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  #261  
Old Posted Nov 2, 2010, 11:00 AM
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Ballard Power Systems records net loss of $5.6 million in third quarter
By The Canadian Press

VANCOUVER - Ballard Power Systems has recorded a net loss of $5.6 million in the third quarter and a loss of $26.5 million for the nine months ending Sept. 30.

The quarterly loss is an improvement over the $11.4 million the fuel cell manufacturer logged in the same period a year ago.

Ballard saw its revenue climb 83 per cent in the quarter to $16.5 million and rise 45 per cent year-to-date to $43.9.

President and CEO John Sheridan says the quarterly results are "further evidence that Ballard is building the capability for strong revenue growth."

"Our strong liquidity position, with cash reserves of $72.9 million, will enable us to deliver on strong growth prospects in our key fuel cell markets of backup power, distributed generation, material handling and bus."

Ballard Power Systems provides clean energy fuel cell products enabling optimized power systems for a range of applications.
http://www.canadianbusiness.com/markets/headline_news/article.jsp?content=b4958645
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  #262  
Old Posted Nov 2, 2010, 11:07 AM
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Canfor reports Q3 profit of $5.6 million compared with year ago loss
By The Canadian Press

VANCOUVER - Canfor Corp. (TSX:CFP) said Thursday it turned a profit in its latest quarter compared with a loss in the same period last year, as revenue gained more than 10 per cent.

The Vancouver-based lumber producer said it earned $5.6 million or four cents per diluted share for the quarter ended Sept. 30 compared with a loss of $5.2 million or four cents per share a year ago.

Sales for the quarter totalled $588.7 million, up from $521.2 million.

"While pulp markets remained strong in the quarter, the stagnant U.S. housing market weighed on the results of our solid wood business," Canfor president and CEO Jim Shepard said in a statement.

"On a more positive note, we continued to see strong demand from China for our Western SPF lumber, and this was reflected in our record-high shipments to Asia in the third quarter."

Canfor said its lumber business operated at approximately 70 per cent of capacity in the third quarter, with its recently restarted Chetwynd and Quesnel mill operations in the B.C. Interior operating through the quarter.

Production from the Quesnel mill was fully dedicated to the Chinese market.

Shares in Canfor, which reported its results after the close of markets, were up 19 cents at $9.36 on the Toronto Stock Exchange on Thursday.
http://www.canadianbusiness.com/markets/headline_news/article.jsp?content=b4965670
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  #263  
Old Posted Nov 2, 2010, 11:08 AM
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Eldorado Gold reports Q3 profit up, gold sales more than double year ago mark
By The Canadian Press

VANCOUVER - Eldorado Gold Corp. (TSX:ELD) reported an increase in quarterly profit compared with a year ago as its gold sales more than doubled.

The company, which keeps its books in U.S. dollars, said Thursday it earned $48.8 million or nine cents per share for the quarter ended Sept. 30, compared with a profit of $30.2 million or eight cents per share a year ago.

Gold sales totalled $190.3 million, up from $81.6 million.

"We maintain our guidance of 625,000 ounces of gold for 2010 at a cash operating cost of $375 per ounce, firmly positioning us in the lowest quartile of costs," president and chief executive Paul Wright said in a statement.

During the third quarter, Eldorado sold 154,655 ounces of gold at an average price of $1,231 per ounce compared with 85,246 ounces of gold at an average price of $957 per ounce in the third quarter of 2009.

Eldorado has mines in China and Turkey as well as development projects in Brazil and Greece.

Shares in the company, which reported its results after the close of markets, were up 42 cents at $17.49 on the Toronto Stock Exchange on Thursday.
http://www.canadianbusiness.com/markets/headline_news/article.jsp?content=b4966513
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  #264  
Old Posted Nov 2, 2010, 11:11 AM
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Silver Standard sells Snowfield and Brucejack projects for $450M
By The Canadian Press

VANCOUVER - Silver Standard Resources Inc. (NASDAQ:SSRI)(TSX:SSO), a junior silver miner based in Vancouver, says it has entered into an agreement to sell its Snowfield and Brucejack projects in northern British Columbia to Pretium Resources Inc. for $450 million in cash and shares.

