MONTRÉAL, QUEBEC--(Marketwired - June 28, 2016) - Bombardier Commercial Aircraft and Air Canada announced today that they have finalized a firm purchase agreement consistent with the Letter of Intent (LOI) announced in February 2016. The purchase agreement includes a firm order for 45 CS300 aircraft and options for an additional 30 CS300 aircraft.
"I'm pleased to officially welcome Air Canada to our CS300 family of operators as one of our largest customers and early adopters," said Alain Bellemare, President and Chief Executive Officer, Bombardier Inc. "As an innovative operator, admired for successfully reinventing itself and, like Bombardier based in Québec, Air Canada and the C Series aircraft are a perfect match.
"This order is a major statement of support for Canada's aerospace industry and will help support thousands of C Series related jobs," Mr. Bellemare continued. "It also serves as an important catalyst for renewed interest and subsequent orders."
"Over the past few years, we've been making transformative moves to boost our competitiveness and customer satisfaction to better position us for growth and continued success. Finalizing the CS300 order is a key element to Air Canada's strategy to build one of the world's youngest and most fuel efficient fleets," said Calin Rovinescu, President and Chief Executive Officer, Air Canada. "This order also will help establish a Centre of Excellence for C Series maintenance work in Québec. Following a rigorous evaluation of its capabilities, we're confident that the C Series aircraft's superior range, economics and seating capacity will provide a stellar passenger experience and contribute significantly to our development plans to expand our network and increase point-to-point service to Canadian and transborder markets."
Deliveries are scheduled to begin in late 2019 and extend to 2022. At list price, the firm order for 45 CS300 aircraft is valued at approximately $US 3.8 billion. This amount would increase to $US 6.3 billion should Air Canada exercise all 30 option aircraft.
"We are proud to have Air Canada, one of the world's most respected airlines, as a C Series customer and look forward to building upon our long-standing partnership," said Fred Cromer, President, Bombardier Commercial Aircraft. "Finalizing this order ensures the strong momentum we've achieved with the C Series continues and further highlights the tremendous value the aircraft provides to our airline customers."
About C Series Aircraft
The C Series family of aircraft, representing the fusion of performance and technology, is a 100 per cent all-new design that offers operators up to US $13 million extra value per aircraft.
By focusing on the 100- to 150-seat market segment, Bombardier has designed the C Series aircraft to deliver unparalleled economic advantage to operators and to open up new opportunities for single-aisle aircraft operations.
By employing advanced materials, state-of-the-art technologies and advanced aerodynamics, combined with the groundbreaking Pratt & Whitney PurePower® PW1500G engine, the C Series aircraft is delivering a greater-than 10 per cent unit cost advantage compared to similarly-sized, re-engined aircraft.
In addition to delivering best-in-class economics with the C Series aircraft, Bombardier has placed considerable emphasis on cabin design to ensure a superior passenger experience. The aircraft offers 19-inch-wide seats that set a new industry standard, large overhead bins that accommodate a carry-on bag for each passenger, and the largest windows in the single-aisle market. Together, these attributes create a widebody feel that offers passengers an unparalleled level of comfort.
The game-changing C Series aircraft offers the best-in-class environmental scorecard and is the quietest in-production commercial jet in its class. With a combination of outstanding short-field capability and a maximum range of up to 3,300 NM (6,112 km), the C Series aircraft is uniquely positioned for varied types of operations.
Bombardier is the world's leading manufacturer of both planes and trains. Looking far ahead while delivering today, Bombardier is evolving mobility worldwide by answering the call for more efficient, sustainable and enjoyable transportation everywhere. Our vehicles, services and, most of all, our employees are what make us a global leader in transportation.
Bombardier is headquartered in Montréal, Canada. Our shares are traded on the Toronto Stock Exchange (BBD) and we are listed on the Dow Jones Sustainability North America Index. In the fiscal year ended December 31, 2015, we posted revenues of $18.2 billion. News and information are available at bombardier.com or follow us on Twitter @Bombardier
About Air Canada
Air Canada is Canada's largest domestic and international airline serving more than 200 airports on six continents. Canada's flag carrier is among the 20 largest airlines in the world and in 2015 served more than 41 million customers. Air Canada provides scheduled passenger service directly to 64 airports in Canada, 55 in the United States and 87 in Europe, the Middle East, Africa, Asia, Australia, the Caribbean, Mexico, Central America and South America. Air Canada is a founding member of Star Alliance, the world's most comprehensive air transportation network serving 1,321 airports in 193 countries. Air Canada is the only international network carrier in North America to receive a Four-Star ranking according to independent U.K. research firm Skytrax. For more information, please visit: www.aircanada.com, follow @AirCanada on Twitter and join Air Canada on Facebook.
AIR CANADA CAUTION REGARDING FORWARD-LOOKING INFORMATION
This news release includes forward-looking statements within the meaning of applicable securities laws. Forward-looking statements relate to analyses and other information that are based on forecasts of future results and estimates of amounts not yet determinable. These statements may involve, but are not limited to, comments relating to preliminary results, guidance, strategies, expectations, planned operations or future actions. Forward-looking statements are identified by the use of terms and phrases such as "preliminary", "anticipate", "believe", "could", "estimate", "expect", "intend", "may", "plan", "predict", "project", "will", "would", and similar terms and phrases, including references to assumptions. Forward-looking statements, by their nature, are based on assumptions, including those described herein and are subject to important risks and uncertainties. Forward-looking statements cannot be relied upon due to, amongst other things, changing external events and general uncertainties of the business. Actual results may differ materially from results indicated in forward-looking statements due to a number of factors, including the factors identified throughout this news release and those identified in any issuer's public disclosure record. The forward-looking statements contained in this news release represent expectations as of the date of this news release (or as of the date they are otherwise stated to be made), and are subject to change after such date. However, any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, is disclaimed, except as required under applicable securities regulations.
Notes to Editors
Photos of CS300 aircraft in Air Canada's livery are posted with this press release at www.bombardier.com.
For more information on C Series aircraft, visit http://news.commercialaircraft.bombardier.com.
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