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Old July 14th, 2008, 06:00 AM   #1
mr.x
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Bombardier's new C-Series plane to sell like hotcakes









Analysts predict Bombardier's new CSeries jet to sell like hotcakes

3 hours ago
The Canadian Press

MONTREAL — Canada's lone aircraft maker has pinned its future on being able to buck a worldwide slump in airplane sales with a new environmentally friendly jet to be assembled in Montreal.

Bombardier Inc. (TSX:BBD.B) announced Sunday that it is finally going ahead with the CSeries passenger jet, hoping its fuel-efficient engine will lure airlines coping with volatile fuel prices.

Company president and chief executive Pierre Beaudoin promised the CSeries would do nothing less than "revolutionize" the 100-to 149-seat commercial market.

Bombardier went ahead with the launch on the eve of Britain's prestigious Farnborough Air Show, with only a provisional order for 30 planes from German airline Lufthansa.

That's a far cry from the 50-100 orders the company had said it needed before moving ahead with the $3.3 billion venture.

But along with its provisional order, Lufthansa took out an option for 30 more jets. At a price of US$46.7 million each, the deal could eventually be worth more than $2.8 billion.

And on the cusp of one of the world's most important air shows, industry analysts predicted more good news announcements would be in store for Bombardier.

"(The CSeries) is going to sell like hotcakes," said Jacques Kavafian of Toronto-based Research Capital. "We think that before the show ends, they're going to book a lot more orders."

Kavafian indicated deals with Qatar Airways and International Lease Finance Corp. are likely in the works, while others with Shanghai Airlines and China Southern could be in the offing.

Bombardier confirmed Sunday that discussions with a number of airlines worldwide "are progressing well."

"We are engaged in active and very promising discussions with a number of airlines worldwide," Beaudoin told reporters in Farnborough.

Even without any firm contracts, Bombardier's workers joined Quebec's political class to hail the move to go ahead with the CSeries as essential for the country's aerospace industry.

The long-range jet will be designed and manufactured at its aircraft factory in Belfast, Northern Ireland.

But the manufacture of the aircraft's aft fuselage and cockpit will take place at its plant in Saint-Laurent, Que., while the final assembly will take place at a plant to be built in nearby Mirabel.


Quebec Premier Jean Charest said the CSeries will create 3,500 direct jobs in the province, along with several hundred spin-off opportunities.

"It's the entire Quebec economy that will benefit, not just Montreal but the regions as well," Charest told a news conference in Mirabel on Sunday.

The CSeries project will be financed partly by loans from Ottawa and the governments of Quebec, Northern Ireland and Britain.

Guy C. Hachey, president and chief operating officer at Bombardier Aerospace, called the CSeries aircraft program "a compelling business proposal" for both Canada and Quebec as well as Northern Ireland and the British government.

"It involves, among other things, the development of new technology, creation of employment and further consolidation of Canada's leadership in the aerospace industry," said Hachey.

"Our partners, including governments and suppliers, will benefit from the program's success."

Montreal narrowly beat out Kansas City, Mo., as the location for the assembly work. Charest acknowledged that his government "adjusted" its loan offer in light of the competition.

Quebec will invest $117 million in the project, while the federal government will inject $350 million.

Though the loans are interest free, both levels of government will recoup an undisclosed dividend for each plane sold.

"This is a situation where we all will emerge as winners," Charest said, adding his government is also committed to financing the building of the new plant in Mirabel.

Another major obstacle to the work being done in Canada was removed last week when Bombardier machinists voted 82.6 per cent in favour of a new tentative agreement - provided the new planes are built in Quebec.

The workers agreed that up to 15 per cent of the employees would work under a six-year contract with longer probation periods.

The new deal includes a 3.25 per cent salary increase per year over six years.

"These jobs will attract young people to the aerospace industry," said Michel Arsenault, head of the Quebec Federation of Labour , which represents Bombardier's machinists union.

"They will help make aerospace to Quebec what the car industry is to Ontario."

Underscoring the risk behind the project is the fact Bombardier has never built a plane as large as the planned CSeries.

The 100-to 149-seat commercial market is currently dominated by Europe's Airbus Industries and Chicago-based Boeing Co. (NYSE:BA), the world's two biggest commercial aviation companies.