Under the deal, announced Friday, Silver Standard will receive a minimum of $215 million in cash and the rest in common shares of Pretium, which is carrying out an initial public offering .When the transaction closes, Silver Standard's ownership interest in Pretium is expected to be less than 50 per cent.

"The sale of Snowfield and Brucejack is the culmination of an extensive review of strategic alternatives focused on developing projects that are core to capability and strategy whilst monetizing project options that are best developed by others," said John Smith, Silver Standard's chief executive.

"Bob Quartermain has a proven track record in capturing value from exploration and we look forward to Snowfield and Brucejack being given the absolute focus by Pretium to build value from continued exploration and project definition."

The transaction has been approved by Silver Standard's board of directors and is subject to a number of conditions, including the raising by Pretium of a minimum of $265 million under its IPO.

The deal is slated to close by end of the year.
http://www.canadianbusiness.com/markets/headline_news/article.jsp?content=b4969945
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  #265  
Old Posted Nov 2, 2010, 11:17 AM
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Angiotech Pharmaceuticals signs recapitalization deal to reduce debt
By The Canadian Press

VANCOUVER - Angiotech Pharmaceuticals, Inc. (TSX:ANP) said Friday it has signed a recapitalization deal that will see the drug developer's debtholders takeover the company.

The company said it has signed a deal with holders of 73 per cent of its 7.75 per cent senior subordinated notes to recapitalize its debt.

Under the agreement, the consenting noteholders have agreed to exchange their subordinated notes for shares.

Noteholders participating in the offer will hold about 90 per cent of the new shares of the company following the recapitalization.

The noteholders that agree to the terms of the agreement by Nov. 30 will also be entitled to receive additional shares.

The company has also signed a deal with holders of 51 per cent of its floating rate notes to exchange the notes for new ones.

Angiotech shareholders before the recapitalization will hold about 2.5 per cent the issued and outstanding common stock of Angiotech, as well as options to acquire 10 per cent of the new stock with a strike price that provides for a par recovery to the noteholders.

All existing options, warrants or other rights to purchase shares will be cancelled.

"After a challenging period in our company's financial history, we are now able to announce the completion of a necessary transaction proposal with our noteholders," Angiotech president and chief executive William Hunter said in a statement.

"Our highly dedicated team has remained focused on our company's long-term objectives throughout this period, and we believe this transaction will provide the financial foundation we will need to pursue our innovation and commercial strategies for our many exciting products."

In connection with recapitalization, Angiotech said Friday it expects revenue of about $221 million in 2010 and $260 million in 2011.

Revenue for 2012 is expected to grow to $313 million and to $353 million by 2013.

Angiotech shares were down five cents at 50 cents on the Toronto Stock Exchange.
http://www.canadianbusiness.com/markets/headline_news/article.jsp?content=b4977300
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  #266  
Old Posted Nov 2, 2010, 11:27 AM
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Seems the market did not like Angiotech's move to recapitalize its debt... not surprising really.

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Angiotech shares fall on news of deal to pay off $250 million in debt with stock
By The Canadian Press

VANCOUVER - Angiotech Pharmaceuticals, Inc. shares plunged Monday in the first day of trading since the company (TSX:ANP) announced a debt repayment plan that will leave current shareholders with only a small minority stake.

Its shares closed down 20 cents, or about 40 per cent, at 30 cents on the Toronto Stock Exchange as more than 4.1 million shares traded hands.

Angiotech announced Friday after markets closed that it has signed a deal that will see the drug developer's debtholders take over control of the company in exchange for cancelling $250 million in debt.

The company, a developer of medical equipment technology, had said previously that it wouldn't make $9.7 million of interest payments due on its notes as of Oct. 1.

Noteholders participating in the offer will hold about 90 per cent of the new shares of the company following the recapitalization.

The noteholders that agree to the terms of the agreement by Nov. 30 will also be entitled to receive additional shares.

The company has also signed a deal with holders of 51 per cent of its floating rate notes to exchange the notes for new ones.

Angiotech shareholders before the recapitalization will hold about 2.5 per cent the issued and outstanding common stock of Angiotech, as well as options to acquire 10 per cent of the new stock with a strike price that provides for a par recovery to the noteholders.

