Canada Stocks Little Changed as Oil Producers, BlackBerry Gain
Trading volume was 20 percent below the 30-day average. Trilogy Energy soared 11 percent to C$28.80 after reporting an operating update for its Montney and Duvernay oil projects. The company said unexpected plant outages reduced third-quarter volumes to about 31,000 barrels of oil equivalent per day, and anticipates levels returning to normal in the fourth quarter. Athabasca Oil Corp. (ATH) , which is seeking a joint-venture partner for its Duvernay holdings, jumped 9.3 percent to C$7.97, the most in seven weeks. BlackBerry Earnings BlackBerry added 0.7 percent to C$8.28, the first increase in six days. The smartphone maker reported more complete second-quarter earnings , including a loss of 47 cents a share from continuing operations and a 45 percent plunge in sales to $1.57 billion, after disclosing preliminary results on Sept. 20. The slight upside likely reflects that there was nothing hidden in the results, said Bill Kreher , an analyst with Edward Jones & Co., in a phone interview from St. Louis . Jean Coutu Group Inc. rose 1.8 percent to C$18.29 to pace gains among consumer-staples companies. Telus dropped 1.2 percent to C$34.52 and Rogers retreated 1 percent to C$44.64. Analyst Robert Bek with CIBC World Markets cut his price targets for the two wireless carriers by 11 percent and 17 percent, respectively, due to the Canadian governments increasing attention to the space. Canadas largest carriers signaled on Sept.
There is tremendous pressure on BlackBerry from those with a vested interest in destroying the company, Rivett said in an e-mail yesterday. We work well under pressure. Fairfax is comfortable with the group its currently working with and will reveal its partners after due diligence is completed, Rivett said. Asset Values BlackBerrys assets are probably worth about $2.8 billion excluding its cash reserves of $2.6 billion, said Steven Li, an analyst at Raymond James Ltd. in Toronto in a note to clients. That includes patents worth about $1.6 billion, its network of secure servers that may fetch $825 million and licenses worth about $400 million, said Li. The network of secure servers, which BlackBerry operates on behalf of its business clients, are sought after because they offer a level of security for e-mail transmissions that other devices cant provide. U.S. government agencies remain a customer of BlackBerry for that reason. BlackBerrys patent portfolio includes trademarks on smartphone designs and engineering as well as a share of 6,000 patents BlackBerry acquired, as part of a consortium, for $4.5 billion from bankrupt Nortel Networks Corp. in 2011. While revenue the Waterloo, Ontario-based device maker gets from subscriber services fees reached $794 million in the fiscal first quarter, thats come under pressure from carriers no longer willing to pass those charges on to their subscribers. As of June, the company had 72 million subscribers, down from 76 million in the previous three months. Three Companies I think thats probably the only way it will work — if they try to team up to buy part of the portfolio, Taylor said in a phone interview. No one wants to run the hardware business. Watsa, who models his investment style after billionaire investor Warren Buffett , said the group is still seeking financing for the offer, which will be subject to due diligence and further negotiation. It would be best if it were three companies: intellectual property, BlackBerry messenger and the services business, Stadtler said in a phone interview from Fort Worth, Texas.
Canada’s info czar warns against federal government’s new obstructive tactics
“I am seeing signs of a system in crisis, where departments are unable to fulfil even their most basic obligations under the act,” Legault told the group. As an example, she cited a directive in April this year from the Treasury Board warning bureaucrats to steer clear of ministers’ offices when looking for documents to respond to an access-to-information request. The Supreme Court of Canada issued a ruling in May 2011 largely protecting documents in a minister’s office, but Legault says the new directive goes much further. “This new component is not found in the Supreme Court of Canada’s decision,” she said. “In my view, it is potentially damaging to requesters’ rights.” The directive imposes strict conditions under which documents can even be requested from a minister’s office, and allows political staff members to make a final decision about whether the information is relevant to a request. Legault drew on other examples of departments that do not bother to retrieve and examine documents before claiming they are exempt or excluded from the Access to Information Act. She cited another case in which National Defence claimed a 1,110-day extension under the Act, and only produced the documents a few weeks before her Oct. 8 court challenge of the extension is to be heard in Federal Court. “This type of case is not rare,” Legault said. Her remarks came during the annual Right to Know Week, a global event promoting government transparency. Related Ottawa-based conferences and meetings have been open, but Thursday’s session at Library and Archives Canada was closed to the public and media. A copy of Legault’s speaking notes was obtained by The Canadian Press. The speech noted that the number of complaints to her office is up by 35 per cent in the first five months of 2013-2014 compared with the same period last year, to almost 1,000. There has also been a 34 per cent increase in complaints where a department has responded with “no record exists.” The Access to Information Act came into force in 1983, and now attracts well over 30,000 requests each year.