AirCanada News / Jazz News / Rouge News

[dagger]

Well, pilot shortage or not, the fleet is expanding... again. I don;t see a retirement of aircraft associated with this addition of eight 737-8s. Note the word MAX has disappeared.

 

https://www.newswire.ca/news-releases/air-canada-to-receive-eight-boeing-737-8-aircraft-869135534.html

[FA@AC]

Does anyone have any snippets as to what AC is proposing to ALPA where Rouge is concerned?  The 319s are old, and I wonder if AC wants agreement from ALPA to send 737s over.

[Malcolm]

Air Canada to get eight Boeing 737 MAX jets from lessor BOC Aviation

 

(Reuters) - Air Canada said on Tuesday that it has agreed to receive eight Boeing 737 MAX 8 jets from lessor BOC Aviation.

The jets are scheduled for delivery in 2024 and will undergo required modifications before entering service next year.

The deal comes at a time when travel demand has remained robust across both domestic and international routes.

All eight aircraft, to be powered by CFM LEAP-1B engines, will initially operate with a single economy class layout until they are reconfigured.

(Reporting by Nathan Gomes in Bengaluru; Editing by Shailesh Kuber)

 

Related video: Boeing Buys Back 737 Max Supplier Spirit

[Turbofan]

On 7/2/2024 at 8:11 AM, dagger said:

Well, pilot shortage or not, the fleet is expanding... again. I don;t see a retirement of aircraft associated with this addition of eight 737-8s. Note the word MAX has disappeared.

 

https://www.newswire.ca/news-releases/air-canada-to-receive-eight-boeing-737-8-aircraft-869135534.html

I think this is just keeping up. A substantial portion of the A220 fleet is grounded due to the Pratt engine issues.  Although AC doesn’t have 320’s with the geared Pratt, 320 NEO’s with that engine order are also parked around the globe.

Some of these aircraft are to be so hastily put into service that they will be Lynx’s full economy configuration.

AC has been grabbing used 320’s on the market for the same reason.  We already have about three, maybe four, different configurations of 320 out there.  No J class to speak of.  No entertainment.  No WIFI.  Ex Air China and Virgin America interiors 

[Turbofan]

On 7/2/2024 at 8:38 AM, FA@AC said:

Does anyone have any snippets as to what AC is proposing to ALPA where Rouge is concerned?  The 319s are old, and I wonder if AC wants agreement from ALPA to send 737s over.

ALPA’s position is a single contract for everyone.  No more segregation.  They can paint anything whatever they choose.  It’s their airline to run.

The new flight duty time legislation erased the advantage of Rouge pilots working to CARS.  Even today Rouge runs under mainline wages and work rules because the Rouge WAWCON simply wouldn’t work.  Reserve isn’t an option.  It’s a must.

If you have access to the Pilots CBA.  Ask to see the Rouge start up MOA.  It’s on the IPAD.

Hear is a couple of lines.

AND WHEREAS the Company is investigating allowing Pilots to operate Mainline and ACrouge aircraft under a common Position when both Mainline and ACrouge operate the same aircraft type (“Common Aircraft”) (commonly known as “Left/Right down the jetway”);

c) No new aircraft type or variant may be added or operated under the ACrouge Operating Certificate without prior agreement

They could paint half the 737 fleet Rouge.  No one cares so long as it is one contract and one group.

How this would impact other groups I have no idea.

 

 

[FA@AC]

Thanks for the info, Turbofan.  Was curious since wages and work rules at Rouge for FAs are far inferior to those at mainline.   Our own contract currently permits Rouge to operate only the 319-320-321 and 767.

[deicer]

https://www.bnnbloomberg.ca/business/2024/07/16/air-canada-hit-by-court-ruling-after-ex-maintenance-workers-sue/

Air Canada hit by court ruling after ex-maintenance workers sue

(Bloomberg) -- Air Canada may be forced to pay at least $100 million (US$73.2 million) to about 2,200 former workers after a Quebec court issued a ruling in their class-action lawsuit against the airline.

The amount would cover lost wages, lost benefits, and moral damages related to the closure of Aveos, the carrier’s former maintenance contractor. Judge Marie-Christine Hivon released her decision on the calculation of damages this week.

The plaintiffs, the majority of whom are in Montreal, were Aveos employees when it locked out workers and ceased operations in 2012. They argued that Air Canada violated a federal law that had required the airline to maintain those maintenance operations where they were located.

Hivon first ruled in the plaintiffs’ favour in November 2022. Air Canada has said it plans to appeal that judgment, but an appellate court judge delayed the matter until the damages phase of the original trial was completed.

Based on initial calculations, the minimum the airline would be forced to pay is around $100 million, according to lawyers for the former workers.

But the airline said it’s too early to attach a dollar figure to the case. The claims process will take place on a case-by-case basis.

“We have appealed the first part of the judgment on the principle of liability. We are considering whether to add points to the second judgment, which will not apply anyway if our appeal in the first part is successful,” Air Canada spokesperson Christophe Hennebelle said by email.

“The judgment merely sets out a calculation method and then calls for individual proof for each member. It is completely silent on the quantification of the total amount. Any assessment at this stage is therefore pure speculation.”

