Recession Casualties

[adamc]

http://cdn2.hubspot.net/hub/178693/file-409796682-jpg/images/closed_sign.jpg

I'm out of the city for the next few months (maybe longer) as a result of the downturn, so it's hard for me to see what's happening "on the ground" in YYC.
Thought I'd create a thread similar to the "Mergers and Acquisitions" thread to keep track of businesses that have actually gone under due in part or in whole to Alberta's current recession.

Restaurants and bars are of particular interest, but any notable closures can be posted about here.



Rush Ocean/Prime restaurant closed this week after an unsuccessful rebranding.
Black Betty restaurant/bar seems to have closed and is possibly being rebranded.
Big Eagle Hydro Vac went tits up a few weeks ago.



Anyone got anything else?

[vengie]

I don't think Trican will be surviving.

[realazy]

Belfry
Downtown Food

[cycosis]

Im looking for commercial realestate in the NW so keep me posted of anyone going tits up! :) 7500-20,000 sq ft

[lilmira]

Not surprised about Rush, went there in March, service sucked big time.

[dirtsniffer]

chicago chophouse count?

[BananaFob]

Originally posted by realazy
Belfry
Downtown Food

Downtownfood closed because the owner is opening up a new restaurant in Mission. Should be open up soon actually.

[mo_money2supe]

The Keg on 11th AV SW & 5th ST SW just closed its doors. They were apparently the first Keg to open shop in Calgary.

http://globalnews.ca/news/2154177/calgarys-mount-royal-keg-location-shuts-its-doors-after-40-years/

I went there about a month ago for a lunch meeting and while the location is historic, the place was incredibly dead the entire 2-hrs I was there.

[BavarianBeast]

Originally posted by mo_money2supe
The Keg on 12th AV & 5th ST SW just closed its doors. They were apparently the first Keg to open shop in Calgary.

http://globalnews.ca/news/2154177/calgarys-mount-royal-keg-location-shuts-its-doors-after-40-years/

I went there about a month ago for a lunch meeting and while the location is historic, the place was incredibly dead the entire 2-hrs I was there.

Damnit!

That Keg was my hidden gem. You could show up any time, any night of the week and get a table. Damn.

[andyg16]

Originally posted by realazy
Belfry
Downtown Food

I think Belfry is being renovated, at least that's what it said on the sign when I was walking by a couple weeks ago.

[eglove]

Damn, I had a $25 coupon for Black Betty that I had been meaning to use. Lol...though my loss since it has been on my fridge for almost 2 years lol

[rage2]

I've noticed that it's not the recession that's killing off these restaurants, it was the flood. Restaurants never recovered to pre-flood levels of business. I've been able to get seating almost everywhere at lunch without any issues the last 2 years. I have no clue how that's related, but that's what I've seen.

Either that or it's the bike lanes. :devil:

[sexualbanana]

Originally posted by lilmira
Not surprised about Rush, went there in March, service sucked big time.

They were fucking awful last time I was there too.


Originally posted by BavarianBeast


Damnit!

That Keg was my hidden gem. You could show up any time, any night of the week and get a table. Damn.

Probably a sign...

[corsvette]

Originally posted by vengie
I don't think Trican will be surviving.

Wow, thats a big fish to go tits up.

There's talk that Badger Hydrovac is also on the brink.

[asp integra]

As a small business owner, I think people would be surprised with how many established businesses come close to closing down on an almost yearly basis. I was talking with someone who was shopping in the core earlier this month and they mentioned that there were maybe 15-20 places that had gone out of business recently (I haven't checked for myself, just what a customer had said)

[Gman.45]

When I first moved to Calgary in 1994, that Keg was 3 blocks from my Condo. Back in the "Electric Ave" days, it was extremely busy at night on the weekends, and the windows faced out on to the ave, allowing some interesting people watching opportunities while eating your steak. I still like the one on the North West side with the basement bar (if it's still around, it's been 10 years since I was there or longer), but the downtown one was a hidden gem for me as well, going back over 20 years.

