Bombardier Transportation

Bombardier Transportation

February 25, 2005 10:45 ET

Bombardier Awarded a Contract for High Altitude Passenger Rail Cars in Tibet


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FOR: BOMBARDIER TRANSPORTATION

TSX SYMBOL: BBD.MV.A

FEBRUARY 25, 2005 - 10:45 ET

Bombardier Awarded a Contract for High Altitude
Passenger Rail Cars in Tibet

MONTREAL, QUEBEC--(CCNMatthews - Feb. 25, 2005) - Bombardier
Transportation and its joint venture partners, Power Corporation of
Canada and China South Locomotive and Rolling Stock Industry (Group)
Corporation, through their joint venture Bombardier Sifang Power
(Qingdao) Transportation Ltd. (BSP), along with consortium partner
Sifang Locomotive and Rolling Stock Co., Ltd, received an order from the
Ministry of Railways of China (MOR) for the production and delivery of
361 cars to be used for new train line services to Lhasa in Tibet. The
order is valued at approximately $281 million US (213 million euros) and
Bombardier's share is approximately $78 million US (59 million euros)
Delivery is scheduled to take place between December 2005 and May 2006.

This contract is part of the MOR's commitment to develop the west area
of the country. The new train lines will depart from Beijing, Shanghai
and Guangzhou to reach Lhasa in Tibet. The new train service includes
standard trains as well as special tourist trains. The new lines are
expected to begin operation in June 2006.

Commenting on the order, Jianwei Zhang, Bombardier Chief Country
representative, China said: "This project represents a very important
technology challenge for BSP and Bombardier as the train will reach an
altitude of 5000 meters and will be exposed to Tibet's difficult
environment conditions such as low temperature, low oxygen, and sand
storms".

The order includes 308 standard cars and 53 special tourist cars. The
trains will be equipped with unique state of the art technology as they
will be operated with enriched oxygen systems and special UV protection.
Moreover, the tourist trains will ensure a unique experience to the
passengers by providing luxury sleeping rooms with individual showers,
cars with a panoramic view, entertainment and dining in a luxurious
environment.

Andre Navarri, President, Bombardier Transportation added: "Through its
participation in a number of challenging railway projects in China,
Bombardier has earned an excellent reputation and has gained a great
understanding of the specific needs of the Chinese railway market".

BSP is a joint venture between Bombardier, Power Corporation of Canada
and China South Locomotive and Rolling Stock Industry (Group)
Corporation.

In addition to BSP, Bombardier participates in two other joint ventures
in China. The first one, Changchun Bombardier Railway Vehicles Co. Ltd.
(CBRC) is dedicated to the production of metro vehicles. The other joint
venture, Bombardier - CPC Propulsion Systems Co. Ltd. (BCP) - is
involved in the production, marketing and maintenance of propulsion
components for rail vehicles.

Including its joint ventures, Bombardier currently employs 1,400 people
in China. In addition to its rail transportation operations, Bombardier
is the number one supplier to the Chinese regional aircraft market with
an installed base of 36 aircraft operated by seven airlines. It is also
the top-ranked manufacturer of business aircraft in the country.
Bombardier's longstanding business relationship with China began 50
years ago.

About Bombardier

A world-leading manufacturer of innovative transportation solutions,
from regional aircraft and business jets to rail transportation
equipment, Bombardier Inc. is a global corporation headquartered in
Canada. Its revenues for the fiscal year ended Jan. 31, 2004 were $15.5
billion US and its shares are traded on the Toronto and Frankfurt stock
exchanges (BBD and BBDd.F). News and information are available at
www.bombardier.com

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Bombardier Transportation
    Helene V. Gagnon
    Senior Director, Communications
    (450) 441-8156
    www.bombardier.com