All existing options, warrants or other rights to purchase shares will be cancelled.
http://www.canadianbusiness.com/markets/headline_news/article.jsp?content=b4997629
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  #267  
Old Posted Nov 2, 2010, 11:32 AM
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Fronteer Gold completes acquisition of AuEx Ventures for about $281 million
By The Canadian Press

VANCOUVER - Fronteer Gold (TSX:FRG) completes acquisition of AuEx Ventures Inc. (TSX:XAU) in transaction valued at nearly $281 million.
Quote:
AuEx shareholders approve merger with Fronteer Gold
Monday, 01 November 2010

ImageShareholders of Vancouver’s AuEx Ventures Inc. (TSX:XAU) have overwhelmingly approved plans to merge with Vancouver’s Fronteer Gold Inc. (TSX:FRG).

Virtually all the shareholders at a special meeting approved the merger, which will see AuEx shareholders receive 0.65 of a Fronteer Gold share, $0.66 in cash and half of a share in Renaissance Gold Inc., a new exploration company.

The deal, announced in August, valued AuEx for $280.8 million, representing a 50.9% premium on the volume-weighted average price of AuEx and Fronteer for the last 20 trading days before the deal was announced.

Fronteer’s acquisition combines ownership of the Long Canyon gold project in Nevada.

Following closing of the deal, Renaissance Gold will hold all of AuEx’s exploration assets outside of the Pequop district and have approximately $5 million in cash. It will also hold 18.6% of Fronteer shares on a fully diluted basis and 90.1% of Renaissance Gold shares.

Fronteer’s share price range during the past week: between $7.50 and $8.13; 52-week high: $8.41; 52-week low: $3.77.
http://www.bivinteractive.com/index.php?option=com_content&task=view&id=3292&Itemid=46
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  #268  
Old Posted Nov 2, 2010, 8:45 PM
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I saw that Lululemon Athletica has moved into the Bentall office building across the Burrard from the Molson Brewery. Lululemon had intended to move into the Crossroads development at Cambie and Broadway as the anchor tenant but pulled out shortly before the project was completed. The City of Vancouver stepped in and leased the 80K or so square feet that was available and moved its Engineering department there. This has allowed the city to push back its plans for adding a new building to the City Hall campus on the 10th Avenue/Cambie/Broadway/Yukon block some ways into the future.
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  #269  
Old Posted Nov 4, 2010, 11:27 PM
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Best Western eyes B.C. for growth

Hotel chain hoping to tap into rising number of Asian tourists coming to province

BY BRIAN MORTON, VANCOUVER SUN NOVEMBER 3, 2010

Best Western International is planning a major expansion in B.C. and Western Canada, with the growing Asian tourism market one of the main catalysts.

That's the word from the Phoenix-based hotel chain's past board chairwoman Beth Campbell, who also cited the 2010 Olympics as one reason Best Western is holding its annual convention at the Vancouver Convention Centre next week, a convention that's expected to pump as much as $4 million into the local economy.

"We're aggressively pursuing opportunities in B.C. and Western Canada, Campbell said in an interview Tuesday. "And Vancouver, with its new convention facility and being the home of the 2010 Olympics, had something to do with it being chosen this year [as the convention site]. But it was also because of its geographic location."

Campbell, a former Penticton mayor who also owns and operates the Best Western Inn in Penticton and served as vice chairwoman of Tourism British Columbia for five years, said that Best Western, with 52 hotels in B.C. and 1,500 employees, has four new hotels under construction in Tumbler Ridge, Maple Ridge, Revelstoke and Williams Lake and has plans for a newer upscale hotel in the Vancouver area.

Troy Rutman, Best Western's director of external communications, noted that the company has averaged four new hotels per year in B.C. over the past five years and has plans to add 20 more hotels by 2015.

"Our developers are looking for opportunities to work for us," added Campbell, who resides in Penticton and represents the interests of Best Western owners in Western Canada, the Northwestern U.S. and Alaska. "And other brands are looking at us to come into the system as a conversion brand."

Campbell, who also served as vice-chairwoman of the Provincial Capital Commission and is director of the Penticton Tourism Advisory Committee, said Best Western hopes to tap into the rising number of Asian and other international tourists coming to B.C.

