In class the other week, a guest professor came in and discussed his field of operations with us. Operations is especially relevant with the recent news from Air Canada, where their stock has gone up 13 percent due to cutting costs around the airline. Essentially, the operations sector which has handled the day to day operations in trying to pursue profits. Profits have risen this quarter because the company costs have gone down. While competition is increasing and new airlines are trying to muscle in on the Canadian market, banks such as RBC place it’s value as the highest among Canadian airlines, showing that this overall wellness in operations will lead to better odds of long-term financial solvency for the company. Also linking back to what we have learned earlier in the year, Air Canada is moving to slash pension deficits and remove such legacy costs and future costs from costing the airline an arm and a leg, and allowing it to expand in the future, which is further expanded upon here. The carrier needs these cost cuts to allow the rapid expansion and addition of newer airlines like 777’s and 787’s into the overall carrier size of the airline.