Farnborough Show News - July 14, 2008 - (Page 9)

FA R N B O R O U G H 2 0 0 8 Bombardier believes it is in “advanced enough discussions with customers to make this decision … We feel we have the basis to launch this program.” —Bombardier president and CEO Pierre Beaudoin Bombardier’s Guy Hachey, Gary Scott and Pierre Beaudoin. Bombardier’s CSeries Gets Its Official Launch Bombardier officially launched its CSeries program on Sunday, with an initial commitment for up to 60 aircraft from Lufthansa and the promise of more major customers in the very near future. The manufacturer had earlier signaled it wanted 50 to100 orders from several major customers before launching the program. Lufthansa’s letter-of-interest falls short of this target, covering 30 orders and 30 options. However, Bombardier appears to be in advanced talks with other customers, and executives did not rule out another order being announced during the airshow. Bombardier president and CEO Pierre Beaudoin said the company has “a promising pipeline of potential customers” for the CSeries. Bombardier believes it is in “advanced enough discussions with customers to make this decision …We feel we have the basis to launch this program,” Beaudoin said. Executives confirmed that two of the interested parties are Qatar and the International Lease Finance Corp. Two Chinese carriers are also high on the list of probable customers. Bombardier Commercial Aircraft president Gary Scott said the company is “very confident of getting significant orders, but [timing] is impossible to predict.” The CSeries program will include the base C110 and C130 models, with extended-range versions of each and a C130XT version aimed at “hot–and-high” operating conditions. These variants will seat between 110 and 130 pas- carriers operating in remote western regions of the country. Bombardier is talking to U.S. carriers, but orders are unlikely in the short term. Scott said the CSeries is well-positioned to replace DC-9s and MD-80s in U.S. fleets. Bombardier announced that final assembly of the CSeries will occur at its Mirabel facility. Production will be spread around the world, with the main fuselage being made in China, the wings at Bombardier’s Belfast facility, and the aft fuselage and cockpit at its Saint-Laurent site. An announcement about the Chinese fuselage work, involving the China Aviation Industry Corp. (AVIC), is expected this week. The company was considering other final assembly sites such as Kansas City, Missouri, but rejected these other options after “rigorous competitive analysis.” Of the $2.6 billion in estimated program development costs, about a third will be covered by Bombardier, a third by supplier partners and the remaining third by repayable investments by state and national governments in Canada and the UK. Beaudoin believes the state aid is “WTO compliant,” although its rivals will probably be less convinced. Another vital component of the CSeries is Pratt & Whitney’s new geared turbofan engine. Bombardier has thoroughly investigated the P&W engine program, and is “absolutely satisfied in [Pratt’s] ability to deliver on what it has advertised,” Beaudoin said. Lufthansa has yet to decide where in its network its CSeries orders could be used, said Nico Buchholz, the carrier’s senior vp-corporate fleet. Buchholz said that the aircraft will be used for “a bit of [fleet] replacement and a bit of growth.” The fact that the order is not yet finalized is not a reflection of any uncertainty about the CSeries program or the geared turbofan engine, but is more a matter of completing the paperwork, Buchholz said. Guy Hachey and Pierre Beaudoin look on as Bombardier Commercial Aircraft president Gary Scott announces the CSeries go-ahead. sengers. Entry into service is targeted for 2013. Scott added that the company is not looking at a stretch version to increase passenger capacity any further. Scott confirmed that the XT would be an ideal fit for Chinese www.aviationweek.com/shownews July 14, 2008 9 http://www.aviationweek.com/shownews

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Farnborough Show News - July 14, 2008 Contents Thirty More Years CFM Reveals New Engine Boeing Reduces Forecast UAVs’ Quiet Revolution Finmeccanica: U.S. Success A Plethora of AESAs BAE North America Plus L-3 Becomes a Prime Better Late Than Never A Peek Behind the Curtain China’s J-10 Revealed Boeing’s 787 Dreamliner Breaking LM’s Hegemony

Farnborough Show News - July 14, 2008

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