Business Watch

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This article was published 26/01/2012 (4992 days ago), so information in it may no longer be current.

North West adds Stefanson

THE North West Company Inc. has appointment Eric Stefanson to its board of directors.

Stefanson was Manitoba’s finance minister and chairman of the Treasury Board from 1993 to 1999. More recently he was the managing partner of Central Canada region for BDO Canada LLP from 2004 to 2009.

Stefanson was a member of the Legislative Assembly of Manitoba from 1990 to 2000.

Among other board positions, Stefanson is currently vice-chairman of the board of directors for Via Rail Canada, chairman of the Health Sciences Centre Foundation and a board member of FWS Holdings Ltd. and Paragon Pharmacies Limited.

Fed locks in interest rate

WASHINGTON — The Federal Reserve went further than ever Wednesday to assure U.S. consumers and businesses they’ll be able to borrow cheaply well into the future.

The Fed pushed back the date for any likely increase in its benchmark interest rate by at least a year and a half, until late 2014 at the earliest.

Its new timetable showed the Fed is concerned the economy’s recovery remains stubbornly slow. But it also thinks inflation will stay tame enough for rates to remain at record lows without igniting price increases.

Sore point in EU agreement

OTTAWA — Leaked documents suggest Canada is seeking to carve out telecommunications and agriculture from any new trade agreement with the European Union.

But there is no exemption for water services, a sore point with critics of the negotiations with the world’s richest market.

Trade Minister Ed Fast has called a European trade, services and investment pact one of the Conservative government’s top priorities, arguing it will spur about $12 billion in additional economic activity.

The government has said it wants to reach a deal this year with the 27 nations of the EU.

Canada’s job market dismal

OTTAWA — Canada’s job market is in bad shape and may be the worst it has been in decades, except for the periods when the economy was in recession.

According to its latest “employment quality index,” CIBC says not only has jobs growth stalled over the past half year — and declined in real terms over the past three months — but the quality of new jobs is generally poor.

While full-time employment rose 1.5 per cent during the 12 months, many were in the less desirable self-employment class. Low-paying work rose four times faster than high-paying jobs.

Many new jobs have come in low-paying sectors such as hotel services, restaurants, miscellaneous manufacturing and personal care.

RIM shares bounce back

MONTREAL — Research In Motion’s shares rebounded strongly Wednesday after two days of sharp losses as analysts suggested the BlackBerry maker may either still be a takeover target or investors have a better opinion of RIM’s new CEO, Thorsten Heins.

“There may be some optimism that the new CEO can execute,” ThinkEquity analyst Mark McKechnie said from San Francisco.

Shares in RIM closed up 8.1 per cent at $16.40 in trading on the Toronto Stock Exchange.

U.S. airlines make gains

DELTA and US Airways are learning to stay profitable.

Both reported better-than-expected fourth-quarter earnings on Wednesday, capping two straight years of annual profits. By avoiding deep discounts on fares and unprofitable routes, the two carriers have done well even as fuel costs soar and the economic recovery remains fragile.

Southwest last week reported higher earnings and said travel demand is strong. United Continental Holdings Inc. is expected to report a fourth-quarter profit today.

— from the news services