[Canucks3322]

You can also blame people eating healthier, Im not even a vegetarian but I have sworn off red meat for the most part, the only beef I eat these days is Pho....haven't had a steak in years, except a couple times when brother in law cooked it and I had a bit....steaks are expensive and unhealthy...

[Xtrema]

Originally posted by BavarianBeast


Damnit!

That Keg was my hidden gem. You could show up any time, any night of the week and get a table. Damn.

The fact that I went to that Keg 2 months ago and it looks the same inside as electric ave days is totally a sign.

And how can a mid week dinner before a Flames game be empty?

[btimbit]

Originally posted by corsvette


Wow, thats a big fish to go tits up.

There's talk that Badger Hydrovac is also on the brink.

I'd believe that. Even before the recession people were starting to realize they're awful.

[Mibz]

Originally posted by Canucks3322
You can also blame people eating healthier, Im not even a vegetarian but I have sworn off red meat for the most part, the only beef I eat these days is Pho....haven't had a steak in years, except a couple times when brother in law cooked it and I had a bit....steaks are expensive and unhealthy... You're like 7 fad diets behind. Wait till I tell you about this awesome new thing called Atkins.

[Darkane]

Originally posted by Canucks3322
You can also blame people eating healthier, Im not even a vegetarian but I have sworn off red meat for the most part, the only beef I eat these days is Pho....haven't had a steak in years, except a couple times when brother in law cooked it and I had a bit....steaks are expensive and unhealthy...

Yeah red meat is the devil. Make sure all pregnant women don't eat red meat.

[rob the knob]

sausage

[J.M.]

:rofl:

[Tik-Tok]

Originally posted by Darkane


Yeah red meat is the devil. Make sure all pregnant women don't eat red meat.

There's like mercury and shit in it. Plus those awful cow farms, where they live their entire lives in cramped cages stacked ceiling high, and just keep plopping babies onto mechanical venison seperaters.

[schocker]

taco time in poo brown place closed I saw

[toastgremlin]

Man, how bad must the economy be when a Taco Time can't stay open? That place is like entirely margin, and in these troubled times a Taco Tuesday is what our economy needs to get back on its feet.

Hell, we should nationalize it and start a government ministry named Taco Canada.

[That.Guy.S30]

For the food industry it's a combination of people cutting back and huge increases in food cost. Our shit dollar makes it worse for food cost as well.

So food goes up, restaurants adjust accordingly but lack of customers or paying customers will just end up killing the business.

The same will happen once 15 bucks minimum wage. Restaurants will belly up.

[Nitro5]

Originally posted by toastgremlin
Man, how bad must the economy be when a Taco Time can't stay open? That place is like entirely margin, and in these troubled times a Taco Tuesday is what our economy needs to get back on its feet.

Hell, we should nationalize it and start a government ministry named Taco Canada.

Because everyone knows that Taco Bell is the only surviving restaurant from the Franchise Wars.

http://i.ytimg.com/vi/1jTn-21xwAw/maxresdefault.jpg

[cosmok]

Originally posted by vengie
I don't think Trican will be surviving.

They closed down their operations here over a week ago, that had to be a huge hit.

[vengie]

Originally posted by cosmok


They closed down their operations here over a week ago, that had to be a huge hit.

And sold of all their Russian assets.

[7thgenvic]

Originally posted by andyg16


I think Belfry is being renovated, at least that's what it said on the sign when I was walking by a couple weeks ago.

Belfry is renovating and is going to be sweet!!!! I love that place.

[JudasJimmy]

My area just had about 3 new ones open and they are packed all the time. It's like people have never see a Restaurant before. 4 fast food open and more on the way. I'm just not seeing a recession.

[Mibz]

Originally posted by vengie
And sold of all their Russian assets. When did this happen?

[roopi]

Originally posted by Mibz
When did this happen?

Discussion started in May. Not sure when it actually closed.


http://calgaryherald.com/business/energy/russian-giants-fracking-entry-a-factor-in-tricans-decision-to-sell-says-ceo

[vengie]

Trican is current trading at $1.05/share, with a total market cap of $156mil.

