Liberals signal interest in “meaningful investment” in Bombardier

However, Ottawa cautions it wants Bombardier to keep its head office and the jobs connected to its research and development activities in the country.

1 October 12, 2016
The Canadian Press
by Pierre Saint-Arnaud

MONTREAL — The federal government investing in aerospace giant Bombardier is not a matter of if but how, Innovation Minister Navdeep Bains said Tuesday.

Bombardier Global Family - Quebec Aerospace“We want to be a partner,” Bains said after announcing up to $54 million in funds for a Bombardier-led aerospace-research consortium.

“We want to find a solution and we want to continue to make meaningful investments. We want to be a partner, we are at the table, we want to find a solution. It’s not a matter of if but how we want to make the investment.”

His comments are the clearest the Liberals have been to date regarding whether they’ll accept the Montreal-based company’s request for $1 billion in federal funding.

In early September, Bombardier received the second of two installments of US$500 million from the Quebec government.

Quebec now owns 49.5 per cent of a new limited partnership of the CSeries aircraft program, including larger versions of the plane beyond the CS100 and CS300 should they be developed.

Bains wouldn’t give details as to exactly how much Ottawa will invest or where the money will be targeted.

He did reiterate the conditions his government will place on any future funding.

Ottawa wants Bombardier to keep its head office and the jobs connected to its research and development activities in the country, he said.

“These are good-quality jobs that pay 60 per cent above the average manufacturing salary,” Bains said. “We want good-quality jobs here in Canada. We want to focus on research and development and we want to set up the company for long-term success.”

Bombardier spokesman Simon Letendre said the firm meets “regularly” with federal officials and is “looking for a win-win solution in order to keep developing the CSeries.”

The CSeries has received major orders from Air Canada and Delta Air Lines. The company said it acquired 127 firm orders and 80 options in the first half of 2016.

News from © Canadian Press Enterprises Inc. 2016



1 Comment » for Liberals signal interest in “meaningful investment” in Bombardier
  1. DC says:

    Bombardier needs to restructure and function as it would in a competitive market – it appears when there is a problem, just run to Ottawa with hands out for help. Late deliveries, over budget and other items that would normally collapse a company. We need to keep in mind whatever Bombardier gets is from OUR pockets (tax dollars).

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