"This is definitely the largest airplane, size wise, that Bombardier has ever endeavoured on," said Benjamin Boehm, director of the C-Series program.

"It's a move into the mainline market segment where we're targeting with this the larger mainline carriers."

Bombardier officials called the plane "the greenest of its class" and say it will be about 20 per cent more fuel efficient than its rivals.


That could provide a significant market opening for Bombardier at a time when the industry is racking up massive losses - about US$2.3 billion forecast for this year alone - and 25 airlines have shut down in the last six months.

"I think the CSeries could potentially be one of the best selling narrow-body airplanes in history because of its operational cost savings,"
analyst Kavafian said.

With record world oil prices, the costs of jet fuel has doubled in the last year and many airlines have cut jobs and reduced capacity to cope, or gone out of business.

Air Canada, (TSX:AC.B) Canada's largest air carrier, has cut 2,000 jobs and reduced capacity by about seven per cent to reduce expenses.


Executives at Lufthansa said the plane appealed to their need to keep fuel costs under control.

"Our initial evaluations of the CSeries family of aircraft and discussions with Bombardier over the last few months have evolved and made us believe that the CSeries family of aircraft clearly meets our stringent requirements for sustainable fleet development," said Nico Buchholz, senior vice-president, corporate fleet.

"After watching the development of the geared turbofan engine since the very early stages, we are confident that this next generation engine will deliver on its targets of double digit reductions in fuel burn, environmental emissions, engine noise and operating costs."

One of the world's major jet engine makers, Pratt & Whitney, will build the geared turbofan engine that will power the CSeries. Pratt & Whitney, which has major operations in the Montreal-area, is a division of United Technologies Corp. (NYSE: UTX).

The first of the CSeries are slated for delivery in 2013.










Monday, July 14, 2008

Bombardier to invest a record £500m in Belfast aircraft plant

GERRY MORIARTY, Northern Editor

FIRST MINISTER Peter Robinson has described as “the most important investment in Northern Ireland for a generation” the decision by Canadian aircraft manufacturer Bombardier to invest £500 million (€625 million) in its Northern Ireland operation for a new series of aircraft.

The investment, which Deputy First Minister Martin McGuinness said was won following joint lobbying by himself and Mr Robinson of British prime minister Gordon Brown, will sustain more than 800 jobs at Bombardier in east Belfast.

It is the biggest single investment by any company in Northern Ireland.

Bombardier in Belfast will manufacture the wings for the company’s new series of aircraft called the CSeries, described as “the greenest single-aisle aircraft in its class”.

The British government is providing funding of £52 million to the project in Belfast as part of a wider contribution of £155 million to Bombardier.

Bombardier announced the project yesterday at the Farnborough International Airshow in England. At the announcement were the DUP Minister of Enterprise, Trade and Industry Arlene Foster and Northern Secretary Shaun Woodward.

Bombardier said that German airline Lufthansa has signed a letter of interest for up to 60 CSeries aircraft at an approximate price of $46.7 million (€29.4 million) each. They are due to enter into service in 2013.

It added that “discussions with a number of established airlines worldwide are progressing well”.

The final assembly of the aircraft will be at Mirabel near Montreal in Canada. Its fuselage and cockpit will be manufactured at Bombardier Aerospace’s facility at Saint Laurent in Canada. Belfast will design and manufacture the wings.

Bombardier has major ambitions for the CSeries aircrafts which will carry between 110 and 130 passengers. It believes that there is a demand for 6,300 aircraft in the 100- to 149-seat commercial aircraft market over the next 20 years. This business, according to the company, is worth $250 billion and Bombardier “expects to be able to capture up to half of this market”.

“Today is a great day for Bombardier, our customers, our employees, our shareholders and our suppliers. I am proud to say that we have met our business plan objectives: a technologically advanced aircraft family, a strong pipeline of orders and repayable investments with governments and agreements with key suppliers,” said Pierre Beaudoin, president and chief executive of Bombardier.

Nico Buchholz, senior vice president of Lufthansa’s corporate fleet, said the airline was proud to be part of the launch.

Mr Robinson said the investment was an enormous boost for Northern Ireland in general and east Belfast in particular. He said many of the 800 jobs would be new jobs.