That is just crazy! :nut:

[Super_Geo]

Originally posted by vengie
Trican is current trading at $1.05/share, with a total market cap of $156mil.

That is just crazy! :nut:


Baytex now <6... Almost a 90% drop from 2014 highs for a generally well regarded company.

[adamc]

Baytex used to be Calgary's mid-market darling. End of an era, guys. :(

I played pool at Melrose with their COO back in the day, nice guy, they used to throw some pretty kickass parties.

[90_Shelby]

Originally posted by roopi


Discussion started in May. Not sure when it actually closed.


http://calgaryherald.com/business/energy/russian-giants-fracking-entry-a-factor-in-tricans-decision-to-sell-says-ceo

http://finance.yahoo.com/news/trican-well-announces-closing-sale-162210953.html

[l/l/rX]

Originally posted by dirtsniffer
chicago chophouse count?

Nah I know the owner, their new location across from city hall (which is now shut down again), was a shitty spot, he was hoping to get all the city hall folks as cliental, but then all that auditing of expenses stuff happened.

[l/l/rX]

Originally posted by adamc

Black Betty restaurant/bar seems to have closed and is possibly being rebranded.


Probably just rebranding, black betty as a nightclub was going downhill way before all this stuff happened. Same sort of thing as Ubu.

[Neil4Speed]

Originally posted by l/l/rX


Probably just rebranding, black betty as a nightclub was going downhill way before all this stuff happened. Same sort of thing as Ubu.

BB is being rebranded as something else and will be coming back,.

[Super_Geo]

Originally posted by l/l/rX


Nah I know the owner, their new location across from city hall (which is now shut down again), was a shitty spot, he was hoping to get all the city hall folks as cliental, but then all that auditing of expenses stuff happened.

I don't think it was the location... It just couldn't compete with the other steakhouses at its price point. I think it would've gone under regardless of location. Vintage is a pain in the ass to get to from there core, but I know of a lot of people willing to make the trek forma business lunch or dinner.

[Maxt]

Originally posted by Super_Geo


I don't think it was the location... It just couldn't compete with the other steakhouses at its price point. I think it would've gone under regardless of location. Vintage is a pain in the ass to get to from there core, but I know of a lot of people willing to make the trek forma business lunch or dinner.
It was the location, that spot in the Burns building has a been a restaurant killer forever.. Through the mid 90's into the early y2k's, I did a bunch of refrigeration work in there under I can't even remember how many different brandings... The big one we did around 96-97, the restaurant went under before it opened and we could even finish it. It went through a re-reno and opened as Drinkwaters, which was a flash in the pan as well.
No street parking, bad drop off point, bums and undersirables, the loading dock is never accessible, and dead at night....:dunno:

[suntan]

Also it's a huge space so whatever's in there needs a LOT of business to stay afloat.

[Cos]

.

[Pacman]

I was at Hy's on Saturday night around 7pm. Place was 1/3 full at the most. Is this typical for a weekend evening or are things slow down there?

[lasimmon]

Encore Wireline/Cementing went belly up a few weeks ago.

[ExtraSlow]

Be very likely either Canyon or Trican closes up before the end of the year.

[vengie]

Originally posted by ExtraSlow
Be very likely either Canyon or Trican closes up before the end of the year.

From what I've heard, Canyon is still quite busy? A friend was just hired in their Frac division.

Trican on the other hand I will be shocked if they make it until Christmas.

[Euro_Trash]

Originally posted by vengie


From what I've heard, Canyon is still quite busy? A friend was just hired in their Frac division.

Trican on the other hand I will be shocked if they make it until Christmas.

Agreed - Canyon should not be grouped with Trican (or Calfrac for that matter)

[ExtraSlow]

Canyon is doing a lot of work, I agree. I'ts my understanding that they are doing much of it at a loss. If they survive, it's a brilliant move to grab market share. But that depends on how long they can keep it up.

[Toma]

I love recessions. They force change, and adventure. I grew up in Calgary during the 80s and 90s.

