Canada's WestJet flags weaker Q2 revenues on labour turbulence
WestJet said Tuesday uncertainty from a labour dispute, along with higher expenses would weigh on Q2 earnings, after the carrier missed analyst estimates for Q1, sending its shares down to their lowest in over two years. The carrier is negotiating a first contract with its unionised pilots, even as it plans to launch a new budget carrier in June, and expand premium seating. Pilots are expected to decide by May 10 whether to give their union a mandate to strike. “What we’ve seen over the last two weeks is a significant deferral of bookings,” CE Ed Sims said. Airlines are also battling rising fuel costs as oil prices rebound from multi-year lows in 2016 to touch $70 per barrel. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2018-05-09/unaligned/canadas-westjet-flags-weaker-q2-revenues-on-labour-turbulence
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Canada's WestJet flags weaker Q2 revenues on labour turbulence
WestJet said Tuesday uncertainty from a labour dispute, along with higher expenses would weigh on Q2 earnings, after the carrier missed analyst estimates for Q1, sending its shares down to their lowest in over two years. The carrier is negotiating a first contract with its unionised pilots, even as it plans to launch a new budget carrier in June, and expand premium seating. Pilots are expected to decide by May 10 whether to give their union a mandate to strike. “What we’ve seen over the last two weeks is a significant deferral of bookings,” CE Ed Sims said. Airlines are also battling rising fuel costs as oil prices rebound from multi-year lows in 2016 to touch $70 per barrel. <br/>
