Published: Tue, November 14, 2017
Business | By Max Garcia

EgyptAir signs deal with bombardier to buy 24 CSeries aircraft

Airbus agreed in October to take a majority stake in Bombardier's CSeries jetliner program, and has said any CSeries jets intended for the US market would be built at its production facility in Alabama, potentially allowing the planes to avoid punitive duties.

Montreal-based Bombardier Inc. has signed a letter of intent to sell up to 24 CS300 aircraft to EgyptAir Holding Co. That would raise the number of firm C Series orders to more than 400.

The agreement, announced and signed at a ceremony Tuesday at the Dubai Airshow, also includes purchase rights for an additional 12 aircraft, which would double the value of the sale.

"It would be hard to wish for a better carrier to establish our presence in the region", Bole said in a conference call with reporters from Dubai.

Colin Bole, Bombardier's senior vice president of commercial aircraft, said there were no particular conditions or terms that needed to be met to finalize the deals.

The accord is a significant win for Bombardier, which gains another customer for its new jet less than a month after the company agreed to cede control of the CSeries to Airbus in exchange for the European planemaker's marketing heft, manufacturing expertise and financial muscle.

Bole said, "I think it's a great template and it's something that will be followed extremely closely by the other carriers in the region", he said.

‍Bombardier says ‍based on the list price of a CS300 airliner, a firm-order contract would be valued at approximately $1.4-billion.

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