Potential Airline Bailout

Discuss topics relating to airlines.

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W5
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Re: Potential Airline Bailout

Post by W5 »

Ottawa, airlines close to bailout package that could soar past $7 billion, says labour leader

https://www.cbc.ca/news/politics/airlin ... -1.5936739
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Rockie
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Re: Potential Airline Bailout

Post by Rockie »

I don’t know why they’re calling it a bailout when it’s a loan, but long overdue and very welcome for both the airlines and passengers. Now if they could manage an intelligent testing protocol that would allow operators to conduct their business we’ll really be getting somewhere.
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Re: Potential Airline Bailout

Post by Old fella »

Rockie wrote: Fri Mar 05, 2021 3:22 am I don’t know why they’re calling it a bailout when it’s a loan, but long overdue and very welcome for both the airlines and passengers. Now if they could manage an intelligent testing protocol that would allow operators to conduct their business we’ll really be getting somewhere.
Yes, positive news for the entire aviation industry and overdue needless to say. Intelligence in testing protocols combined with mass inoculations will instill much need confidence for the general population and various levels of Governments to get things moving again. Hopefully by mid summer/fall things will get going.

Dare I suggest “ sunny ways “ are ahead without risking getting stomped on :wink: :wink:

:drinkers:
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Rockie
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Re: Potential Airline Bailout

Post by Rockie »

Old fella wrote: Fri Mar 05, 2021 7:13 am
Rockie wrote: Fri Mar 05, 2021 3:22 am I don’t know why they’re calling it a bailout when it’s a loan, but long overdue and very welcome for both the airlines and passengers. Now if they could manage an intelligent testing protocol that would allow operators to conduct their business we’ll really be getting somewhere.

Dare I suggest “ sunny ways “ are ahead without risking getting stomped on :wink: :wink:

:drinkers:
Haha.
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ayseven
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Re: Potential Airline Bailout

Post by ayseven »

British airways has a testing programme, but you still need to quarantine somewhere for 10 days. I guess we have to look at it positively; I am booked on trips at the end of the summer, so I think it will be a better world than what we see now.
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Dh8Classic
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Re: Potential Airline Bailout

Post by Dh8Classic »

https://nationalpost.com/opinion/opinio ... -appalling

Opinion: Taxpayer bailout of Air Canada would be appalling
The company is sitting on piles of cash, so, what exactly needs bailing out?

Amidst the Liberal government’s often-dubious, budget-less spending sprees under the banner of COVID-19 relief, the idea that Canada’s airline industry continues to “negotiate” for an aid package is appalling. It’s time to draw the line against additional airline subsidies, and support for Air Canada in particular. With the payments and concessions it has received already — and recent record profits — the company is in better shape than it is letting on.

For the past year, Air Canada has been sitting on $2.3 billion collected in advance fares for flights that never took place, refusing to refund those customers. Transport Canada and the Canadian Transportation Agency have shielded airlines and made excuses for their unwillingness to give the money back, conveniently suspending the air travel complaints process as soon as the cancellations started. Meanwhile, opposition parties and consumers have called for the company to issue refunds (instead of vouchers) as part of any national assistance. (In slight contrast, WestJet started issuing refunds in October.) On March 3, it was reported that Air Canada is willing to do the right thing as part of a bailout package.

Any conditions on refunding fares are unacceptable. Substantial current losses or not, a company that treats its customers with such disregard that it won’t return money for services it did not provide should not be rewarded with public funds, especially at a time when COVID-19 has left many households barely hanging on. Effectively, Air Canada is expecting Canadian taxpayers to foot the bill for air traveller refunds, while the company would aim to save face and maintain its cash reserves. Already infamous for inspiring thousands upon thousands of service complaints long before the pandemic, the stonewalling of consumers this past year has left no recourse but the filing of class action proceedings in both Canada and the United States.