My dad went from senior Engineer and Project Manager to unemployed. His colleagues went to South America, Mid east etc for jobs.

My dad bought a little shithole restaurant called Mr. Johns in the old Penny Lane building. Who buys a diner during a recession? Lol. Thst ended up being 2 restaurants, and he loved the change and brutal challenge. Ended in bankruotcy many years later, but looking back, he wouldn't have changed a thing. Running a bar and doing closing at age 16 brought some great experiences and adventure for me as well.... we faked like my 16 bday, was my 18th for the benefit of staff, and Alberta Liquor Control.... haha

Life's an adventure. I live for a little turmoil. We get stuck in ruts. Fun to shake things up a little!!

[Royle9]

Originally posted by vengie
I don't think Trican will be surviving.

What makes you say that?
Work related, I'll be getting involved with them on a big scale here as of today.

[riander5]

Originally posted by Pacman
I was at Hy's on Saturday night around 7pm. Place was 1/3 full at the most. Is this typical for a weekend evening or are things slow down there?

Calgary's core is a bit weak for nightlife as its a working downtown. Hy's has never been crazy busy (excluding its opening month). Speaking from 4-5 lunchtime experiences.

Also never order the petit filet. It is truly petit.

[Toma]

Originally posted by riander5


Calgary's core is a bit weak for nightlife as its a working downtown. Hy's has never been crazy busy (excluding its opening month). Speaking from 4-5 lunchtime experiences.

Also never order the petit filet. It is truly petit.

There's a new Hy's?!?!?!

Yummmmm. Best Rib eye, period!

[vengie]

Originally posted by Royle9


What makes you say that?
Work related, I'll be getting involved with them on a big scale here as of today.

Terrible financials, stock has tanked (Trading at ~$1.09). Working for a loss. Trican themselves said they will be hard pressed to survive.

Tons of information out there after their Q2 financials were released.

[lasimmon]

I have a buddy doing cementing for Trican out of Red Deer and he claims they have a bunch of work for the remaining of the year :dunno:

[b_t]

Companies like that though are in business until they very suddenly aren't. Hope they make it though, friend works for them and just bought a house

[vengie]

Originally posted by lasimmon
I have a buddy doing cementing for Trican out of Red Deer and he claims they have a bunch of work for the remaining of the year :dunno:

Yes, they need to keep iron moving. I have it from a very close colleague that they are working for a loss.

I hope Trican does pull through, that will be a major blow and major loss of jobs if they go under... Although I see them being bought out for pennies on the dollar.

[rx7_turbo2]

Originally posted by lasimmon
I have a buddy doing cementing for Trican out of Red Deer and he claims they have a bunch of work for the remaining of the year :dunno:

Anybody doing work for Trican right now should be extremely careful. One minute they're there next they're not. Being told they have "lots of work" means nothing. All of a sudden they start paying invoices in 60 days, then 90, then 120 then there's nobody in accounts payable to talk to. Then you hear on the news.....

[lasimmon]

Hey I am not saying they won't go belly up. Just passing along info.

Cash deposits required? ;)

[OneGreasyHobo]

I'm a Recession Casualty, do I get a badge or something?

[cgyITguy]

Black Betty was months behind on their bills was eventually punted from the building abruptly. I don't think they are re-branding :dunno:

[ICEBERG]

Originally posted by Toma
I love recessions. They force change, and adventure. I grew up in Calgary during the 80s and 90s.

My dad went from senior Engineer and Project Manager to unemployed. His colleagues went to South America, Mid east etc for jobs.

My dad bought a little shithole restaurant called Mr. Johns in the old Penny Lane building. Who buys a diner during a recession? Lol. Thst ended up being 2 restaurants, and he loved the change and brutal challenge. Ended in bankruotcy many years later, but looking back, he wouldn't have changed a thing. Running a bar and doing closing at age 16 brought some great experiences and adventure for me as well.... we faked like my 16 bday, was my 18th for the benefit of staff, and Alberta Liquor Control.... haha

Life's an adventure. I live for a little turmoil. We get stuck in ruts. Fun to shake things up a little!!

