Air Canada earnings fall under weight of Boeing 737 Max grounding

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Air Canada's shares hit an all-time high Tuesday even though its earnings fell slightly below expectations last quarter as the grounding of the Boeing 737 Max continues to weigh down the country's largest airline.

The shares gained about five per cent or $2.30 at $48.02 in late-morning trading on the Toronto Stock Exchange.

"The removal of 36 737 Max aircraft, or about 24 per cent of our narrow-body fleet, from our schedule during our peak summer season exacted a toll," he said on a conference call with analysts Tuesday. "This is a process that will indeed be gradual. This is not an overnight process," Rovinescu said, noting it could be up to a year after the airspace ban is scrapped before all 50 Max jetliners are in operation.

Doug Taylor, an analyst with Canaccord Genuity, highlighted how "the company has been able to effectively pass the added costs through to customers."

 

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Maybe it's their new 'political correctness' (ie BS) policy of not saying 'Ladies and Gentlemen' any more

Here comes a liberals corporation bail out with tax dollars... But vets and homeless are asking too much.

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