Montreal, QC – Despite a significant increase in ridership, Via Rail’s earnings have fallen short of 2019 levels, resulting in mounting losses for the company.
According to Via Rail’s latest financial report, the number of passengers using their services has jumped by a staggering 50% compared to last year. However, this increase is still not enough to match the pre-pandemic levels of 2019.
The company’s CEO, Cynthia Garneau, attributes this growth to the gradual easing of travel restrictions and the implementation of strict safety measures on board their trains. She also acknowledges the ongoing support from the federal government, which has allowed Via Rail to continue operating during these challenging times.
Despite the positive news of increased ridership, Via Rail’s earnings have taken a hit. The company reported a loss of $74 million in the first quarter of 2021, compared to a loss of $18 million in the same period last year. This significant loss is mainly due to the ongoing travel restrictions and reduced capacity on trains to ensure physical distancing.
Garneau remains optimistic about the future, stating that the company is continuously adapting to the changing circumstances and is committed to providing safe and reliable transportation for Canadians. She also emphasizes the importance of government support in helping Via Rail recover from the financial impact of the pandemic.
In addition to the financial challenges, Via Rail is also facing criticism for its decision to temporarily suspend service on some routes, including the popular Toronto to Vancouver route. The company explains that this decision was made to ensure the safety of passengers and employees, as well as to reduce costs during this difficult time.
Despite the setbacks, Via Rail remains committed to its mission of connecting Canadians and promoting sustainable transportation. The company is closely monitoring the situation and is ready to adjust its operations as needed to ensure the safety and well-being of its passengers and employees.
In conclusion, while Via Rail has seen a significant increase in ridership, the company continues to face financial challenges due to the ongoing pandemic. However, with the support of the government and their commitment to safety, Via Rail remains determined to overcome these obstacles and continue providing essential transportation services for Canadians.
