Finance & Capital Management

The University of Western Ontario’s Human Environments Analysis Lab (HEAL) has launched a study of employees and owners/managers in the grocery and foodservice sectors to determine COVID-19’s impact on their industry.

Canadian manufacturing sales posted their biggest percentage drop since the financial crisis in March and economists warned sales are expected to continue to fall in April as the COVID-19 pandemic brought the economy to a crawl.Royal Bank senior economist Nathan Janzen said Thursday that the economic data will also likely get significantly worse in April with containment measures in place for the entire month.“Beyond that, we could see some improvement in May already with social/distancing measures easing in spots, but the drop in activity in March and April is still likely to be staggering, and entirely unprecedented in modern measured economic data,'' Janzen wrote in a brief note.Statistics Canada reported Thursday manufacturing sales fell 9.2% to $50.8 billion in March, the lowest level since June 2016, as factories shut down due to the COVID-19 pandemic or faced sharply lower demand.The average estimate by economists was for a drop of 5.7%, according to financial markets data firm Refinitiv.In volumes terms, manufacturing sales fell 8.3%.Sales fell in 17 of 21 industries led by the transportation equipment industry which plunged 26.5% in March as Canadian auto assembly plants and several parts suppliers in North America cut production.

Canada's oilfield services sector is in for “an immense amount of pain'' over at least the next year thanks to low North American oil and gas exploration activity amid a worldwide glut of cheap crude, according to a report from CIBC.Drilling and well completion companies stand to suffer the most as producers will be reluctant to reverse cuts in spending and production linked to the COVID-19 pandemic and its affect on fuel demand, the analysts warn.“There is no way to sugarcoat it.

Statistics Canada says retail sales in Canada posted their biggest monthly decline on record in March and warned that the drop for April will eclipse that loss.The agency says retail sales fell 10.0% to $47.1 billion in March as non-essential businesses began to shut their doors mid-month due to the pandemic.The drop was in line with economists' expectations of 10 per cent, according to financial markets data firm Refinitiv.Statistics Canada also says a preliminary estimate for April indicates a 15.6% drop for the first full month of the pandemic.The March decline came as sales plunged at motor vehicle and parts dealers, clothing and clothing accessories stores and gasoline stations, while sales at grocery stores soared.Excluding motor vehicle and parts dealers, retail sales were down 0.4% for the month.

Ontario is extending a line of credit of up to $500 million to its lottery and gaming agency.

As COVID-19 reduces access to food and other essential goods for Canadians, PepsiCo Canada and the company’s philanthropic arm, The PepsiCo Foundation, is launching a number of community-based initiatives.With COVID-19 wreaking havoc everywhere, the devastation looms large on the country's food banks, where stocks are down and demand is way up.

In a statement outlining its business stance in the wake of COVID-19, Alimentation Couche-Tard says it is adhering to a clear set of guiding principles as its business navigates the COVID-19 outbreak.“During these troubled times, Couche-Tard is committed to being part of the solution in the communities where we work and live.

Bill Pratt hasn't paid some $70,000 in rent for his restaurants in Atlantic Canada since April after having to shutter operations due to the COVID-19 pandemic and experiencing a “critical” sales drop.