SHARES FALL IN AIR CANADA FOLLOWING ROUTE CUTS

Shares in Air Canada fell 4.41% after the airline warned that high fuel prices have forced it to downgrade its growth forecast. Air Canada’s growth forecast was down from the 5.5% and 6.5% on February 10 to between 4.5% and 5.5%. In the first quarter, Air Canada says it will adjust capacity growth downward to 7.5% from 8% due to a projected drop in customer demand. It is also cutting six routes: Montreal-Washington Dulles, Ottawa-Thunder Bay, Ottawa-Washington Dulles, Calgary-Chicago, Calgary-San Francisco and Calgary-London, Ont.