"The Chinese market will provide B.C. with all kinds of opportunities. The fact that Canada received approved destination status [from the Chinese government] is what we've been waiting for."

She said that although the province lost ground with the U.S. market in recent years, "that market's bouncing back. And we'll see the benefit of that as well."

Campbell said B.C. is also a big part of the company's future plans because of the province's mild climate and stable economy "[It's] weathered the storm better than other locations [in North America]."

Campbell said she believes Best Western is a good fit for B.C. because the company caters to both the leisure and corporate markets.

Meanwhile, Best Western believes that next week's four-day convention, which hosts 2,500 delegates, will deliver economic benefits to Vancouver of at least $3.5 million to $4 million. The breakdown includes about $1.5 million in direct spending and up to $2.5 million for lodging, food and transportation. Campbell noted that Best Western is also gearing up to launch its new descriptor strategy program (Best Western, Best Western Plus and Best Western Premier) in February 2011.

The program is meant to help clients determine what's best for them in terms of design and amenities when booking a hotel, with Best Western Premier at the top of the scale.

...

http://www.vancouversun.com/travel/Best+Western+eyes+growth/3768544/story.html
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  #270  
Old Posted Nov 19, 2010, 12:12 AM
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Western Coal discussing $3.3 billion merger

Nothing has been finalized yet, but Western Coal Corp. (TSX:WTN) could soon become one of the largest coal producers on the planet.
On Thursday morning, the Vancouver-based miner said negotiations were underway regarding a combination with Walter Energy Inc. (NYSE:WLT), a Florida-based mining company with annual revenue of approximately $1.2 billion.

The deal, which could have a total value of $3.3 billion, would see Western shareholders receive a mixture of cash and Walter shares valued at $11.50 per Western share.

At press time, Western’s share value had soared nearly 46% to $10.75 on volume of approximately 17 million.

The deal represents a 55.8% premium to Western’s closing price November 17.

“The combination would create one of the world’s largest pure-play, publicly traded producers of metallurgical coal with geographically diversified assets in Canada, the U.S. and the U.K.,” Western said in a release.

The company could not be reached for comment by press time, stating in a release it does not intend to “make any further announcements or communications” regarding the deal until an agreement has been reached or the transaction is ended.

Western has agreed to work with Walter for a period up to 14 days, expiring December 1, to hammer out a deal.

As a part of the deal, Walter has agreed to acquire 19.8% of Western’s shares for approximately $630 million.

The Vancouver company operates eight coalmines in total, three of which are located in northeast B.C. near Chetwynd and Tumbler Ridge.

Over the last year, Western has undergone a significant period of transition that included a merger with Britain’s Cambrian Mining plc, an overhaul of its executive team and the re-opening of its Willow Creek mine two months ahead of schedule.

In June, Business in Vancouver sat down with Western president and CEO Keith Calder to discuss the company’s recent success. (See “Western Coal Corp. primed for aggressive growth” – issue 1077, June 15 to 21.)

...

http://www.bivinteractive.com/index.php?option=com_content&task=view&id=3388&Itemid=1
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  #271  
Old Posted Nov 23, 2010, 6:21 PM
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I love this headline:

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Oprah endorses Lululemon pants; firm's shares at record high

Lululemon Athletica Inc. shares jumped 5 per cent on Monday to close at a record high in Toronto after the trendy Canadian company's relaxed-fit pants were featured on Oprah Winfrey's television show.

With Oprah selecting the pants for her annual "Favorite Things" program, which aired on Friday, lululemon could ring up huge sales, Capstone Investment analyst Claire Gallacher wrote in a research note on Monday.

Oprah's marketing collaboration last year with Collective Brands, parent of Payless ShoeSource, resulted in a million pairs of shoes sold in a single day, the most in the company's history, Gallacher pointed out.

"Women all over the country heard Oprah say on her show, 'I've got to tell you, anything that cuts your butt in half should be your favorite thing too!'," Gallacher wrote in her note, referring to lululemon's pants.

"We believe Oprah's endorsement of lululemon introduced the product to many women that previously had little or no knowledge of the brand. For those already aware of (lululemon), Oprah's mention likely boosted the brand's image further."

Vancouver-based lululemon is a Canadian success story, dominating a lucrative niche market in an intensely competitive athletic sporting goods industry.