We saw and went through lot of shit hey Buddy... Almost 30 years of our manufacturing business gone after all these years.. Pretty sad.. But life goes on. We lived through this crap and surfaced and we will again.

[Toma]

Originally posted by ICEBERG


We saw and went through lot of shit hey Buddy... Almost 30 years of our manufacturing business gone after all these years.. Pretty sad.. But life goes on. We lived through this crap and surfaced and we will again.

Really buddy? I didn't know. Cheap Chinese furniture finally slowed business, or was it the slow down of the economy over the last year ? Shoot me a messge, we should do lunch.

Did support the family all that time though, so ultimately, I call that a success.

[BavarianBeast]

I have a friend working in Houston for Trican. He doesn't seem as worried about the company as you guys are.

[roopi]

Originally posted by BavarianBeast
I have a friend working in Houston for Trican. He doesn't seem as worried about the company as you guys are.

What type of position does he have with Trican?

They may not disappear but they are not in a very good spot at the moment:

http://www.bnn.ca/News/2015/8/14/Trican-Well-Service-sells-unit-tries-to-stave-off-bankruptcy.aspx

If this news was about my company I'd be a little worried about it.

[rx7_turbo2]

Originally posted by roopi
If this news was about my company I'd be a little worried about it.

This.

"Meh I'm not worried, I just can't figure out why my security card won't unlock the door and the parking lot was empty this morning"

[88CRX]

So we went ahead and fixed the glitch...

[BavarianBeast]

Yeah fair enough.

He is a geophysicist working in the lab.

Not saying that I wouldn't be worried, but just didn't seem like he thought he was in hot water.

[riander5]

Originally posted by BavarianBeast
Yeah fair enough.

He is a geophysicist working in the lab.

Not saying that I wouldn't be worried, but just didn't seem like he thought he was in hot water.

His heads to far downhole and looking at all the pretty color maps to see the writing on the wall?

If my companies stock was at ~6% of its 2014 high id be pretty fucking worried - bankruptcy rumors or not!

(Disclosure - my companies stock is down to 40% of its high :( )

[blitz]

Originally posted by BavarianBeast

He is a geophysicist working in the lab

If there's anyone at an O&G company I can picture being completely out of the loop it would be this position. :rofl:

[SKR]

My neighbor works for Trican as a frac QC. He's not too worried either. He said they're busy enough that they're bringing laid off people back. Of course, him saying he's not worried doesn't necessarily mean anything since he's a long way from the decision makers, just like most of us.

[adamc]

Just heard Brava Bistro has served their last Avenue Magazine Award Winning Lobster Poutine™, and have now shut the doors for good.

Had some really nice prix fixe sunday dinners there back in the day, bummer.

[adamc]

Also RE: Trican, field hands are like mushrooms, fed shit and kept in the dark. Ask anyone who has ever worked in the patch, even in the boom times nobody really knows what the schedule is most of the time.

[revelations]

From what I've been hearing (rumours) , the winter will be the last hurrah for many OG companies.

[Neil4Speed]

Originally posted by revelations
From what I've been hearing (rumours) , the winter will be the last hurrah for many OG companies.

Too many details man, too many details... :rolleyes: :)

And regarding Trican... I listened to that conference call and didn't pick up the same elements of doom and gloom. They sold the Russian Unit and that will be used to pay some of their upcoming debt. The US and Canadian ops, along with Norway seem to be doing OK.

I feel like the headlines misrepresented the true situation.

[BigDL]

Originally posted by adamc
Just heard Brava Bistro has served their last Avenue Magazine Award Winning Lobster Poutine™, and have now shut the doors for good.

Had some really nice prix fixe sunday dinners there back in the day, bummer.

They closed down on May 30th, if I remember right they are doing a new concept.

[Rocket1k78]

Originally posted by adamc
Also RE: Trican, field hands are like mushrooms, fed shit and kept in the dark. Ask anyone who has ever worked in the patch, even in the boom times nobody really knows what the schedule is most of the time.