The federal government has put reimbursement of travellers on the table as a key demand in exchange for financial relief for airlines.
Air Canada promising to refund passengers whose flights were cancelled due to COVID-19: Union

No one can deny that the pandemic has been devastating to airline industry revenues. However, before the onset, companies were flying high. Financial statements indicated that in 2019, Air Canada generated record operating revenues of more than $19 billion, with record unrestricted liquidity. That record increased to $8 billion in unencumbered cash by the end of 2020, a number that aviation market intelligence firm CAPA called “a solid foundation for navigating the ongoing crisis.” Air Canada themselves expressed confidence upon the release of their 2020 Annual Results: “investors and financial markets share our optimistic long-term outlook.”

So, what exactly needs bailing out?

Air Canada has already benefited greatly from government COVID-19 relief measures. For example, it has externalized labour costs, grossing $656 million in 2020 (the highest disclosed amount of any publicly traded company through Sept. 30) from the Canada Emergency Wage Subsidy. That’s part of a reported $1.7 billion from CEWS for all airlines through March of this year. Despite this inflow, more than 20,000 employees were furloughed or released in 2020, and another 1,700 in January. That’s roughly 60 per cent of its staff that will have turned to CERB or other government support. If the airline receives further government money, would it even rehire these workers, taking them off public assistance? There is still little demand in the market to ramp up flight operations.

The Liberal government also approved Air Canada’s bid to buy Transat A.T. Inc., for a pandemic-driven bargain price ($190 million), despite the Competition Bureau’s determination that it would be “likely to result in substantial anti‑competitive effects” including “a substantial lessening or prevention of competition on 83 total routes.” There’s still enough money around to take advantage of a key rival during an emergency.

The broader industry has also pushed back against each series of public health directives and have faced traveller accusations of poor safety, such as lax masking protocols. Airline companies have also asked the government to organize and pay for rapid testing rather than get it done themselves, and generally given the impression that their economic considerations should override protective health regulations.

Even if the need was clear, recent Canadian governments have a terrible track record when it comes to managing sector bailout or recovery funding. Remember the auto industry distress in 2009? In 2014, the auditor general reported that it was “impossible to gain a complete picture of the assistance provided, the difference the assistance made to the viability of the companies, and the amounts recovered and lost.” Estimated net losses on this federal “investment” range from $1.15 to $3.7 billion.

What is Air Canada to do instead of loitering at the treasury door? At this point, wait this out. Vaccinations are in progress, and millions will be eager to travel when it is safer to do so. Gradually refund those fares, and improve service in order to rebuild some goodwill with customers. Mitigate losses with planes parked in hangars as the public safety net supports workers. Pat themselves on the back for building a monetary cushion, take bank loans if necessary and let that unrestricted liquidity flow.

After a year in which unrestrained largesse has led to a deficit that is likely to hit $400 billion, the government should only be supporting those who actually need it. Canadians can rationalize COVID-19 relief to individuals and small businesses, but not large corporations who have already broken the public trust.
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alkaseltzer
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Re: Potential Airline Bailout

Post by alkaseltzer »

Dh8Classic wrote: Tue Mar 16, 2021 9:07 pm https://nationalpost.com/opinion/opinio ... -appalling

Opinion: Taxpayer bailout of Air Canada would be appalling
The company is sitting on piles of cash, so, what exactly needs bailing out?

Amidst the Liberal government’s often-dubious, budget-less spending sprees under the banner of COVID-19 relief, the idea that Canada’s airline industry continues to “negotiate” for an aid package is appalling. It’s time to draw the line against additional airline subsidies, and support for Air Canada in particular. With the payments and concessions it has received already — and recent record profits — the company is in better shape than it is letting on.

For the past year, Air Canada has been sitting on $2.3 billion collected in advance fares for flights that never took place, refusing to refund those customers. Transport Canada and the Canadian Transportation Agency have shielded airlines and made excuses for their unwillingness to give the money back, conveniently suspending the air travel complaints process as soon as the cancellations started. Meanwhile, opposition parties and consumers have called for the company to issue refunds (instead of vouchers) as part of any national assistance. (In slight contrast, WestJet started issuing refunds in October.) On March 3, it was reported that Air Canada is willing to do the right thing as part of a bailout package.

