later, Moneris posted a message on X — the  social media site formerly known as Twitter — saying it had resolved the network problem.

It remains unclear how many businesses and transactions were affected, but data provided by Downdetector.ca indicated complaints had come in from across the country.

In a statement provided to The Canadian Press, the company said the outage lasted about 90 minutes.

“We have resolved the network outage and returned transaction processing to normal,” the statement said. “We continue to investigate the root cause of the issue. There are no indications this appears to be cyber-attack related and all transaction systems are functioning normally again.”

The company, a joint venture between  Royal Bank and BMO Bank of Montreal, said transaction processing could be slow as its systems catch up with the backlog.

Moneris says it supports more than 325,000 merchant locations across Canada.

This report by The Canadian Press was first published Sept. 23, 2024.

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