Imma guess Departed is a favorite movie lol

Went for dinner last night with some friends and it wasnt a happy tone thats for sure. It's definitely scary times whether you want to believe it or not.

[adamc]

Originally posted by BigDL


They closed down on May 30th, if I remember right they are doing a new concept.


Was told that Anjeo is taking the space and creating a second location there. My source could be wrong though.

[mr2mike]

Originally posted by revelations
From what I've been hearing (rumours) , LAST winter was the last hurrah for many OG companies.

Fixed!

Xmas parties axed, team party axed.
2016 will be a BYOB Stampede party.

[ExtraSlow]

Have confirmation that layoffs at Devon were targeted and nowhere near the 100 mentioned earlier in this thread. Guy I was talking to could name less than a dozen people in the four departments he works with, so the total has to be between 12 and maybe 25 on the high end.

I also agree with Mike's assessment, and hairstyle.

[killramos]

I'm just surprised we still have a golf tournament this year...

Actually almost annoyed. They cut our salaries with unpaid time off but have money for golf?

I would be right pissed off if i didnt actually enjoy golf.

[bjstare]

Originally posted by killramos
I'm just surprised we still have a golf tournament this year...

Actually almost annoyed. They cut our salaries with unpaid time off but have money for golf?

I would be right pissed off if i didnt actually enjoy golf.

Without knowing how much your salary cut was, I would bet the cost of the golf tourney is very small when compared to the overall savings of the salary cuts. That is to say, you can't really compare the impact of a company wide salary cut to cutting a golf tourney.

I'm in EPC, they cut all that shit long ago for us. haha

[you&me]

Originally posted by adamc
Just heard Brava Bistro has served their last Avenue Magazine Award Winning Lobster Poutine™, and have now shut the doors for good.

Had some really nice prix fixe sunday dinners there back in the day, bummer.

The property is due for redevelopment and the owners of Brava chose not to renew with uncertain terms. This was decided long ago and the O&G situation likely had very little to do with it. Though, perhaps the people at Brava saw the writing on the wall... who knows?

The renos for the new space are mostly done. It will be a tex-mex place by the people from Anejo. (Edit - saw this posted after my post)


A more legitimate casualty, though a matter of time if you ask me, is Candella. Soon to close; a new concept by another ownership group is in the works. Apparently, Candella sunk $2MM into the space just a few years ago... ouch!

[killramos]

Originally posted by cjblair


Without knowing how much your salary cut was, I would bet the cost of the golf tourney is very small when compared to the overall savings of the salary cuts. That is to say, you can't really compare the impact of a company wide salary cut to cutting a golf tourney.

I'm in EPC, they cut all that shit long ago for us. haha

The cut was single digit %, and the tourney isn't even a regular thing ( "2nd annual" :rofl: ). Most of us just saw it as a really bad message on G&A austerity, the tourney was announced 2 weeks after the salary cuts. No idea what a golf tourney costs tbh.

That and going back on promises of granting extended unpaid leave, a buddy of mine just quit over that one. Keeping consultants on that don't do anything etc.

oh well, life goes on.

:dunno:

[killramos]

Originally posted by you&amp;me


The property is due for redevelopment and the owners of Brava chose not to renew with uncertain terms. This was done long ago and the O&amp;G situation likely had very little to do with. Though, perhaps the people at Brava saw the writing on the wall... who knows?

The renos for the new space are mostly done. It will be a tex-mex place by the people from Anejo.


A more legitimate casualty, though a matter of time if you ask me, is Candella. Soon to close; a new concept by another ownership group is in the works. Apparently, Candella sunk $2MM into the space just a few years ago... ouch!

I love candella, but i have to guiltily admit that i never go there :(

[you&me]

Originally posted by killramos


I love candella, but i have to guiltily admit that i never go there :(

Agreed.

Always enjoyed the food and the space, but we just didn't go very often. Can't put my finger on why...

[Xtrema]

Originally posted by BigDL


They closed down on May 30th, if I remember right they are doing a new concept.

This site is under construction, new restaurant will be in there.


