Quebec drops Air Canada lawsuit after Bombardier announcement

MONTREAL -- Air Canada says Quebec has agreed to drop its lawsuit against the airline in exchange for a commitment to have heavy maintenance work for Bombardier's CSeries planes carried out in the province.

See Full Article

The company says the work would be done for a minimum of 20 years, beginning in 2019.

Air Canada's announcement -- subject to completion of final agreements -- came hours after it revealed that it has a letter of intent with Bombardier to buy up to 75 CSeries aircraft.

The Quebec government launched the lawsuit against Air Canada after Aveos Fleet Performance, which did much of Air Canada's aircraft maintenance, closed in 2012 in a move that laid off 2,600 employees, including about 1,700 in Montreal.

The province argued that Air Canada (TSX:AC) breached its legal obligations under the 1988 Air Canada Public Participation Act, which required the airline to keep heavy maintenance operations in Quebec, Ontario and Manitoba.

Quebec won the original court decision in 2013 and the Quebec Court of Appeal decision in November.

Last month, Air Canada asked the Supreme Court of Canada to overturn the appeal court ruling.



Advertisements

Latest Economic News

  • Amazon workers in Germany, Italy stage Black Friday strike

    Economic CTV News
    BERLIN -- Workers at a half dozen Amazon distribution centres in Germany and one in Italy walked off the job Friday, in a protest timed to coincide with "Black Friday" to demand better wages from the American online giant. Source
  • Sobeys to cut 800 office jobs as part of reorganization

    Economic CTV News
    STELLARTON, N.S. -- The Sobeys grocery business will be cutting about 800 office jobs across Canada. Its chief executive, Michael Medline, says the job cuts are part of efforts to create one national organization out of five regional businesses. Source
  • Online sales surge in U.S. on eve of Black Friday

    Economic CBC News
    U.S. shoppers had splurged more than $1.52 billion US online by Thanksgiving evening, and more bargain hunters turned up at stores this year after two weak holiday seasons as retailers opened their doors early on the eve of Black Friday. Source
  • Black Friday begins as consumers flock to stores and online

    Economic CBC News
    U.S. shoppers had splurged more than $1.52 billion US online by Thanksgiving evening, and more bargain hunters turned up at stores this year after two weak holiday seasons as retailers opened their doors early on the eve of Black Friday. Source
  • Looking for bargains online? Who you are can affect what you pay

    Economic CBC News
    Ever notice how after online shopping or browsing, the advertisements you see on every website seem to have been personalized to include whatever you were looking for? A Marketplace investigation reveals it's not just ads that your browsing history can affect — it's also the price you're charged. Source
  • Asian stocks drop after big sell-off

    Economic CTV News
    HONG KONG - Asian stock markets were mostly lower Friday with investors finding little guidance with Wall Street closed for the Thanksgiving holiday and Chinese markets in focus after a big sell-off the previous day. Source
  • World stocks rise amid upbeat European data, U.S. holiday

    Economic CTV News
    HONG KONG -- World stock markets were mostly higher Friday after more upbeat economic data in Europe, though trading was still subdued due to the U.S. Thanksgiving holiday. Investors were monitoring Chinese shares, which stabilized after an early tumble. Source
  • Stores hope deals, excitement draw shoppers for Black Friday

    Economic CTV News
    NEW YORK - Stores are hoping deals and excitement bring shoppers to stores and to their sites for Black Friday, one of the biggest shopping days of the year. But Black Friday has morphed from a single day when people got up early to score doorbusters into a whole season of deals, so shoppers may feel less need to be out. Source
  • After weeks of deals, U.S. stores aim to draw Black Friday crowds

    Economic CTV News
    NEW YORK -- Retailers are hoping deals and excitement bring shoppers to stores and to their sites for Black Friday, one of the biggest shopping days of the year. But Black Friday has morphed from a single day when people got up early to score doorbusters into a whole season of deals, so shoppers may feel less need to be out. Source
  • TransCanada: Over 24K gallons of oil recovered from spill

    Economic CTV News
    AMHERST, S.D. -- TransCanada Corp. says it has recovered more than 24,000 gallons of oil from the site of a pipeline leak discovered last week in South Dakota. The company said 24,450 gallons of oil had been recovered as of Wednesday. Source