Any conditions on refunding fares are unacceptable. Substantial current losses or not, a company that treats its customers with such disregard that it won’t return money for services it did not provide should not be rewarded with public funds, especially at a time when COVID-19 has left many households barely hanging on. Effectively, Air Canada is expecting Canadian taxpayers to foot the bill for air traveller refunds, while the company would aim to save face and maintain its cash reserves. Already infamous for inspiring thousands upon thousands of service complaints long before the pandemic, the stonewalling of consumers this past year has left no recourse but the filing of class action proceedings in both Canada and the United States.

The federal government has put reimbursement of travellers on the table as a key demand in exchange for financial relief for airlines.
Air Canada promising to refund passengers whose flights were cancelled due to COVID-19: Union

No one can deny that the pandemic has been devastating to airline industry revenues. However, before the onset, companies were flying high. Financial statements indicated that in 2019, Air Canada generated record operating revenues of more than $19 billion, with record unrestricted liquidity. That record increased to $8 billion in unencumbered cash by the end of 2020, a number that aviation market intelligence firm CAPA called “a solid foundation for navigating the ongoing crisis.” Air Canada themselves expressed confidence upon the release of their 2020 Annual Results: “investors and financial markets share our optimistic long-term outlook.”

So, what exactly needs bailing out?

Air Canada has already benefited greatly from government COVID-19 relief measures. For example, it has externalized labour costs, grossing $656 million in 2020 (the highest disclosed amount of any publicly traded company through Sept. 30) from the Canada Emergency Wage Subsidy. That’s part of a reported $1.7 billion from CEWS for all airlines through March of this year. Despite this inflow, more than 20,000 employees were furloughed or released in 2020, and another 1,700 in January. That’s roughly 60 per cent of its staff that will have turned to CERB or other government support. If the airline receives further government money, would it even rehire these workers, taking them off public assistance? There is still little demand in the market to ramp up flight operations.

The Liberal government also approved Air Canada’s bid to buy Transat A.T. Inc., for a pandemic-driven bargain price ($190 million), despite the Competition Bureau’s determination that it would be “likely to result in substantial anti‑competitive effects” including “a substantial lessening or prevention of competition on 83 total routes.” There’s still enough money around to take advantage of a key rival during an emergency.

The broader industry has also pushed back against each series of public health directives and have faced traveller accusations of poor safety, such as lax masking protocols. Airline companies have also asked the government to organize and pay for rapid testing rather than get it done themselves, and generally given the impression that their economic considerations should override protective health regulations.

Even if the need was clear, recent Canadian governments have a terrible track record when it comes to managing sector bailout or recovery funding. Remember the auto industry distress in 2009? In 2014, the auditor general reported that it was “impossible to gain a complete picture of the assistance provided, the difference the assistance made to the viability of the companies, and the amounts recovered and lost.” Estimated net losses on this federal “investment” range from $1.15 to $3.7 billion.

What is Air Canada to do instead of loitering at the treasury door? At this point, wait this out. Vaccinations are in progress, and millions will be eager to travel when it is safer to do so. Gradually refund those fares, and improve service in order to rebuild some goodwill with customers. Mitigate losses with planes parked in hangars as the public safety net supports workers. Pat themselves on the back for building a monetary cushion, take bank loans if necessary and let that unrestricted liquidity flow.

After a year in which unrestrained largesse has led to a deficit that is likely to hit $400 billion, the government should only be supporting those who actually need it. Canadians can rationalize COVID-19 relief to individuals and small businesses, but not large corporations who have already broken the public trust.

Quite disappointed in the National Post for allowing these fallacy-enriched arguments to make it to publication. The employee who allowed this should get reprimanded. Only a few months ago, they (National Post) issued their Saturday edition, with a front page layout of Calin Rovinescu and detailing how he turned Air Canada around. “A saviour takes his leave” was the title.

There’s more truth in a National Enquirer publication than this garbage. It’s so full of lofty arguments, it might give one a weak erection.

Google the author for yourself, he re-writes JR Tolkien novels for his students.