Originally posted by you&amp;me


Agreed.

Always enjoyed the food and the space, but we just didn't go very often. Can't put my finger on why...

I think fancy dinning is having issue on 4th. I'm surprised LeVilla is still in business on 4th.

[gkAeris]

Going to Hy's tonight for my birthday, I expect it to be very dead.

lets see.........

[schurchill39]

Originally posted by cosmok
They closed down their operations here over a week ago, that had to be a huge hit.
Australia was a drop in the bucket for Trican. They submitted a bid for a huge project and didn't get the work so they used that as a sign to exit the market for the time being. They also exited Algeria but Saudi Arabia and Columbia operations have been suspended.



Originally posted by vengie
And sold of all their Russian assets.
Correct, on an unsolicited offer to Rosneft. Those guys are buying up all of their service providers. It makes sense that they sold, debt owning aside. If Rosneft accounts for ~50% of your work and now that customer is getting into the same line of business as you not only are you losing that volume of work but you're also gaining a huge competitor for any other work (should they work for anyone but themselves). The final sale price they got for it when everything was said and done and the papers were signed turned out to be $197 million. Kazakhstan is supposedly still being negotiated over because their red tape is a little more intricate. Current analysts assume about $20 million ish for that devision.



Originally posted by roopi
Discussion started in May. Not sure when it actually closed.
May is when it was made public because of the amount of leaks coming out of Russia. Russians have been saying they were in talks for > a year. The deal closed and money was transferred Aug 20th.


Originally posted by vengie
From what I've heard, Canyon is still quite busy? A friend was just hired in their Frac division.

Trican on the other hand I will be shocked if they make it until Christmas.
Canyon, Calfrac, Trican and Sanjel are all busy because they have all idled equipment. With less equipment in the market it forces utilization up. All 4 of those companies are currently booking at least a month out (who knows how long that will last though).



Originally posted by Euro_Trash
Agreed - Canyon should not be grouped with Trican (or Calfrac for that matter)
Why is that? All three are pretty comparable. Sanjel should be in there too.



Originally posted by ExtraSlow
Canyon is doing a lot of work, I agree. I'ts my understanding that they are doing much of it at a loss. If they survive, it's a brilliant move to grab market share. But that depends on how long they can keep it up.
Every fracturing company is doing work at a loss right now. If they tell you otherwise they are lying. How much of a loss they are willing to accept is what differentiates the companies. Larger companies with deep pockets like Schlumberger, and Baker are doing work at a huge loss (think 15-20% or so on one off wells) to try and bleed out the Canadian companies and gain market capacity. Trican's frac equipment utilization has been > 85% for the past 3 weeks and their cement equipment has been around 60% from what I've been told. I've also heard similar numbers from Canyon, Calfrac and Sanjel. Everyone is currently flat out and everyone is working at a loss. Who knows how long the level of work will last though as we near the end of Q2.



Originally posted by vengie


Terrible financials, stock has tanked (Trading at ~$1.09). Working for a loss. Trican themselves said they will be hard pressed to survive.

Tons of information out there after their Q2 financials were released.
That "hard pressed to survive" as quoted by the BNN article was a completely misinterpreted required legal jargon called a "going concern" warning. Very similar to all of the "forward looking statements" at the beginning and the end of any financial results.

The actual quote from their Q2 results is "If this covenant is not met, the Revolving Credit Facility and Senior Notes may become due on demand. This material uncertainty may cast significant doubt with respect to the ability of the Corporation to continue as a going concern."

The debt people talk about is unsecured debt so what would any of the creditors have to gain if they call the debt? They get nothing besides to watch a company go tits up. No monies for anyone! Its in their best interest to renegotiate and if anything get a higher interest rate on the debt owed.


Originally posted by roopi


What type of position does he have with Trican?

They may not disappear but they are not in a very good spot at the moment:

http://www.bnn.ca/News/2015/8/14/Trican-Well-Service-sells-unit-tries-to-stave-off-bankruptcy.aspx

If this news was about my company I'd be a little worried about it.
That article is complete bullshit and does not in any way shape or form reflect the Q2 results nor the conference call they had. There is no doubt in my mind that they will make it through this but much like other service providers, I think they will be a much different company on the other side.



