Canadian border shuts to foreigners as Air Canada halves capacity.
17 March, 2020
3 min read
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Canada has shut its borders to most foreigners and is urging Canadians to return home by commercial means “while they remain available”.
The sweeping restrictions also require all travelers to Canada to self-isolate for 14-days upon entry, although workers essential to the movement of goods and people are exempted.
The bans are in effect until further notice and bars foreign nationals from all countries except the US from entering Canada.
READ: Massive Qantas cuts see international capacity slashed by 90 percent.
They do not apply in some exceptional circumstances that include aircrews and transiting passengers.
International flights will also be redirected to four airports: Toronto Pearson International Airport, Vancouver International Airport, Montréal-Trudeau International Airport, and Calgary International Airport.
The redirection measure does not apply to flights from destinations such as the US, Mexico, the Caribbean. These flights can continue to fly their regular routes and land at current Canadian destinations.
Canada is also strengthening screening and cleaning measures at airports and is requiring airlines to prevent travelers who present COVID-19 symptoms, regardless of their citizenship, from boarding.
However, the government is supporting Canadians affected by COVID-19 abroad through an emergency loan program to those in immediate need of financial assistance to help them return home or cover their needs while in quarantine or receiving treatment.
“My top priority is the health and safety of all Canadians,’’ Trudeau said.
“Our government is doing what it must to protect all Canadians, and to support workers and businesses.
“We will get through this together by following the directions from our public health and medical experts, and doing what we can to protect ourselves, our families, and our communities.”
The decision to lock down Canadian borders came as Air Canada said it was cutting capacity by 50 percent in the second quarter versus a year ago and withdrawing its earnings guidance for 2020 and 2021.
The cuts included a 75 percent reduction in capacity in Pacific markets.
The airline is also suspending its share buy-back program and introducing a company-wide cost reduction and capital deferral program targeting at least $C500 million.
It said its current liquidity level of about $C7.3 billion meant it was well placed to handle the crisis.
"COVID-19 presents the global airline industry with unprecedented challenges, compounded by uncertainty as to the extent of its effects,’’ said chief executive Calin Rovinescu.
“However, we are confident that after a decade of transformation and record results, Air Canada today has the agility, the team and the route network to successfully navigate through this crisis.
“Most importantly for business continuity, it also has the necessary financial resources, including a solid balance sheet, record liquidity levels, higher debt ratings based on a low leverage ratio, and a significant pension plan surplus.”
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