Canada Jetlines – “We’re Going To Start A Rebellion Against High Air Fares In Canada”


This was the core theme as Stan Gadek, CEO of Canada Jetlines, spoke to members of the press and media this morning (September 11) on the heels of the announcement that the new airline will offer ultra-low fare service from both John C. Munro Hamilton International Airport and Region of Waterloo International Airport when it begins flight operations in Summer 2018.

Mr. Gadek said the target date to be in the air is June 1st, 2018, starting with two Boeing 737-800NG aircraft, then adding two more by August, and another two aircraft by November. Below are the route maps that will expand in conjunction with the addition of aircraft.

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He spoke at length about cost control to ensure that “we will always have the lowest airfare” and that the company’s modeling is looking for a Cost Per Seat Mile of 9.5 cents, which is lower than any of the Ultra-Low Cost Carriers in the United States and considerably under Westjet’s 12.5 cents.

To view the news conference and follow-up questions, see below or click here.

Mr. Gadek was asked about Westjet’s plans to launch a low cost airline in the summer of 2018, which he addressed in detail and also cited the example of how American Airlines tried to go head to head with Jet Blue when it launched its initial operations in the United States. His answer starts at the 21 minute mark.

Further to the entire issue of cost control, the new arrangements with Hamilton and Waterloo airports are important components of the business case and certainly so in comparison to basing operations at Toronto’s Pearson International airport. Of note is the fact that there is a “catch basin” of four million people within a 90 minute drive from John C. Munro Hamilton International Airport and Region of Waterloo International Airport.

A promotional video that Hamilton produced covers all of its advantages, with these points reflecting Canada Jetlines’ decision to base operations from there as well as Waterloo Regional.

Following the news conference and a round of interviews, Mr. Gadek was off to BNN TV where he sat down with Michael Hainsworth and told him that Canada Jetlines’ airfares would be as “low as the cost of a pair of jeans”.  

To view BNN interview, please click here

Canada Jetlines CEO Significantly Increases Share Position


Stan Gadek only stepped into his role as CEO on June 1st of this year, and he’s wasting little time in building a material position in what will be Canada’s first Ultra Low-Cost Carrier airline.

In a clear affirmation of his belief in the future, during July Mr. Gadek purchased 500 thousand shares at $0.20 each and has just acquired an additional 1.9 million shares in a private purchase from the company’s former CEO. Mr. Gadek now owns 2.4 million shares and has made a significant capital investment.

He is now the single biggest insider shareholder right behind Executive Chairman Mark Morabito who owns just over 2.6 million shares. Dixon Lawson who is VP of Strategic Planning and Cost Control also owns a healthy position of 1.22 million shares.

To review Mr. Gadek’s previous highly successful career in the U.S. airline industry as well as  view his interview on BNN TV the day after his official appointment, please click here.


CEMATRIX Corporation (CVX:TSXV) Releases Project Videos

It has been well discussed in the past as to the wide variety of uses and multiple benefits of cellular concrete, especially when having to deal with less than stable soil conditions.

To make it easier to appreciate the scope and complexity of the type of projects that CEMATRIX has successfully tackled, the company recently completed a series of videos that highlight major pours at bridge sites, refineries, utility corridors and roadways.

Use the link below to access five separate videos, one of which details the process from “A to Z”.

FLYHT Aerospace – Boeing Test Draws Attention Of Avionics Magazine

FLYHT Aerospace has been featured in the August/September edition of Avionics Magazine online as a result of an August 10, 2017 announcement, regarding the company’s collaboration with Boeing.

The article specifically states, “FLYHT Aerospace Solutions is supplying its UpTime™ Cloud automated flight information reporting product and management platform to Boeing as part of its upcoming flight test program on a FedEx 777. FLYHT is participating in the Boeing ecoDemonstrator Program to collect data and produce test reports necessary to demonstrate autonomous distress tracking and the timely recovery of flight data to help drive industry standardization and requirements. The company’s portion of the ecoDemonstrator Program was initiated in April and is expected to be completed in 2018.”