Originally posted by SKR
My neighbor works for Trican as a frac QC. He's not too worried either. He said they're busy enough that they're bringing laid off people back. Of course, him saying he's not worried doesn't necessarily mean anything since he's a long way from the decision makers, just like most of us.
Lots of service companies are bringing people back on contract which I think artificially inflates our employment feeling (Schlumberger being the biggest one). Trican, Calfrac and Canyon are slowly bringing people back few by few mostly in their field operations. Canyon is switching their product haulers to hourly like the rest of the truckers in the industry and the other ones are considering it but no one has commited.


Originally posted by Neil4Speed

And regarding Trican... I listened to that conference call and didn't pick up the same elements of doom and gloom. They sold the Russian Unit and that will be used to pay some of their upcoming debt. The US and Canadian ops, along with Norway seem to be doing OK.

I feel like the headlines misrepresented the true situation.
My exact feelings. Are they doing awesome? No, but they aren't nearly in as bad of a place as the articles make them out to be. I got a really good feeling reading the results and listening to the call. All of the frac companies really sounded pretty similar on their conference calls. If anything I think the Canyon guy sounded pretty arrogant on his call.


Originally posted by 7thgenvic


Belfry is renovating and is going to be sweet!!!! I love that place.

Are you on glue?! You're the first person I've ever heard say that they like the Belfry for anything besides the beer. Their food is gross and the talent is poor. I hear that the owner of Celis bought them so hopefully they step up their food game.

EDIT: Clarity

[gkAeris]

What recession, I was at Hy's yesterday and there was about 30+ tables at the place.... pretty busy I would say about 70-80% full....

it was surpising......

[killramos]

Originally posted by gkAeris
What recession, I was at Hy's yesterday and there was about 30+ tables at the place.... pretty busy I would say about 70-80% full....

it was surpising......

I went for lunch at Township yesterday before 11:30 and had to sit at the bar...

They were full :dunno:

[Robin Goodfellow]

Since the spring I've been seeing a *LOT* of "Moving sales" in my neighborhood.

Even worse are the piles of household stuff stacked on front lawns with signs that say "Free".

Went to a favorite family-owned neighborhood restaurant a few weeks ago. The owner came and sat with us and chatted at length. After we left, I realized they were saying goodbye.


Fucking heartbreaking.

[rage2]

Kijiji is full of moving-take-my-stuff-for-free ads. It's crazy though with so many people moving out of Calgary, we're still seeing a net interprovincial and international migration into Calgary monthly.

[adamc]

Originally posted by Robin Goodfellow
Fucking heartbreaking.

On the flip side, a lot of people I know are thrilled to have this clean break with Calgary and head back "home" after living and working away for years.

I've actually seen friends who were former 200k /year earners move back to B.C. for 70k a year jobs and are overjoyed at the thought of never having to deal with 'Berta again.

[roopi]

Originally posted by adamc

I've actually seen friends who were former 200k /year earners move back to B.C. for 70k a year jobs and are overjoyed at the thought of never having to deal with 'Berta again.

They say that now. If oil gets to $100 they will be back.

[Manhattan]

Originally posted by rage2
Kijiji is full of moving-take-my-stuff-for-free ads. It's crazy though with so many people moving out of Calgary, we're still seeing a net interprovincial and international migration into Calgary monthly.

Where do you go to get net migration figures?

[TomcoPDR]

Originally posted by gkAeris
What recession, I was at Hy's yesterday and there was about 30+ tables at the place.... pretty busy I would say about 70-80% full....

it was surpising......

Be honest. Were 90% out of those, your party guests??

[gkAeris]

went to gulf Canada square for an extreme pita today.....

they shut down....since Monday... the other fast food kiosk said they might have to follow suit soon, with baker hughes and ConocoPhillips doing so many layoffs they just aren't getting the same lunch traffic.....healthy choices, the Chinese take out....
:(