“It is impossible to underestimate the importance of such an investment . . . and given the nature of the lengthy negotiations and the present economic climate, I have absolutely no doubt that but for devolution this deal would have been lost,” he said.

“This investment not only delivers jobs to Northern Ireland, but crucially does so in a high-skill, high-value-added sector. It will give a boost to the whole of Northern Ireland.” Mr McGuinness said he and Mr Robinson lobbied Mr Brown to help secure the investment. As well as sustaining jobs at Bombardier Belfast, he hoped it would generate “further jobs in the supply chain”.

© 2008 The Irish Times
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Old July 14th, 2008, 07:10 AM   #2
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20% ... not bad
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Old July 14th, 2008, 07:21 PM   #3
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I think they will replace the Avro jets
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Old August 2nd, 2008, 08:52 AM   #4
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If this jet sells well, it will finally restore Canada to its former global position in the aerospace industry after the Avro was cancelled in the 1950's. It's been a long climb back from that disastrous move so many decades ago.
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Old August 2nd, 2008, 09:14 AM   #5
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Quote:
Originally Posted by isaidso View Post
If this jet sells well, it will finally restore Canada to its former global position in the aerospace industry after the Avro was cancelled in the 1950's. It's been a long climb back from that disastrous move so many decades ago.
I wouldn't necessarily say "restore" and compare it with the Avro....I mean, the Avrow had it not been canceled would have put Canada in number one on the fighter jet business. We had the only fighter jet aircraft at that time.
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Old August 18th, 2008, 07:15 PM   #6
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I'm talking about the overall aerospace industry, not specific categories. Aerospace involves many areas and technologies besides final assembly of planes: airplane engines, parts, satellites, avionics/electronics, military, in addition to the design and final assembly of various types of planes. Canada has always been a significant player in aerospace, but back in the 1950's, we were a dominant aerospace nation with leading capabilities in all areas.

We're back to #4 in the world, and the new C-series will help us maintain that position, or climb even climb higher since it will provide a significant boost to Canada's overall aerospace industry revenue. That is a restoration to our former position, as far as I'm concerned.

It should also help cement our position as one of the few nations that designs and manufactures civilian aircraft on a large scale.
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Old August 19th, 2008, 02:34 PM   #7
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The plane isn't exactly selling... Other than the LOI from Lufthansa.

Can't help but feel that the C-Series looks like a mini version of the A350.
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Old August 19th, 2008, 06:55 PM   #8
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Quote:
Originally Posted by ddes View Post
The plane isn't exactly selling... Other than the LOI from Lufthansa.

Can't help but feel that the C-Series looks like a mini version of the A350.

yeah, but it's cheaper and uses less fuel
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Old August 20th, 2008, 04:28 PM   #9
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Cheaper in what sense?

The C-series SHOULD use less fuel than the A350 considering the difference in size of the plane.
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Old August 20th, 2008, 06:52 PM   #10
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i expect it should be cheaper to buy the plane, and cheaper to run it (per passanger)
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Old August 7th, 2009, 10:32 AM   #11
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Canada loans SAS money to complete order
5 August 2009

TORONTO (AP) - Canada is lending Scandinavian Airlines SAS up to $173 million Canadian (US$161 million) to help it purchase eight aircraft ordered last year from Canadian airplane manufacturer Bombardier.

International Trade Minister Stockwell Day announced the loan Wednesday. Bombardier's shares jumped more than eight percent, or 32 cents Canadian, to C$8.21 on the Toronto Stock Exchange.

The loan will support the sale of eight Q400 and CRJ900 aircraft, whose total list price ranges between US$232 million and US$320 million.

SAS and three affiliates ordered 27 aircraft in March 2008, with options for two dozen more aircraft, as part of a compensation agreement after landing gear problems left some of the airline's planes grounded in 2007.

Under the deal, which also involved landing gear manufacturer Goodrich Corp., the airline received more than US$164 million in compensation in cash and credits for future aircraft orders.

Since 2001, the Canadian government has helped finance four other Bombardier Aerospace orders, including two to Delta Airlines subsidiary Comair, one to Air Wisconsin and one to Northwest Airlines. All of the loans exceeded $100 million.