Utter disgrace of an “educator”.
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Zaibatsu
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Re: Potential Airline Bailout

Post by Zaibatsu »

Dh8Classic wrote: Tue Mar 16, 2021 9:07 pm https://nationalpost.com/opinion/opinio ... -appalling

Opinion: Taxpayer bailout of Air Canada would be appalling
The company is sitting on piles of cash, so, what exactly needs bailing out?

Amidst the Liberal government’s often-dubious, budget-less spending sprees under the banner of COVID-19 relief, the idea that Canada’s airline industry continues to “negotiate” for an aid package is appalling. It’s time to draw the line against additional airline subsidies, and support for Air Canada in particular. With the payments and concessions it has received already — and recent record profits — the company is in better shape than it is letting on.

For the past year, Air Canada has been sitting on $2.3 billion collected in advance fares for flights that never took place, refusing to refund those customers. Transport Canada and the Canadian Transportation Agency have shielded airlines and made excuses for their unwillingness to give the money back, conveniently suspending the air travel complaints process as soon as the cancellations started. Meanwhile, opposition parties and consumers have called for the company to issue refunds (instead of vouchers) as part of any national assistance. (In slight contrast, WestJet started issuing refunds in October.) On March 3, it was reported that Air Canada is willing to do the right thing as part of a bailout package.

Any conditions on refunding fares are unacceptable. Substantial current losses or not, a company that treats its customers with such disregard that it won’t return money for services it did not provide should not be rewarded with public funds, especially at a time when COVID-19 has left many households barely hanging on. Effectively, Air Canada is expecting Canadian taxpayers to foot the bill for air traveller refunds, while the company would aim to save face and maintain its cash reserves. Already infamous for inspiring thousands upon thousands of service complaints long before the pandemic, the stonewalling of consumers this past year has left no recourse but the filing of class action proceedings in both Canada and the United States.

The federal government has put reimbursement of travellers on the table as a key demand in exchange for financial relief for airlines.
Air Canada promising to refund passengers whose flights were cancelled due to COVID-19: Union

No one can deny that the pandemic has been devastating to airline industry revenues. However, before the onset, companies were flying high. Financial statements indicated that in 2019, Air Canada generated record operating revenues of more than $19 billion, with record unrestricted liquidity. That record increased to $8 billion in unencumbered cash by the end of 2020, a number that aviation market intelligence firm CAPA called “a solid foundation for navigating the ongoing crisis.” Air Canada themselves expressed confidence upon the release of their 2020 Annual Results: “investors and financial markets share our optimistic long-term outlook.”

So, what exactly needs bailing out?

Air Canada has already benefited greatly from government COVID-19 relief measures. For example, it has externalized labour costs, grossing $656 million in 2020 (the highest disclosed amount of any publicly traded company through Sept. 30) from the Canada Emergency Wage Subsidy. That’s part of a reported $1.7 billion from CEWS for all airlines through March of this year. Despite this inflow, more than 20,000 employees were furloughed or released in 2020, and another 1,700 in January. That’s roughly 60 per cent of its staff that will have turned to CERB or other government support. If the airline receives further government money, would it even rehire these workers, taking them off public assistance? There is still little demand in the market to ramp up flight operations.

The Liberal government also approved Air Canada’s bid to buy Transat A.T. Inc., for a pandemic-driven bargain price ($190 million), despite the Competition Bureau’s determination that it would be “likely to result in substantial anti‑competitive effects” including “a substantial lessening or prevention of competition on 83 total routes.” There’s still enough money around to take advantage of a key rival during an emergency.

The broader industry has also pushed back against each series of public health directives and have faced traveller accusations of poor safety, such as lax masking protocols. Airline companies have also asked the government to organize and pay for rapid testing rather than get it done themselves, and generally given the impression that their economic considerations should override protective health regulations.

Even if the need was clear, recent Canadian governments have a terrible track record when it comes to managing sector bailout or recovery funding. Remember the auto industry distress in 2009? In 2014, the auditor general reported that it was “impossible to gain a complete picture of the assistance provided, the difference the assistance made to the viability of the companies, and the amounts recovered and lost.” Estimated net losses on this federal “investment” range from $1.15 to $3.7 billion.

