Bombardier is believed to be nearing an announcement that it will receive an investment in its CSeries program from the Quebec government and that it is officially ending the Learjet 85 program. Reports surfaced today from Reuters and La Presse that the Canadian airframer is preparing to take a writedown of up to $4 billion for both the CSeries and Learjet 85 programs, but also will announce a bailout on the CSeries. The unconfirmed reports, which cite unnamed sources with knowledge of the situation, come in advance to Bombardier’s quarterly earnings release tomorrow and also follow the collapse of negotiations with Airbus over a possible investment. Officials from Bombardier and the Quebec government would not comment on the newspaper reports.

The potential for a Quebec government bailout has long been anticipated by industry analysts, and the Canadian government last month indicated it would be ready to help. “Quebec has been very forthcoming about seeking to help Bombardier,” said Rolland Vincent Associates president and JetNet iQ director Rolland Vincent. Quebec’s pension fund manager and strategic investment arm, La Caisse de depot et placement, is a likely avenue for government investment in the program, Vincent said, adding, “I would not be surprised if Quebec might also get access to one or more board seats at Bombardier—or at least I think this is likely.”

Richard Aboulafia, vice president of analysis at The Teal Group, earlier this month outlined a scenario under which either the government of Ottawa or Quebec intervenes, but suggests that the program might need more than just the resources available from Quebec. He added that investment from Canadian federal and provincial governments is “the CSeries’ best hope.”