Jayafe wrote:LockheedBBD wrote:...I'm expecting Bombardier to fully exit the commercial aircraft scene within the next two years.
I hope that's a joke
Many analysts believe that Bombardier will not invest any more money in the commercial aircraft sector in the future if Bombardier is left on its own (without a JV/partnership with another company). The CSeries was supposed to be the future of Bombardier Commercial Aircraft according to Bombardier management (before the Airbus JV announcement), but that is now with Airbus.
https://www.flightglobal.com/news/artic ... it-445894/
https://www.cbc.ca/news/canada/montreal ... -1.4365849
https://www.thestar.com/business/2017/1 ... -says.html
They have almost $9 billion in debt (https://smallcappower.com/analyst-artic ... tock-debt/), and it seems that they have no plans on refreshing the Q400 or CRJ and there are lots of competitors in the regional market (E1 family (Boeing), refreshed E2 family (Boeing), ATR, Mitsubishi MRJ, COMAC (for the Chinese market), Sukhoi/SSJ). Of course, Bombardier will still continue with their profitable business jet division.
Unless Airbus or another wealthy entity wants to make a new JV with Bombardier for regionals, I don't see how shareholders would tolerate or have any confidence in future Bombardier-only commercial aircraft programs. Bombardier will have to compete the CRJ against Boeing once the Embraer acquisition/JV closes next year.
According to Leeham, Bombardier loses money on every Q400 that they sell: https://leehamnews.com/2017/12/28/bomba ... weet-year/
That can't be good for business, or for shareholders.
Jayafe wrote:I hope that's a joke, or a statement as brave as your "Embraer to still compete for the JetBlue order, wait for it" the day before the A220 order was announced. Happy to see a trend of poor aiming.
In early 2016, everybody thought that United Airlines was going to announce an order for the CSeries or E2, only to be shocked a little while later when United announced a deal with Boeing for 737-700s (instead of the CSeries or E2s) because they gave United a price they couldn't refuse. My motto is to wait for the official news instead of celebrating on rumors, things change on day by day basis.
I'm expecting the 787 to be abandoned within the next two years, but I guess none of us will get it
Boeing and Bombardier have polar opposite financial situations. One was recently bailed out with $9 billion in debt, and the other is worth $207 billion.
Disclaimer: I have no affiliation with any of Bombardier, Boeing, Embraer, Mitsubishi, Airbus, ATR, Sukhoi, COMAC, Leonardo.....etc.