Montreal-based Bombardier is the third largest manufacturer of civilian aircraft in the world with 17,000 employees and a supply chain that extends across Canada.

Bombardier spokesman Marc Duchesne said the latest government funding will help the company even though the money doesn't go to the Montreal-based aircraft maker.

"It's the customer's responsibility to finance the aircraft, but it does help Bombardier to deliver the aircraft, that's for sure," he said.
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Old August 26th, 2009, 07:58 PM   #12
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By AirCanon from HKADB :

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Old March 10th, 2013, 12:35 AM   #13
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BOMBARDIER | News and Discussions

I was surprised by lack of suitable active Bombardier threads here. A CSeries thread exists - which is, for some reason, closed since 2008.

On 7th of March, 2013, the first of the 5 CS100 prototype frames was presented. It was not as finished as some other planes were at their rollouts, for example it lacked wing-body fairing - but then again, Boeing 787 on its rollout was fake.

CSeries had been secretly redesigned. CS300 has been stretched, and so has CS100 cabin.

CS300 is now suitable for 160 seats, not 145. Air Baltic chose the extra seats, 148 of them, and Swiss also is interested:
http://www.flightglobal.com/news/art...-cs300-383185/
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Old March 10th, 2013, 05:06 AM   #14
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Old March 10th, 2013, 11:13 AM   #15
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how cost this plane per unit ??
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Old March 10th, 2013, 11:15 AM   #16
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Interesting...
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Old March 10th, 2013, 01:40 PM   #17
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Interesting...
I like CRJs too
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Old March 10th, 2013, 06:52 PM   #18
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Quote:
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how cost this plane per unit ??
Current CS100 list price is 62 million US $.

The altered specifications:

CS100:
Cabin length stretched from 22,7 m to 23,7 m. Outer length unchanged at 34,9 m
Cabin aisle height lowered from 213 cm to 211 cm. Centerline width unchanged at 328 cm, and so is floorline width at 310 cm.
Floor area increased from 70 to 72 square m
Slight Maximum Take-Off Weight increase, from 58 151 kg to 58 513 kg.
A "Base" version added, with the lower MTOW of 52 617 kg
Range at 110 passengers at 102 kg each (body plus clothes plus baggage) unchanged at 5463 km.
The "Base" version, with the same payload, has range of 2778 km
The takeoff distance, despite increased MTOW, is decreased from 1509 m to 1463 m (in standard conditions - Sea Level, International Standard Atmosphere conditions meaning +15 at sea level).
The "Base" version manages takeoff in 1219 m, at SL, ISA.
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Old March 11th, 2013, 04:04 AM   #19
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Quote:
Originally Posted by chornedsnorkack View Post

Current CS100 list price is 62 million US $.

The altered specifications:

CS100:
Cabin length stretched from 22,7 m to 23,7 m. Outer length unchanged at 34,9 m
Cabin aisle height lowered from 213 cm to 211 cm. Centerline width unchanged at 328 cm, and so is floorline width at 310 cm.
Floor area increased from 70 to 72 square m
Slight Maximum Take-Off Weight increase, from 58 151 kg to 58 513 kg.
A "Base" version added, with the lower MTOW of 52 617 kg
Range at 110 passengers at 102 kg each (body plus clothes plus baggage) unchanged at 5463 km.
The "Base" version, with the same payload, has range of 2778 km
The takeoff distance, despite increased MTOW, is decreased from 1509 m to 1463 m (in standard conditions - Sea Level, International Standard Atmosphere conditions meaning +15 at sea level).
The "Base" version manages takeoff in 1219 m, at SL, ISA.
Thanks for the information. So CS100 will compete with ERJ190/195 & SSJ100 if we're look to max capacity of the aircraft
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Old March 11th, 2013, 11:45 PM   #20
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Originally Posted by emyrr3096 View Post
Thanks for the information. So CS100 will compete with ERJ190/195 & SSJ100 if we're look to max capacity of the aircraft
Not with Superjet. SSJ 100-95 is that much smaller - maximum seat capacity Superjet 98 seats, CS100 125 seats.

What is Sky Aviation doing with their Superjets, incidentally? Delivery was 27th of February - what is the entry into service route and date?
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