It is one of the few Canadian retailers that has also successfully entered the U.S. market, with plans for further expansion.

Lululemon, which only has 75 stores in the United States, finished C$2.61 higher, or 5.08 per cent, at C$54.00 on the Toronto Stock Exchange. On the Nasdaq, shares were up $2.65, or 5.24 per cent, at $53.25.

© Copyright (c) Reuters


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  #272  
Old Posted Dec 10, 2010, 4:44 AM
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iCo offered US$32 million in drug licensing deal

Vancouver’s iCo Therapeutics Inc. (TSX-V:ICO) said Wednesday it could receive up to US$32 million in milestone payments from an Israel company that is receiving certain development and commercialization rights to one of iCo’s drug candidates.

iCo granted Immune Pharmaceuticals an option to an exclusive license for the development and commercialization rights to use iCo-008 for treating inflammatory bowel disease and severe asthma.

The deal could potentially provide iCo with an additional means of financing its own trials of iCo-008 for use as an eye treatment.

iCo’s main focus is on advancing its lead program, iCo-007, into phase 2 trials for the treatment of a Diabetes-related eye disease.

Immune Pharma is paying iCo an option fee that will be credited upon conversion against an upfront license fee payment of US$1 million.

In addition to milestone payments, iCo could receive royalties on net sales of products developed by Immune.

...

http://www.bivinteractive.com/index.php?option=com_content&task=view&id=3489&Itemid=61
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  #273  
Old Posted Dec 12, 2010, 3:25 AM
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Vancouver’s a world centre for high-end chocolate

The chocolate industry is bursting with local innovators

Every year when chocolatier Pam Williams travels to France and Belgium, she makes sure she takes the time to sample the work of artisan chocolate makers.

All in the name of research.

Former owner of a Vancouver chocolate shop, au Chocolat, the transplanted Californian is now proprietor of an online school that trains people to be professional chocolatiers.

Williams is a sponsor of Chocomap, an online search engine that maps out the locations of more than 1,700 chocolate shops around the world. Chocomap is developing an iPhone app to help international travellers find their way to any shop on the map.

Williams says Metro Vancouverites can find some of the world’s best artisan chocolate in the world without leaving home.

“Here in Vancouver, because we are such a food city, we have embraced and helped nurture some really fabulous chocolatiers,” Williams said. “There’s nothing wrong with Purdy’s or Rogers, or whatever. They serve what I call the family market. But somebody like Greg Hook (Chocolate Arts) or Thomas Haas or Joanne Mogridge (Cocoa West) over on Bowen Island, they’re really kicking it up a notch.

“You can go to Paris and you can go to Brussels, which I do every year, and you’re not going to find anything better than some of the people working here.

“It’s happening because the people in Vancouver realize and appreciate what’s going on and support it with their pocketbooks.”

Recent research confirms that a growing number of people are developing a taste for chocolates that are authentic, or challenging.

Curtis Vreeland, a U.S. food industry consultant, recently reported in a study for Packaged Facts that the “fine” segment of the chocolate industry, encompassing artisans and quality-focused regional players, is growing twice as fast as the market as a whole.

Trends in the U.S. are reflected in Canada, he said.

“In 2009 the [U.S.] premium chocolate market was $2.1 billion to $2.4 billion and accounted for 12-14 per cent of the [total] chocolate market. That was up from nine per cent in 2005,” Vreeland said in a phone interview.

“I’m predicting that within five years, the market share held by premium chocolate will go to 17 from 15 per cent of the [total chocolate] market and generate $2.8 billion to $3 billion in sales.”

In a September report on the chocolate market for Packaged Facts he found that premium chocolate buyers are sensitive about nutrition and prefer to avoid foods with artificial ingredients.

They tend to be younger and better educated than the average chocolate consumer, and they’re more adventuresome.

The variety of flavour combinations Vreeland uncovered in his research suggests that the only limit to chocolate’s compatibility with other foods is human imagination – and at this juncture, imagination is running wild.

Artisans are combining chocolate with olive oil, blue cheese, garam masala, mushrooms, fennel, green tea, sweet potato, scotch, Chinese five spice – and applewood-smoked bacon.