[conehead]

8 hours ago, deicer said:

https://www.bnnbloomberg.ca/business/2024/07/16/air-canada-hit-by-court-ruling-after-ex-maintenance-workers-sue/

Air Canada hit by court ruling after ex-maintenance workers sue

(Bloomberg) -- Air Canada may be forced to pay at least $100 million (US$73.2 million) to about 2,200 former workers after a Quebec court issued a ruling in their class-action lawsuit against the airline.

The amount would cover lost wages, lost benefits, and moral damages related to the closure of Aveos, the carrier’s former maintenance contractor. Judge Marie-Christine Hivon released her decision on the calculation of damages this week.

The plaintiffs, the majority of whom are in Montreal, were Aveos employees when it locked out workers and ceased operations in 2012. They argued that Air Canada violated a federal law that had required the airline to maintain those maintenance operations where they were located.

Hivon first ruled in the plaintiffs’ favour in November 2022. Air Canada has said it plans to appeal that judgment, but an appellate court judge delayed the matter until the damages phase of the original trial was completed.

Based on initial calculations, the minimum the airline would be forced to pay is around $100 million, according to lawyers for the former workers.

But the airline said it’s too early to attach a dollar figure to the case. The claims process will take place on a case-by-case basis.

“We have appealed the first part of the judgment on the principle of liability. We are considering whether to add points to the second judgment, which will not apply anyway if our appeal in the first part is successful,” Air Canada spokesperson Christophe Hennebelle said by email.

“The judgment merely sets out a calculation method and then calls for individual proof for each member. It is completely silent on the quantification of the total amount. Any assessment at this stage is therefore pure speculation.”

Wow… I thought that was all over and done with.

[Airband]

Air Canada Profit Drops, Weighed Down by Pressure on Airfares

Air Canada airplanes at Vancouver International Airport in Vancouver, British Columbia

Wed Aug 7, 2024 - Bloomberg News
By Monique Mulima

Air Canada reported a 47% drop in quarterly profit as margins were pressured by more competition and softening demand.

Canada’s largest airline reported revenue of C$5.5 billion ($4 billion) for the second quarter, a 2% rise from the same period in 2023. It earned 98 Canadian cents per share on an adjusted basis, down from C$1.85 a year ago.

Those numbers aligned with analyst estimates because Air Canada released preliminary results on July 22 that warned of lower profitability.

The company, which operates flights globally, lowered its full-year financial guidance last month, saying it was suffering from pricing pressures in international markets but still continues to see healthy demand. Airlines across North America have dealt with excess capacity this summer, which resulted in them discounting fares to try to attract cost-conscious consumers to fill those seats.

Air Canada has trimmed its flight capacity: it sees available seat miles rising as much as 6.5% this year. Prior to the July profit warning, it had said capacity would increase as much as 8%.

Air Canada shares have declined 19% so far this year through Tuesday’s close.

[Malcolm]

Air Canada shifts capacity to Pacific routes after profit falls

(Reuters) -Air Canada said it would redeploy capacity to Asia Pacific routes on softer European demand, after reporting a lower second-quarter profit that came in ahead of analysts' estimates on Wednesday.

North American carriers are trying to control costs while protecting pricing power, as a rush to cash in on booming demand for summer travel left them with excess capacity and softer fares in certain markets. Air Canada shares opened down 2%.

 

Mark Galardo, Air Canada's executive vice president, revenue & network planning, told analysts he expects stronger demand for Pacific routes in the back half of 2024.

"We're very happy with the margins that we're driving," Galardo said. "I think you can expect the Pacific to continue to be relatively robust all into the end of the year."

Canada's largest carrier is also reviewing the impact of its network schedules on lucrative corporate travel which is showing momentum, but still up to 30% below 2019 levels.

Last month, the carrier cut its full-year core profit forecast, citing a lower-yield environment and competition in international markets.

Montreal-based Air Canada said it plans to increase its available seat mile capacity during the third quarter to between 4% and 4.5%, compared with the same three months in 2023.

Airlines are also facing heightened labor and maintenance costs. Air Canada is negotiating with pilots who want to narrow a pay gap with higher-paid aviators at major U.S. airlines.

Air Canada CEO Mike Rousseau told analysts that agreements have to be “cost-competitive in the Canadian environment for us to be successful.”

The carrier's adjusted profit fell to C$369 million ($268.52 million) or C$0.98 adjusted earnings per diluted share, from C$664 million, or C$1.85 per share, a year earlier.

Analysts on average were estimating adjusted earnings per diluted share of C$0.92 per share, according to LSEG data.

The carrier is also part of a larger consortium bidding on high-frequency rail services in Canada. Its presence generated criticism from a transportation advocacy group over a possible conflict of interest. Air Canada declined to comment on the project.

($1 = 1.3742 Canadian dollars)

[deicer]

https://globalnews.ca/news/10675060/air-canada-tgv-train-company-bidder-electric-fast-rail-project/

Air Canada, TGV train company join group bidding for high-frequency fast rail project

Air Canada and French train operator SNCF Voyageurs have joined a consortium vying to build and operate a new multi-billion-dollar fast electric train between Windsor, Ont., and Quebec City.

Cadence, one of three groups Ottawa picked in 2023 to submit detailed proposals for the future high-frequency train project, disclosed the last-minute additions of Air Canada and the TGV train operator as it submitted final bid documents to the government in late July.

Canada’s flagship airline, which has historically opposed high-speed rail projects involving cities on its most popular routes in Eastern Canada and Alberta, confirmed involvement but won’t share details, triggering criticism among rail advocates.