Bombardier Reports Lower Full-Year Loss
Bombardier reported a smaller full year net loss of USD$981 million, down from the previous year’s $5.34 billion.
The plane and train builder also reduced its fourth quarter loss, down from $677 million to $259 million.
Revenue from Bombardier’s commercial aircraft division improved 9 percent to $2.62 billion as it delivered 86 aircraft, 10 more than 2015.
The company delivered seven of its new CSeries aircraft during 2016, with five CS100s going to Lufthansa, and two of the larger CS300s to airbaltic. Bombardier also delivered 46 CRJ series aircraft and 33 Q400s.
Deliveries of executive jets fell to 163, down from 199, with revenue down 18 percent to $5.74 billion.
The Montréal-based company is in the middle of a five-year turnaround plan and announced in October plans to cut 7,500 jobs, mostly in the German train division.
Chief executive Alain Bellemare said “Our turnaround plan is in full motion. In 2016, Bombardier delivered on its financial commitments. We met our programme milestones and we’ve positioned the Company to achieve all of the financial goals… including being cash flow break-even in 2018.”
The company announced last week a loan from the Canadian government of CAD$372.5 million over four years for the Global 7000 business jet and CSeries programmes.