Bombardier Announces Signing of a Syndicated Letter of Credit Facility Totalling Approximately $4.9 Billion US

MONTRÉAL, QUEBEC--(Marketwire - May 27, 2011) - Bombardier (TSX:BBD.A)(TSX:BBD.B) announces today the closing of a €3.4 billion (approximately $4.9 billion US) Letter of Credit Facility with a syndicate of first quality international financial institutions. The facility is set up for the sole benefit of Bombardier Transportation and matures in 2016. This facility is the renewal of the previous letter of credit facility of €3.75 billion which was maturing in 2013.

This new agreement meets Bombardier's objectives of taking advantage of current favourable conditions, securing availability of letters of credit well ahead of time, at improved pricing, while preserving its letter of credit issuance capacity. It will also increase the Corporation's liquidity by releasing the totality of the invested collateral related to the previous facility, amounting to €404 million (approximately $577 million US).

"With €5.4 billion of commitments received and 21 new banking relationships, Bombardier is pleased with this clear demonstration of bank support for its business plan," said Pierre Alary, Senior Vice President and Chief Financial Officer.

BNP Paribas, Commerzbank, Crédit Agricole, Deutsche Bank and J.P. Morgan, have jointly arranged the Bombardier Transportation facility as Mandated Lead Arrangers with Natixis, Société Générale and Royal Bank of Scotland acting as additional Joint Bookrunners.

About Bombardier

A world-leading manufacturer of innovative transportation solutions, from commercial aircraft and business jets to rail transportation equipment, systems and services, Bombardier Inc. is a global corporation headquartered in Canada. Its revenues for the fiscal year ended January 31, 2011, were $17.7 billion, and its shares are traded on the Toronto Stock Exchange (BBD). Bombardier is listed as an index component to the Dow Jones Sustainability World and North America indexes. News and information are available at www.bombardier.com or follow us on Twitter @BombardierInc.