What is Air Canada to do instead of loitering at the treasury door? At this point, wait this out. Vaccinations are in progress, and millions will be eager to travel when it is safer to do so. Gradually refund those fares, and improve service in order to rebuild some goodwill with customers. Mitigate losses with planes parked in hangars as the public safety net supports workers. Pat themselves on the back for building a monetary cushion, take bank loans if necessary and let that unrestricted liquidity flow.

After a year in which unrestrained largesse has led to a deficit that is likely to hit $400 billion, the government should only be supporting those who actually need it. Canadians can rationalize COVID-19 relief to individuals and small businesses, but not large corporations who have already broken the public trust.
Agree 100%. If Air Canada was on the home stretch of burning cash reserves or issuing junk bonds or unable (not unwilling) to pay creditors, a bailout might be reasonable.

Maybe if I worked for Air Canada I wouldn’t agree. But the facts he wrote are not in dispute and the inferences he makes as part of an opinion piece are well within the bounds of inductive reasoning.

Why does a company that has terrible customer service, made record profits before the pandemic, kept monies for services not rendered, benefited from cheap government subsidized labour, has the financial wherewithal to buy a competitor need a bailout in the form of government grants or loans at rates and terms that no conventional form of lending would ever entertain? The airline market has shrunk and it would make no sense for AC to rehire many of its employees, meaning that the bailout would not help those individuals at all.

If anyone feels like this is libellous, get in contact with Air Canada’s legal department and get them to sue and get an award or settlement and a redaction and a public apology.
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rudder
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Re: Potential Airline Bailout

Post by rudder »

Do people understand the difference between a ‘bailout’ and a loan?

The US carriers got BILLION$$ in payroll support and potentially non-repayable loans. AC and the other carriers subscribed to CEWS are just a clearing house for payments that the Federal government was going to have to make anyway to unemployed airline staff.

So if the Feds end up offering low interest repayable loans to keep an industry from disappearing, that is NOT a bailout. This industry (in a normal year) returns hundreds of millions to the Federal government and its agencies in taxes, fees, and service charges.

If you want to see pain, let it disappear. The customer will not like what replaces it.
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simply_no_one
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Re: Potential Airline Bailout

Post by simply_no_one »

rudder wrote: Wed Mar 17, 2021 2:36 pm Do people understand the difference between a ‘bailout’ and a loan?
Based on my experience understanding the average intelligence of Canadians, and pilots (who often pretend they are very smart when in fact they are not) I would say... No.
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GATRKGA
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Re: Potential Airline Bailout

Post by GATRKGA »

simply_no_one wrote: Wed Mar 17, 2021 2:46 pm
rudder wrote: Wed Mar 17, 2021 2:36 pm Do people understand the difference between a ‘bailout’ and a loan?
Based on my experience understanding the average intelligence of Canadians, and pilots (who often pretend they are very smart when in fact they are not) I would say... No.
hahah :lol: that was a good one.

+1
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Zaibatsu
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Re: Potential Airline Bailout

Post by Zaibatsu »

simply_no_one wrote: Wed Mar 17, 2021 2:46 pm
rudder wrote: Wed Mar 17, 2021 2:36 pm Do people understand the difference between a ‘bailout’ and a loan?
Based on my experience understanding the average intelligence of Canadians, and pilots (who often pretend they are very smart when in fact they are not) I would say... No.
Are you talking about yourself?

https://www.investopedia.com/terms/b/bailout.asp

Because the only way this isn’t a bailout is if Air Canada doesn’t actually need it.
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rudder
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Re: Potential Airline Bailout

Post by rudder »

Zaibatsu wrote: Wed Mar 17, 2021 3:08 pm
Because the only way this isn’t a bailout is if Air Canada doesn’t actually need it.
Burning $15MM per day/$450MM per month - likely to continue at that rate to September - with demands for up to $2B is cash refunds and you think everything is fine?

AC has already borrowed against almost every asset that it has (around $1B remaining unencumbered).