“Bacon in chocolate – I thought that thing had died but there’s a strong market in that,” Vreeland said. “I even found one that was made with [salty venison sausage] meat. That was in New Zealand — meat lover’s chocolate — I can’t say that would be a great one to go to bat for.”

Even if he’ll pass on some of the innovations, Vreeland is impressed by the risks that fine chocolate makers are taking.

“You’ve really got to pat them on the back. It’s the artisans that are bringing the industry forward into new taste realms. They are interesting people with interesting personalities, like winemakers. They are the ones that are keeping the excitement in the market.”

One popular trend noted by Cinnamon’s Chocolates, a family-owned artisan shop in North Vancouver, is the “single bean” truffle.

Tom and Kathi Cinnamon have what they call a “martini collection” of six different truffles, each derived from a single variety of cocoa bean from a single area.

“Like the grapes of fine wines, these beans each have their own distinct ‘personalities,’” notes the shop’s website.

“It will have a very unique, very particular flavour and a lot of our customers are enjoying that,” Kathi Cinnamon said in an interview.

The shop offers rich, intense and authentic riffs on classic flavours and textures.

“People are looking for the nuances, and real ingredients,” Kathi Cinnamon said. “To most of our customers, that’s really important.

“We use organic cream from Avalon Dairy. We feel that it makes a huge difference in the flavour. In our orange buttercream we grind the whole orange — so we determined that if we were going to do that, the orange needs to be organic so that there’s nothing untoward going in there.”

Not all of Cinnamon’s customers are looking for palate challenges.

“There is a chunk of people that want those high-end flavours and particular things. And you know we have a good chunk of customers who just really want that old familiar flavour — but they want the real thing.”

The Cinnamons, who mix their buttercreams in an antique Dayton Cream beater, believe that a successful chocolatier has to use high-quality ingredients.

“We have lots of friends in the candy business all over North America, in Australia, through our association, Retail Confectioners International. We have seen some of them really grow and flourish and have businesses they can be proud of. We have seen others that let it get eroded.

“We just promised each other that we weren’t ever going to make a decision based on cost — which probably is the reason we are not rich.

“We’re old, so this is kind of a lifestyle choice for us too. It’s really important to know that people will really enjoy those things.”

Artisan chocolate isn’t British Columbia’s only boast.

Victoria-based Rogers Chocolates is Canada’s most venerable chocolate maker.

Oct. 25, 2010, was declared Charles Rogers Day in Victoria in recognition of the small company’s 125th anniversary.

“As far as we know, we are the first Canadian chocolatier,” company president Steve Parkhill said in an interview. “There is one confectionary company that is older, Ganong out of New Brunswick, but they didn’t start into chocolate until the 1900s.”

Rogers has seven retail outlets and 300 Canadian partner retailers that carry its products.

“It’s somewhat surprising to be this old and still be a relatively small organization,” Parkhill said.

One thing the company won’t do is compromise on quality, Parkhill said.

“There are a number of products we continue to sell today that are made and wrapped exactly the same way they were in the 1800s. So there is that element of being time tested, with the right balance,” Parkhill said.

The company is working toward greater access to organic food stores and is looking at expanding in Vancouver as the initial part of a plan to raise its national profile.

...

Read more: http://www.vancouversun.com/life/Vancouv...ocolate/3964050/story.html#ixzz17reIIwFS
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  #274  
Old Posted Jan 7, 2011, 7:22 AM
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One time Vancouver biotech favourite Angiotech has been booted off the NASDAQ:
http://www.bivinteractive.com/index.php?option=com_content&task=view&id=3597&Itemid=46
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  #275  
Old Posted Jan 18, 2011, 4:08 PM
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Well after a break from SSP for a few months, im back. I've decided that rather than flooding the business thread with every little update I will try to limit it to the larger or more interesting deals, and hopefully that will allow for a little more back and forth here. It is a little bit telling though that we all want Vancouver to be more of a big business player, but this thread seems to generate very little conversation or opinions... somewhat indicative of the absence of a business culture in the city.

Anyway this is a pretty broad topic so hopefully its a good start...