About Avionics Magazine

Avionics is the leading source for global aviation technology intelligence, covering the latest developments with the connected aircraft, NextGen, avionics innovation and global air traffic management modernization. More than a magazine, this is the platform for in-depth analysis on the global aircraft electronics market, used by top avionics executives, engineers, pilots and professionals throughout the value chain.

This site generates 56,000 page views per month, with 21,770 unique visitors. 41% of our visitors come from international sources

To read the article in its entirety, please click here.


FLYHT Aerospace Second Quarter Conference Call Now Available Online

We’re keenly aware that at first blush investors will see a decrease in revenue and an increase in expenses over last quarter and immediately jump to the conclusion that something’s wrong with the company. However, once the time is taken to dig into the numbers and listen to today’s (August 17th) conference call, the quarterly results are a minor bump in the road. The uptrend is fully expected to continue, which has seen seven consecutive record quarters and four profitable quarters.

Plain and simple the second quarter was impacted by the following:

  • The first half of the year is cyclically slower than the second half for FLYHT.
  • Revenue was $3.4 million, which is only 4% lower than the same quarter a year ago. The revenue shortfall relative to last year was in FLYHT’s recognition of AFIRS™ hardware units. According to Tom Schmutz on the conference call earlier today, “We recognized 17 units this quarter compared to 27 a year ago. However, June was a very strong month; where we recognized 60% of the revenue from AFIRS units, but April and May were slow. The recognition rules vary according to use case and situation, so it can get complicated and timing does play a part in when we can recognize both the hardware and the resulting services.”
  • It’s important to note that the other revenue categories were up this quarter.  Schmutz stated, “The Voice and Data services revenue component, which is the Software as a Service component, was up 14% over Q2 2016 and Parts sales, which includes the IP license payments for our shipments to A320 and A330 production and retrofit, was up 31% over Q2 2016.”
  • The second quarter bears the weight of non-cash charges from issuance of stock options. In this regard, Mr. Schmutz stated, “It would be nice to be able to spread these non-cash charges across the year, rather than burden one quarter, but it is not practical from an accounting standpoint to do so. These options are very important to the business because they are the primary method at the board and management’s disposal to attract and motivate the quality people that we need to be successful in this very competitive business. When we take the non-cash charge out of the quarter, we were slightly negative at $330k, which again results from a shortfall of recognizing AFIRS kits in the quarter.”  
  • Also in the second quarter of 2016 FLYHT recorded a sale of Intellectual Property for $3.2 million.
  • With the total revenues for the first half of 2017 things are looking very positive. Schmutz addressed this point on the call by stating, “Overall the first half total revenues are 16% better than this time last year. The AFIRS hardware revenue is within 1% of last year, Voice and Data Service revenue is up 11%, and Parts revenue is up 41%, relative to last year…Historically, our business is cyclical; the first half of the year traditionally lags the second half for overall revenues. We are therefore optimistic for the second half of the year. On the very good news front, June hardware recognition was brisk, and the value and quantity of shipments in June and July have been exceptional. In fact, during July, I believe set a company record for the value of units that we shipped; and we are actually ahead of estimated 2017 budget through July for the value of shipped units. We are therefore optimistic that the AFIRS revenue will catch up to where we planned it to be in the third quarter of this year.”
  • Sales have been progressing well both in the quarter and year to date. Addressing this Mr. Schmutz said, “During the second quarter, we have received sales orders in new contracts or purchase orders for nearly USD $5 million for Parts, AFIRS Hardware and Voice & Data contracts. During the first quarter, we had new orders for a little over USD $5.6 million. This brings us to over USD $10.5 million in new sales orders for the first half of the year, which exceeds our revenue for the same period, so we are looking good from a book to bill ratio at the midpoint in the year.
  • The sales backlog is growing and is stronger than ever. To this point, Mr. Schmutz stated, “The sales Backlog, which I reported earlier this year exceeds $25 million and creates significant optimism for our ability to achieve future revenue goals. Bottom line, we have a very exciting sales funnel and I hope to be bringing new sales news quite soon.”

