Bombardier expects to launch a 90-seat regional jet in the next 12 months. The plan not only edges the Canadian manufacturer into the territory of Airbus Industrie and Boeing, but also throws down the gauntlet to Fairchild Dornier, which has its own 90-seat jet ambitions.

Bombardier admits that its customer base for a 90-seat jet would include the same airlines that Airbus and Boeing are courting for their 100-seat aircraft - the A318 and the 717. But Bombardier chairman Laurent Beaudoin insists these aircraft are too heavy for regional markets. "Regionals are concerned about weight," he says.

"Weight equals landing fees, maintenance costs and handling charges. A 100-seater weighs 125,000lb [56,750kg]; our 90/95-seater will weigh between 95,000 and 100,000lb."

Another critical issue, admits Beaudoin, is cost. Bombardier could not make the economics work on a 35-seat jet at less than $11-12 million and dismissed that option.

But if it cannot get the economics right, Bombardier will also pull the plug on the 90-seater. What the manufacturer seems to be banking on is a price adjustment by both Airbus and Boeing in the 100-seat market segment that will allow Bombardier to put a realistic price tag on its aircraft.

"We will not go to market if we do not have a margin," warns Beaudoin.

Fairchild Dornier perhaps has most to fear from Bombardier's plan. Earlier this year, Fairchild Dornier launched a family of regional jets that includes a 90-seater, the 928JET. Initial schematics of the Bombardier aircraft show the aircraft to be very similar, and Bombardier will no doubt take advantage of its size and considerable presence in the regional market with its Canadair CRJ.

In what could be seen as a veiled kick at newcomer Fairchild Dornier, Beaudoin says: "We have an established market presence. We have been certificating an airplane a year for some time. There is a know-how there that we should capitalise on."

Source: Airline Business