In every normal year, AC is a cash cow to YOW. If the Feds want to keep deriving the revenue from this (former) $20B/yr enterprise, then it is wise to keep it from exploring CCAA.
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simply_no_one
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Re: Potential Airline Bailout

Post by simply_no_one »

Zaibatsu wrote: Wed Mar 17, 2021 3:08 pm
simply_no_one wrote: Wed Mar 17, 2021 2:46 pm
rudder wrote: Wed Mar 17, 2021 2:36 pm Do people understand the difference between a ‘bailout’ and a loan?
Based on my experience understanding the average intelligence of Canadians, and pilots (who often pretend they are very smart when in fact they are not) I would say... No.
Are you talking about yourself?

https://www.investopedia.com/terms/b/bailout.asp

Because the only way this isn’t a bailout is if Air Canada doesn’t actually need it.
Based on your previous posts, excuse me if I ignore everything you have to say.
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Dh8Classic
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Re: Potential Airline Bailout

Post by Dh8Classic »

How about we all write to the government and insist on conditions for a loan.

1) No more fees such as baggage fees, security fees, fuel cost fees, etc. Whatever the costs are get reflected in the advertised ticket price.

2) An end to this pricing scale where one has to pay much more for a ticket purchased near the travel date.

3) Mandatory flexibility in flight times. If I want to stop for the day, in a connecting city and there are spare seats left on a later flight, I can do it instead of the airline insisting that my connection time must be at their convenience.

There is every reason to believe that they will jack up their prices to screw us over when demand comes back and there is high demand(except where they temporarily lower prices to put new competition out of business).

Air Canada has no problem screwing us around in good times and now they want more of our money. Sell some 787's if you need some cash.
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Re: Potential Airline Bailout

Post by montado »

Dh8Classic wrote: Thu Mar 18, 2021 8:16 pm How about we all write to the government and insist on conditions for a loan.

1) No more fees such as baggage fees, security fees, fuel cost fees, etc. Whatever the costs are get reflected in the advertised ticket price.

2) An end to this pricing scale where one has to pay much more for a ticket purchased near the travel date.

3) Mandatory flexibility in flight times. If I want to stop for the day, in a connecting city and there are spare seats left on a later flight, I can do it instead of the airline insisting that my connection time must be at their convenience.

There is every reason to believe that they will jack up their prices to screw us over when demand comes back and there is high demand(except where they temporarily lower prices to put new competition out of business).

Air Canada has no problem screwing us around in good times and now they want more of our money. Sell some 787's if you need some cash.
Or maybe... private business can structure fares however they like. The reason they offer tickets the way they do is because it is what passengers demand. Less frills, lower prices, option to pay for only what you use. Why would you come up with some completely idiotic idea that all passengers should have all fees rolled into their fare and no choice to opt out? Sounds like communism... make everyone pay, and give them no choice.

Security fees? Uh is security optional? Maybe you should just pay catsa directly when you get in line for security.

Everything you have written is as if you think everyone is entitled to private jet charter level of service for the same price as the lowest fare. Do you have any concept of business financials or are you sprinkling fairy dust all over the liberals right now? Telling them you can get them in a J class seat for an economy fare, we just need to tell Trudeau he has to force Air Canada to do this.
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Dh8Classic
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Re: Potential Airline Bailout

Post by Dh8Classic »

montado wrote: Thu Mar 18, 2021 8:57 pm
Dh8Classic wrote: Thu Mar 18, 2021 8:16 pm How about we all write to the government and insist on conditions for a loan.

1) No more fees such as baggage fees, security fees, fuel cost fees, etc. Whatever the costs are get reflected in the advertised ticket price.

2) An end to this pricing scale where one has to pay much more for a ticket purchased near the travel date.

3) Mandatory flexibility in flight times. If I want to stop for the day, in a connecting city and there are spare seats left on a later flight, I can do it instead of the airline insisting that my connection time must be at their convenience.

There is every reason to believe that they will jack up their prices to screw us over when demand comes back and there is high demand(except where they temporarily lower prices to put new competition out of business).