In regard to operations, Mr. Schmutz provided a broad overview of all the things the company is working on.

  • “Operationally, FLYHT has a wonderful opportunity, having signed agreements for two trials to test Autonomous Distress Tracking and Timely Access to Flight Data features of our product which will satisfy requirements levied by the International Civil Aviation Organization (or ICAO) for new aircraft in service by 2021.  FLYHT recently announced the U.S. patent for our FLYHTStream™ capability which is also registered in China and some other countries. It is awesome to see these patented capabilities that FLYHT has been offering commercially within the industry for several years being recognized as a potential solution for the way aircraft will operate soon and beyond.”
  • “One trial is being conducted by FLYHT and Boeing on a FedEx B777. The second trial is with industry heavyweights and has not been announced yet, but we hope it will be soon. Both trials will use our real-time data streaming capability and will use either satellite constellations from Iridium or Inmarsat or, in the case of Boeing, both. We have modified the AFIRS unit so that is can stream over different technologies; so, we can use the organic Iridium resources inside the AFIRS or we can use alternate communication resources that may exist on the aircraft. The data sets from these trials will validate this fantastic approach to the connected flight deck and will be used to drive industry standards with FLYHT serving as the streaming technology expert in these trials.  The logistics and planning phases for both trials are underway; we expect to have conducted flight tests for one of the trials in this calendar year and early next year for the other trial. It is also wonderful to see FLYHT working directly with these large corporations and not through intermediaries; to me this speaks volumes about the maturation process that FLYHT has undergone the past few years and I am very proud to be able to represent our company to these organizations.”

Listen below to today’s second quarter conference call in its entirety or click here.

Alex Ruus On BNN: “Air Canada Would Be Smart To Add FLYHT Onto Their Fleet”

Almost without exception, Arrow Capital Portfolio Manager Alex Ruus receives a question about FLYHT Aerospace during his many appearances on Canada’s Business News Network (BNN). Yesterday was no different as he detailed a number of positives in response to a caller’s query about the company. Here are some highlights:

  • Great little company.
  • Just recently emerged into profitability.
  • This is the type of leader of tomorrow we like to invest in.
  • It’s a very cheap stock right now, it trades at a market cap of under $50 million.
  • They provide what I call smart black box streaming. It would help deal with issues like MH-370 that disappeared five years ago and still hasn’t been found. That would never have happened if it had the FLYHT equipment on. More importantly it is an economic sale to the airline. They sell their product to the airline, a streaming service and it helps them maximize profitability of their planes.
  • They are on the assembly line of Airbus on the A-320 line and we think they could have some breakthroughs with other OEMs in the next year or two, as well as they could get some very big airline customers.
  • They have about 1,000 units out in the market so far and they get a recurring revenue stream off of each of those units.
  • I think a company like Air Canada would be smart to add FLYHT onto their fleet because we think that would allow them to increase their utilization of assets.

To view the full segment, please click here.


Insiders Buying Canada Jetlines (TSXV: JET)

New Jetlines CEO Stan Gadek has been buying JET in the $0.20 range and so far has accumulated 500,000 shares since his first transaction the week of July 11/17.

Chairman Mark Morabito had purchased an additional 246,000 shares in June at an average cost of $0.21.

Two other directors of the Company have also been in the market purchasing JET since early this month and accumulated 50,000 shares between them.

QYOU’s CEO Curt Marvis Interviewed – “Our Market Is Truly Global”

“Anyone Who Is Displaying And Distributing Content To A Screen Worldwide Is Potentially A Customer For Us” – Curt Marvis, CEO of QYOU

Mr. Marvis recently sat down with Lawrence Harte who has interviewed over 3800 tech and business leaders with his podcast being carried on Internet TV Plus. The 30-minute interview covered much of QYOU’s business offering including:

  • What is a Short Video TV Channel?
  • Why are Short Video TV Channels important?
  • Who needs a Short Video TV Channel solution?
  • How do you create a Short Video TV Channel?
  • What changes are needed to implement Short Video TV Channels?
  • How long does it take to setup a Short Video TV Channel solution?
  • What services and/or equipment are needed to provide Short Video TV Channels?
  • Are there other benefits to branded Short Video TV Channel Solutions?
  • Any special training required for operators or users?
  • Will Short Video TV Channels work with most systems?
  • Are there industry standards for Short Video TV Channels?

