Canada91裸聊视频檚 two biggest airlines and some of their passengers are in for a turbulent ride after Transport Minister Marc Garneau announced a ban on all Boeing 737 Max 8 aircraft from Canadian airspace over safety concerns.
91裸聊视频淔or a week or two, it will be bedlam and chaos,91裸聊视频� said Marvin Ryder, an assistant professor of marketing at McMaster University.
Garneau described the decision to ground the plane as a precautionary move that was made after a review of all the available evidence, four days after the Ethiopian Airlines disaster that killed all 157 people on board.
Air Canada has 24 Max 8s in its fleet and WestJet Airlines Inc. has 13. The carriers use the commuter planes daily to ferry passengers on routes that include Vancouver-Calgary, Honolulu-Vancouver, Vancouver-Montreal and Montreal-Los Angeles.
Ryder estimates the ban would cost the two airlines $100 million collectively in the first 10 days.
91裸聊视频淭hey don91裸聊视频檛 have another 24 jets just sitting parked somewhere that they can bring into service to cover it91裸聊视频hey91裸聊视频檒l have to cancel flights,91裸聊视频� he said.
Ryder explained the airlines may try to cut the number of flights on some routes and replace the Max 8 jetliners with larger planes.
The airlines91裸聊视频� shares reacted immediately to Garneau91裸聊视频檚 announcement, falling slightly before Air Canada91裸聊视频檚 rebounded while WestJet91裸聊视频檚 were down 1.66 per cent in midday trading. Prior to the announcement, their shares were down 3.4 per cent and 2.5 per cent, respectively, between Friday closing and Wednesday morning trading.
READ MORE: Canada bans Boeing 737 Max 8 plane following fatal Ethiopian crash
The suspension comes as thousands of Canadians are away on March break, stoking fears of stranded passengers and rebooking delays.
Air Canada and WestJet both said they are in the process of grounding their Max 8s.
Air Canada said it will grant affected customers a full fee waiver.
91裸聊视频淲e are working to rebook impacted customers as soon as possible but given the magnitude of our 737 Max operations which on average carry 9,000 to 12,000 customers per day, customers can expect delays in rebooking and in reaching Air Canada call centres and we appreciate our customers91裸聊视频� patience,91裸聊视频� the company said in a statement.
WestJet noted that the grounding order affects just eight per cent of its 162-plane fleet.
Air Canada91裸聊视频檚 4,000 pilots and 8,500 flight attendants said in separate statements they support Garneau91裸聊视频檚 move 91裸聊视频渢o err on the side of prudence,91裸聊视频� in the words of the Canadian Union of Public Employees.
Boeing Co., which makes the 737 Max 8, has seen its share price drop by more than 11 per cent in the past three days 91裸聊视频� a loss of more than US$26.6 billion.
As questions grow around the plane91裸聊视频檚 safety, Boeing rival Airbus SE has seen its stock rise nearly six per cent to US$132.45.
More than 40 countries have grounded or banned the Max 8 from their airspace since the crash over safety concerns and possible parallels to an Oct. 29 incident which saw the same type of aircraft plunge into the Java Sea, killing 189 people.
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Aviation authorities in the U.S. have expressed continued confidence in the aircraft, despite mandating a software update following Sunday91裸聊视频檚 crash.
Chris Reynolds, The Canadian Press
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