BOMBARDIER HAS proceeded with the purchase of Ontario's 49% stake in de Havilland for the C$49 million ($36 million) price agreed when the Canadian company joined forces with the province in 1992 to buy the unit from Boeing.
Ontario will be paid through a 15-year interest-bearing note. Bombardier had objected to paying cash, as envisaged in the original agreement, given the substantial investments it has made in de Havilland since taking over the Toronto-based manufacturer. These include increasing Dash 8 production, launching the Dash 8-400 and placing both Learjet 45 wing manufacture and Global Express final assembly there.
As part of the deal, Bombardier has undertaken to continue investing in de Havilland, as well as maintaining final assembly of turbo- props and the placing of other group work at the unit.
Source: Flight International