To listen to the interview, click below or go to:


WINGS Magazine Names FLYHT VP Operations In 20 Under 40 List

The collective FLYHT team would like to congratulate Mat Plamondon, FLYHT’s 38 year old Vice President of Operations and Customer Fulfillment for being recognized in WINGS Magazine’s, 20 under 40 list for 2017.

The article refers to Mat as “a ‘high potential’ executive on the rise.” His role at FLYHT has him overseeing international operations. Acknowledging that “he does it with determination and verve, showing a commitment to excellence that is truly infectious.

The article states, “Plamondon brings more than 18 years of experience to his role and works hard to ensure his customers get maximum value from the products FLYHT creates. He joined the FLYHT team because he maintains that real-time data that the Flight Information Reporting System (AFIRS™) offers can increase efficiencies and safety throughout the industry.

About WINGS Magazine
WINGS Magazine is Canada’s only premiere national aviation magazine, providing comprehensive coverage of commercial, corporate, general and military aviation in Canada and around the world.

Wings Magazine is behind many of Canada’s leading aviation initiatives, such as the Careers in Aviation guide and expos, the annual FBO Survey, MRO Directory, Industry Roundtable, CBAA show guide and directory, and more.

To view the article, please click here. Mat is featured on page 27.

QYOU Media Management Update and Discussion Call Now Available

Recent News and Financial Outlook Discussion


The market has been responding very positively to yesterday’s (June 27th) “news filled” management update call with the stock climbing above $0.50 on more than two million shares as of this writing. 

Chairman G. Scott Paterson and CEO Curt Marvis hosted the company’s first investor call, with  Mr. Paterson commenting that the board is encouraged more than it ever has been with QYOU’s business. He believes the stock is grossly undervalued based on recent accomplishments, and especially so in light of yesterday’s news on the expansion of the relationship with Tata Sky.

Understandably, he’s happy to see the market’s positive reaction and stated, “there is lots more planned on the investor relations front.”

To view Tata Sky news release, click here.

CEO Curt Marvis started his discussion about the roll out and early success of QYOU’s partnership broadcasting its specialty programming through Tata Sky in India.  Although they had just started broadcasting QYOU programming in December 2016, significant uptake in viewership resulted in approval for Tata Sky to broadcast QYOU’s 24/7 service of online content to 17 million devices.

Mr. Marvis discussed the success of its ongoing relationship with Sinclair Broadcast Group and its TBD Network, which is currently available on a free-to-air basis in the U.S. to nearly 40 million homes, hopefully growing that to over 70 million this year.

Mr. Marvis also discussed the significant revenue growth QYOU has achieved this year and mentioned he is comfortable projecting 3x growth over 2016 towards ~$7 million in revenue this year.  A large percentage of 2017’s revenue will carry into 2018, where he can see another 2-3x growth again to between $15 and $21 million.  2018 will see positive EBITDA margins as well.

The recent financial guidance can be viewed in the new investor presentation that is now available by clicking here.

Listen to the Management call below or click here.

Canada Jetlines – Wheels Up In 2018


Although the new CEO of Canada Jetlines (TSXV:JET) has only been in the Captain’s seat for one day, his role in leading what will be Canada’s first ULCC (Ultra Low Cost Carrier) has caught the quick attention of the media and press.

Stan Gadek, who is also a director of JET, has a very successful career in the aviation industry south of the border including a major turnaround (Sun Country) as well as Senior VP Finance with NYSE listed AirTrans, which was sold to Southwest for $1.3 billion in cash and stock.

As was noted in a March 2013 article in Minnesota newspaper the StarTribune: “Gadek, who ran the airline for nearly five years, took over as CEO in 2008 just as it was tail-spinning into bankruptcy. Gadek is credited with turning Sun Country into a solid money ­making operation within two years of his arrival.”