Air Canada has no problem screwing us around in good times and now they want more of our money. Sell some 787's if you need some cash.
Or maybe... private business can structure fares however they like. The reason they offer tickets the way they do is because it is what passengers demand. Less frills, lower prices, option to pay for only what you use. Why would you come up with some completely idiotic idea that all passengers should have all fees rolled into their fare and no choice to opt out? Sounds like communism... make everyone pay, and give them no choice.

Security fees? Uh is security optional? Maybe you should just pay catsa directly when you get in line for security.

Everything you have written is as if you think everyone is entitled to private jet charter level of service for the same price as the lowest fare. Do you have any concept of business financials or are you sprinkling fairy dust all over the liberals right now? Telling them you can get them in a J class seat for an economy fare, we just need to tell Trudeau he has to force Air Canada to do this.
No problem. They can continue on just as before, but without taxpayer money. After all, it is communism where the taxpayer pays for the airline.
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montado
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Re: Potential Airline Bailout

Post by montado »

If I had it my way, we would have no bailout because we would have had no government to @#$! with things to begin with. But here you are blaming airlines when the very reason they are in this situation is because of government. Government is a constant game of fixing problems they create. Look at housing prices this is because government handed out CERB... Fix the problem of people losing income and create a new problem of sky rocketing home prices.

So yes... No bailouts, way smaller government and I think things would be way better.
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ayseven
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Re: Potential Airline Bailout

Post by ayseven »

And just how would "smaller government" have kept people (including a lot of otherwise unemployed pilots) eating during this time of economic upheaval? I am pretty happy they have the programmes in place to keep at least part of the economy going.

Also, when my business needed a loan, I went to a bank. Better rates than anything the feds could do.
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Mach1
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Re: Potential Airline Bailout

Post by Mach1 »

Just a partial reminder of who and what our current government really is.

Is the Trudeau Government “the worst Canadian government ever?”

by Chris George

March 5, 2021 | 4 min read

PM Justin Trudeau

To Canadians, Prime Minister Justin Trudeau says he does not want an election, yet to his Liberal campaign team he confides “it looks like” there will be a Spring vote.

Government House Leader Pablo Rodriguez suggests the Liberals need a renewed mandate because Conservatives are “playing politics all the time in the House.” Rodriguez bemoans, “It’s delay, delay, delay and eventually that delay becomes obstruction.” And Canadian mainstream media repeats the Liberals’ battle cry suggesting an election is necessary so that the Government can efficiently deliver its much needed pandemic relief.

The political posturing by PM Trudeau and his senior cabinet ministers – from Rodriguez to Melanie Joly to John Wilkinson – prompted the MPs on the Procedure and House Affairs Committee to unanimously pass a motion against a snap election call. The Committee urged the PM “to promise” he would not call a federal election during the COVID-19 pandemic.

This week CBC, Global, the Toronto Star and others have all highlighted the PM’s election musings. In answer to this media echo chamber, Conservative MP Pierre Poilievre tweeted out, “State media, who in my opinion are PMO mouthpieces, are out beating the drum for an early election today. With the worst joblessness, deficit & vaccine rates in the G7, we should be talking about Trudeau’s resignation, not a promotion.”

Though most of the national press corps serve to promote the Liberal agenda, there are a few vocal critics of this Trudeau Government, and perhaps the most poignant in his observations is Rex Murphy. In a recent National Post column, Murphy asserted: “This is the worst Canadian government ever.” He observed, “The country is in an economic coma. The House of Commons is a movie set. We are shamed in the international community. And the list goes on…”

Murphy states, “It’s a mess. It’s a shambles. It’s an embarrassment. It is the worst ever by any reasonable measurement.” Indeed, this is a harsh assessment and it raises an interesting question. Is this current Government’s record that bad — that it could be described as “the worse Canadian government ever?”

Rex Murphy highlights in his column the daily revelations about the government’s mishandling of the country’s vaccination procurement. Argumentatively, Canada’s vaccine shortage is perhaps the Trudeau Government’s greatest scandal (next week’s column will review the details of this debacle). In looking beyond these current headlines, to address Murphy’s assertion, herein is an attempt to catalogue the more egregious missteps of the Trudeau Government.

