One billion dollars was requested from the government by the plane manufacturer Bombardier to help uphold the recent new CSeries passenger jet due to the struggles they are facing now. Referring to what sources said, the government is keeping an eye open on the share structure which will give the instituted family charge even though they have a minor share in it. Rivals are saying the required improvements is taking some time to manifest.
A question was posed at Minister Navdeep Bains about whether the feds will continue to contribute financially in the CSeries planes owned by Bombardier if the Bombardier-Beaudoin family are favoured by the share structure. He answered and said, “We’re willing to find a solution with them, but these are part of the discussions we’re having”. This was a spin-off comment made by Bains at Toronto during an event hosted by the Indo-Canadian Chamber of Commerce.
One billion dollars was invested in the series, at Quebec, the city where Bombardier is located. The company’s CSeries has been lagging behind and way over a budget of billions of dollars. Since then, Alain Bellemare, the chief executive of the company said that there has been a change with its CSeries right after a crucial demand of 75 planes was made by Delta Air Lines in the month of April. The planes were ordered at a discounted price says experts and competing jet manufacturers. A request for the same prices will also be made by other likely clients because of this, having the CSeries under the radar.
There is still an ongoing discussion about federal investment, even though the Prime Minister, Justin Trudeau told Reuters that the government is still not out of the picture and won’t bail out on this. Bains said the government should make it their top priority to take into consideration the availability of making jobs available, research investment and also make sure the company’s head office stays in the country. According to Embraer SA, the Brazilian plane maker, Bombardier will be given an unjust advantage because of the challenges it might have on the state funding the company had received before the World Trade Organisation.