Mr. Gadek was a guest on BNN’s The Business News with Michael Hainsworth today where he noted that JET will take to the skies in 2018.

In the interview, Michael Hainsworth stated that Jetlines was 65% foreign owned and 35% domestically owned. By way of correction, here are the actual numbers as of March 31, 2017:

Canada:                49,941,715 shares –  5,039 shareholders – 86.6%
US:                          4,101,499 shares –  3,513 shareholders  – 7.2%
Foreign:                   3,593,195 shares –      69 shareholders  –  6.2%

Source – Computershare Investor Services Inc., Broadridge Canada and Broadridge US.

Interview highlights include:

  • ULCC’s have been very successful in markets that have high airfares and Canada’s fares are 16th highest in the world.
  • Jetlines will have the lowest costs in the industry and will offer fares at a significantly lower price point than the incumbent carriers thus stimulating demand and driving profitability.
  • Lower costs start with productivity.

To watch the BNN interview, please click here.


Alex Ruus Discusses FLYHT On BNN – “We Think It’s Quite Undervalued Here”

Late yesterday, long-time supporter and shareholder Alex Ruus, Portfolio Manager at Arrow Capital Management, was upbeat in his response to a question on FLYHT Aerospace while appearing on Canada’s Business News Network (BNN).

Mr. Ruus closed the segment by stating, “It’s taken a while to develop the market, but it’s now turned profitable in the last year. We think the stock’s actually quite undervalued here, and if you bought it today I think if you look 12 to 24 months out, you’ll be very, very happy owning this stock.”

To watch the full segment, please click here.

LAFARGE and CEMATRIX Demo Day a Huge Success

A joint LAFARGE/CEMATRIX demo day was held at the LAFARGE Caledon Aggregate facility in Caledon, Ontario on April 27th, 2017.

Over 120 engineers from provincial and regional municipalities and cities, transportation consulting engineering firms from Southern Ontario, including the GTA, as well as some local shareholders attended a special BBQ luncheon.

CEMATRIX demonstrated the production and placement of cellular concrete behind MSE retaining walls, culvert backfill and culvert relines, as well as road base insulation and support.

Positive feedback has been received from many participants including a couple of long-term shareholders that had never actually seen the product used up close. CEMATRIX management noted that investors were impressed with the discussions around prospective future engineering customers and the numerous applications for CEMATRIX and its cellular concrete solutions.

CEMATRIX Wet Mix Unit – up to 75 cu. m. per hr.

MSE Lightweight Backfill – large volume projects.

Attendees witnessing the backfill of an abandoned culvert. Complete MSE panel pour in picture foreground.

Cellular Concrete makes the re-line of culverts of all diameters and lengths easy.


Bob McWhirter Lays Out (Some) Opportunities For FLYHT On BNN

Yesterday on Canada’s Business News Network, Selective Asset Management’s Bob McWhirter took a question from a caller on FLYHT Aerospace.  As a long-time follower and investor in FLYHT he made the following key points:

  •  “They just announced a new contract with a Chinese airline. China really is the key for the company, because China is building out a massive increase in their fleets and actual airports.”
  • “The real key at the moment is the device by FLYHT is added as an option on the Airbus line, which is one of the large airframe makers.”
  • “There is speculation that Boeing would end up doing the same. The question becomes if Boeing were to do that, then it would be quite significant.”
  • “So, they have two pieces of the puzzle at the moment. One is will Boeing end up certifying and offering their clients and customers, the ability to end up like Airbus, having installed as an option initially, as well as can they end up getting further penetration in China.”

To view full segment, go to:

QYOU CEO Presents At New York MicroCap Conference

Curt Marvis, CEO of QYOU Media Inc., presented the newly trading company to buy-side investors through a series of one-on-one meetings followed by a formal presentation to attendees at the annual MicroCap Conference in New York City.

Mr. Marvis delivers a compelling 23-minute presentation summarizing QYOU and its global opportunity of curating, programming and packaging premium short form web video.

To access the presentation, please click here.

Curt Marvis presenting at The MicroCap Conference on April 4, 2017