The demands of four new jet aircraft development programs, coupled with anemic sales of its Learjet business jet brand and regional jets, fueled a cash burn pyre that persuaded analysts to issue a fresh round of stock downgrades for Bombardier in September. In the last quarter, the OEM drew down $1 billion of cash reserves against $211 of net income, double for the same period a year ago. Its market capitalization is $7 billion and the cash burn rate set off caution lights for stock analysts. The news is not cataclysmic; most now rate the company as “market perform,” but from early July through the end of September, Bombardier stock lost 43 percent of its value.
Pratt & Whitney Canada provided an update at a media breakfast today at NBAA 2011 in Las Vegas, addressing several programs and projects in development, giving reporters a glimpse of P&WC news of tomorrow.
On Monday, Bombardier announced more suppliers and a few additional design and production details for the new Global 7000 and 8000 long-range business jets that are scheduled to enter service beginning in 2016.
Bombardier’s new Learjet 85 is the latest in a growing line of business jets to feature an integrated air management system from Liebherr-Aerospace & Transportation (Booth No. N5307). The company’s expansion into business aviation is in line with its aim to become the world leader in civil aircraft air systems.
Bombardier Commercial Aircraft president Gary Scott has left the company effective October 1, citing a desire to devote more time to his family. Bombardier Aerospace president and COO Guy Hachey has assumed Scott’s duties while the company seeks a replacement.
Pratt & Whitney’s PW1524G Geared Turbofan has completed its flight-test program, the East Hartford, Conn.-based engine company announced today.
Korean Air has converted a letter of intent covering 10 CS300 airliners to a firm order, Bombardier Aerospace announced in late July. The transaction also includes options on 10 CS300s and purchase rights on another 10. The larger of the two C Series models, the CS300 can hold as many as 145 passengers, assuming a seat pitch of 30 inches.
Bombardier Aerospace might well have secured its place in the Russian airline market during the Moscow Air Show (MAKS 2011) this week, when the country’s largest airplane lessors signed a memorandum of understanding covering up to 30 C Series jets.
Mitsubishi Aircraft’s official launch of the proposed 100-seat MRJ100X will likely have to wait at least another year, or until after the first flight of the 88-seat MRJ90 in mid-2012, as the company waits for the European airline market to show more tangible signs of recovery.
Korean Air has converted a letter of intent covering 10 CS300 airliners to a firm order, Bombardier Aerospace announced today. The transaction also includes options on 10 CS300s and purchase rights on another 10. The larger of the two CSeries models, the CS300 can hold as many as 145 passengers, assuming a seat pitch of 30 inches.