Falling Canadian dollar hurts Valley businesses

Canada’s sliding currency has snowbirds tightening their belts at the expense of local businesses.

The Canadian dollar fell Wednesday to 76 cents U.S.

Snowbirds are changing their spending habits and businesses here say it’s hurting their bottom lines.

“Just more careful, looking more for sale items,” visiting Canadian Lori Brooks said.

The Canadian dollar isn’t stretching very far these days.

“It certainly affects the amount of money that you feel like spending or can spend,” snowbird Linda Forzani said.

Forzani is spending money, but is very aware her money isn’t going as far now.

“I am thinking twice about things, but I must say that here I am making a purchase today. I just think it’s a fact of life,” Forzani said.

At El Paseo Jewelers in Palm Desert, sales to Canadians have dropped over the last two years.

“Some of them, not all, did change their shopping habits and it made a difference in last year’s sales for us from Canadians,” said El Paseo Jewelers CEO Raju Mehta. “When it happens you try to scramble and try to get other other business from other avenues. There is plenty of money in the United State of America, too.”

Canadians might be more conscience of their spending, but they still are spending.

“We still are coming over to the states quite a bit, just more careful on what we spend our money on. We like shopping here. There is a lot of different things, different stores that we don’t have at home,” said Brooks.

“They are talking about cutting back, but we still go out and have dinner and enjoy those things,” said Forzani.

The Greater Palm Springs Convention & Visitors Bureau said interest in the Valley is still high. Winter is on its way and the Coachella Valley’s sunshine provides the perfect escape.

“You still see those people that want to come out. They are planning their holiday, they want to get out of the cold, so they are going to make it work,” said Travel Industry Sales Vice President Ashlee Ciora.

“If we can ride out 2009 and ’10, we can ride out this one too,” said Mehta.