Quote:
Chinese look beyond the oil patch

Claudia Cattaneo, Financial Post · Monday, Jan. 17, 2011

You’ve seen the rush of Chinese investment in Canadian resources. Other sectors, including manufacturing, hospitality and finance, are next in line.

Those are the conclusions of a survey that provides rare insight into the investment intentions of 1,377 Chinese small and medium enterprises made public in Vancouver Monday.

“Chinese enterprises have a favourable view of the investment environment in Canada, citing technology, U.S. market access, and a dynamic/diversified labour force as key attraction,” said Yuen Pau Woo, president and chief executive of the Asia Pacific Foundation of Canada, which prepared the survey with Beijing-based China Council for the Promotion of International Trade. “The question is whether Canadians will be receptive to Chinese capital.”

The results confirm a rising level of Chinese comfort with Canada on the heels of major investments in energy, such as Sinopec Corp.’s purchase of a stake in the Syncrude Canada Ltd.’s oil-sands project and PetroChina’s partnership with Athabasca Oil Sands Corp., which moved forward without Canadian antagonism.

They also show that interest in Canada goes beyond state-controlled enterprises and includes increasingly active private enterprises.

“It’s a good sign,” said Robert Mansell, academic director of the University of Calgary’s School of Public Policy. “We must be doing something right. China is a special case, they got huge reserves they are sitting on, which they can use to buy U.S. Treasuries or U.S. assets which maybe don’t look so good, since they have got so much of their money in those now and they are looking at other vehicles.”

The expanding relationship could help Canadian companies, particularly on the West Coast, break into new Asian markets and provides them with new sources of capital, Mr. Mansell said.

In the survey, the Chinese companies said they are interested in diversifying in Canada because of Chinese government support for outbound investment, to acquire first-rate technology or management experience, acquiring international well-known brands, avoiding overseas trade barriers, making use of preferential investment policies in the host country.

They also perceive Canada as among the economies most open to their money.

As for challenges, the Chinese are most worried about the concerns of North American about the safety and quality of Chinese goods, difficulty in finding business partners in North America, lack of understanding of North American legal system and market risks, lack of understanding of Chinese brands.

Of the companies that participated in the survey, 8% reported an intention to invest in Canada in the next three years. Of these, 50% are small or medium-sized enterprises and 23% are large companies.

The majority of those with investment interest in Canada plan to finance their deals using their own capital, while 23% plan to seek financing from Chinese state banks.

The majority plan to enter the Canadian market through their own channels, 14% are looking for a joint venture, 12% are planning mergers and acquisitions of assets or companies, 10% are planning to set up a wholly owned manufacturing company.

The survey is bound to stir further debate about whether the investment rush is in Canada’s interest. It also puts notice more so-called Canadian champions that they are vulnerable to deep-pocketed foreigners who may not have the same values.

But it also goes some ways to dealing with misconceptions. Kenny Zhang, senior project manager at the Asia Pacific Foundation, said the results were made public to show that Chinese intentions go far beyond state-owned oil companies looking for a piece of Canadian natural resources. Increasingly, there will be more, smaller players looking to expand in Canada. They are driven by the market, he said, just like their Canadian counterparts.

Read more: http://www.financialpost.com/news/Chinese+look+beyond+patch/4122431/story.html#ixzz1BP5JzU5g
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Old Posted Jan 19, 2011, 11:59 PM
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Old Posted Jan 20, 2011, 12:11 AM
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Ugh... bad news. At least our vfx industry is doing well.
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Old Posted Jan 20, 2011, 12:21 AM
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Ugh... bad news. At least our vfx industry is doing well.
Yeah and I hear EA is doing well. However, I'd like our industry to get bigger!
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Old Posted Jan 20, 2011, 1:00 AM
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I mean, THQ just opened up THQ Canada in Montreal. We really need to do something to attract game developers to Vancouver. How about Activision ?
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Old Posted Jan 20, 2011, 4:16 AM
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I mean, THQ just opened up THQ Canada in Montreal. We really need to do something to attract game developers to Vancouver. How about Activision ?
Activision owns Radical on terminal.

They made the prototype games and are currently making prototype 2.

Ubisoft is in vancouver, ea is, activision is, sony is, friends of nintendo are.

I say we are well off, but if I were to become a billionaire the first thing I would do is bring E3 to Vancouver.
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