First there are the ethical breaches of Justin Trudeau, who has the notorious distinction for being found three times in violation of Canada’s ethics laws while Prime Minister. 1) The PM’s family and friends vacation on Aga Khan’s private island – a clear conflict with Khan’s organization being the recipient of hundreds of millions of dollars in Canadian federal grants. 2) The PM and PMO staff members obstructed justice for the benefit of SNC Lavalin in pressuring Justice Minister Jody Wilson-Raybould. 3) The WE Charity scandal that had $912 million sole-sourced to the Kielburger brothers, who had personal connections with PM Trudeau and handsomely paid his wife, mother, and brother for guest appearances at their youth events.

Canadians are well aware of Justin Trudeau’s celebrated history of questionable ethical behaviour: the “Mr. Dress Up” family excursion to pose in front of India’s landmarks, the “Kokanee Grope” incident when the female news reporter and Justin experienced their encounter differently, and the infamous blackface episodes that were captured in yearbook photos and in a school club video.

The Trudeau Government has had an on-going series of dubious dealings with SNC Lavalin, a Quebec engineering firm with strong Liberal ties. This company:

was facing charges regarding bribes to Libyan officials and, as mentioned above, coopted the PMO to pressure the Justice Minister in order to avoid trial;
made numerous illegal donations to the federal liberal party for a period of 5 years ending in 2009;
has received 142 government contracts worth $25 million between January 2019 and June 2020 – this after being found guilty of bribery and suspended from entering into federal contracts; and,
was awarded a $150 million untendered sole-sourced contract in April 2020 to design and deliver COVID-19 field hospitals – with “no fixed delivery date” for the project.
The Trudeau Government has awarded many highly questionable contracts through the pandemic crises. Just a few by way of example:

Frank Baylis, a former Liberal MP, was sole-sourced a lucrative $422,946 “research contract” and another $237 million contract to make 10,000 pandemic ventilators – even though Health Canada had not approved its products;
the Government has refused to release to MPs any details of $5.8 billion worth of federal contracts awarded during the pandemic response; and,
there remains more than $25 billion dollars in roughly 20,000 infrastructure projects that are unaccounted for by Infrastructure Minister Catherine McKenna.
On issues of justice, this Trudeau Government appears to have no regard for the law of the land as the PM and/or PMO have consistently been caught in the middle of scandalous behaviour. Consider:

the PMO obstruction of justice scandal involving SNC Lavalin resulted in the uncomely departures of three senior Liberal MPs: Jody Wilson-Raybould, President of the Treasury Board MP Philpott and Parliamentary Secretary MP Celina Caesar-Chavannes;
Vice Admiral Mark Norman accepted an undisclosed sum in an out of court settlement after being wrongfully accused by a senior cabinet minister of leaking cabinet documents relating to a shipbuilding deal;
the judicial appointment process is being repeatedly brought into question due to the PMO vetting process and reports that judges are being selected from Liberal donor lists – including a recent appointment who appears on Justice Minister David Lametti’s donor list; and,
the PMO-directed $10.5 million payment to Omar Khadr.
Through the years, Trudeau’s PMO has done a remarkable job of hiding wayward Liberal MPs’ misconduct – in some cases keeping it from the public for months. In no particular order, the rogues’ gallery includes MPs Raj Grewal, Marwan Tabbara, Scott Brison, Kent Hehr, Darshan Kang, and Hunter Tootoo. The latest PMO maneuvering involved a quick cabinet shuffle and Minister Navdeep Bains resigning “to spend more time with his family” – all the while worrying that a potential RCMP investigation into a shady multimillion dollar Brampton land purchase would become public. All of these embarrassing MP wrongdoings were masterfully dealt with, so much so that today they are forgotten.

The reality is that most of these wrongdoings will not be mentioned in the heat of the election campaign. However short Canadians’ collective memory is, this catalogue serves as a reflection of the character of Justin Trudeau and his Government. It is a reflection of the “mess,” “shambles” and “embarrassments” Rex Murphy writes about; and, in his learned opinion, of “the worst Canadian government ever.”
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