Bombardier Inc. Class A · TSX:BBD.A

Bombardier Inc. Class A — Pre-Paris Media Presentation 2007

26 slides from Bombardier Inc. Class A's conference presentation, May 1, 2007

  1. Slide 1: Bombardier Market Forecast: Pre-Paris Media Presentation

    Bombardier Market Forecast Pre-Paris Media Presentation Michael R. McAdoo Vice President, Strategy & Business Development 1 May 2007

  2. Slide 2: Forward-looking statements

    Forward-looking statements This presentation includes forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “intend”, “anticipate”, “plan”, “foresee”, “believe” or “continue” or the negatives of t

  3. Slide 3: Agenda

    Agenda ƒ Introduction ƒ Business Aircraft • Market Forecast for 2007 - 2016 • Why Bombardier is Positioned for Success ƒ Commercial Aircraft • Market Forecast for 2007 - 2026 • Why Bombardier is Positioned for Success ƒ Summary 3

  4. Slide 4: Overall, both business and commercial aircraft forecasts are improving over last year's forecasts

    Overall, both business and commercial aircraft forecasts are improving over last year’s forecasts BUSINESS AIRCRAFT COMMERCIAL AIRCRAFT ƒ Market growth ƒ Market growth ƒ 2006 was a record year in terms of revenues, ƒ Airline capacity is expected to double over the deliveries, orders and current indu

  5. Slide 5: Agenda

    Agenda ƒ Introduction ƒ Business Aircraft • Market Forecast for 2007 - 2016 • Why Bombardier is Positioned for Success ƒ Commercial Aircraft • Market Forecast for 2007 - 2026 • Why Bombardier is Positioned for Success ƒ Summary 5

  6. Slide 6: Strong orders have translated into record deliveries and revenues in 2006

    The industry’s strong orders of past years have translated in record deliveries and revenues in 2006 BUSINESS JET DELIVERIES* BUSINESS JET REVENUES* Units, Calendar years 1997-2006 US$ Billion, Calendar years 1997-2006 900 18 2006: 798 units 2006: $16.1B 800 16 700 2000 peak: 695 units 14 2001 peak:

  7. Slide 7: Business aircraft market forecast based on an analysis of market drivers

    Business aircraft market forecast based on an analysis of market drivers PRIMARY MARKET DRIVERS OUTLOOK Driver, Market Direction and Justification ƒ OEM Backlogs in the segments in which Bombardier competes OEM Backlogs are on average 24 months. ƒ Somewhat lower economic growth expected in 2007 comp

  8. Slide 8: Bombardier Forecast shows market has reached a new plateau

    Bombardier Forecast shows market has reached a new plateau BUSINESS JET DELIVERY UNIT FORECAST BUSINESS JET MARKET REVENUE FORECAST Historic Deliveries & Demand Model, Calendar years Historic Revenues & Demand Model, Constant 2007 US$ Billion 2006 - 2016 Calendar Years 2006 - 2016 30 2000 1800 VLJ r

  9. Slide 9: Agenda

    Agenda ƒ Introduction ƒ Business Aircraft • Market Forecast for 2007 - 2016 • Why Bombardier is Positioned for Success ƒ Commercial Aircraft • Market Forecast for 2007 - 2026 • Why Bombardier is Positioned for Success ƒ Summary 9

  10. Slide 10: Bombardier is well-positioned in the business aircraft market with product line covering 97%

    Bombardier is well-positioned in the business aircraft market with product line covering 97% of the market Very Super Super Super Ultra Long Converted Light Midsize Large Light Light Midsize Large Range Airliners L40 XR L45 XR L60 / XR Ch-300 Ch-605 G5000 GEX-XRS Ch-850 Bombardier Ch-870 Ch-890 Must

  11. Slide 11: Bombardier revenue/unit market shares have been stable over past three years

    Bombardier revenue/unit market shares have been stable over past three years Others REVENUE/UNIT MARKET SHARES Bombardier Total Market, Delivery Revenues, $US million, Calendar years 2002 – 2006 Total Total Market $10.4 $8.7 $10.3 $13.2 $16.5 579 457 491 646 883 Market Revenue Units ($B) 73% 70% 71%

  12. Slide 12: Agenda

    Agenda ƒ Introduction ƒ Business Aircraft • Market Forecast for 2007 - 2016 • Why Bombardier is Positioned for Success ƒ Commercial Aircraft • Market Forecast for 2007 - 2026 • Why Bombardier is Positioned for Success ƒ Summary 12

  13. Slide 13: Market is returning to pre-2001 order levels

    Market is returning to pre-2001 order levels 20-149 SEAT COMMERCIAL AIRCRAFT NET ORDERS Net Orders, units, 20-149 seats segment, Calendar years 1997-2006 1,400 1,200 1,000 800 600 400 200 0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 13 Sources: Back Aviation

  14. Slide 14: The Commercial Aircraft market forecast is based on a top-down model

    The Commercial Aircraft market forecast is based on a top-down model Overview Model Dynamics • Model segmented by Historical geographic region, seat Fleet, Delivery, category (>14 seats) and Retirement Data engine type x Seat Size Econometric • Primarily GDP driven Models • All Passenger Aircraft Fo

  15. Slide 15: Bombardier's 20-year commercial aircraft forecast reflects shifting focus on larger aircraft

    Bombardier’s 20-year commercial aircraft forecast reflects the shifting focus on larger capacity aircraft COMMERCIAL AIRCRAFT MARKET FORECAST Units deliveries, 20-149 aircraft, Calendar years 2007 – 2026 Seat Category 2007 – 2026 20-59 Seat 1,000 60-99 Seat 4,300 100-149 Seat 5,900 Total 11,200 Bomb

  16. Slide 16: Worldwide 20-149 seat fleet units should grow from 10,600 to 16,300 by 2026

    Worldwide 20-149 seat fleet units should grow from 10,600 to 16,300 by 2026 COMMERCIAL AIRCRAFT FLEET FORECAST Units, 20-149 seat aircraft, Calendar years 2007 – 2026 Seat Retired 2006 Fleet Deliveries 2026 Fleet Category Aircraft 20-59 3,500 1,000 1,600 2,900 Seats 60-99 1,700 4,300 1,000 5,000 Sea

  17. Slide 17: About 40% of worldwide deliveries will go to emerging Markets

    About 40% of worldwide deliveries will go to emerging Markets COMMERCIAL AIRCRAFT FORECAST REGIONAL BREAKDOWN Units, 20-149 aircraft, Calendar years 2007 – 2026 % of total (11,200 units) North America 4,480 40% Europe 2,090 19% China 1,660 15% Asia/Pacific 1,340 12% Our Our forecast forecast predict

  18. Slide 18: Agenda

    Agenda ƒ Introduction ƒ Business Aircraft • Market Forecast for 2007 - 2016 • Why Bombardier is Positioned for Success ƒ Commercial Aircraft • Market Forecast for 2007 - 2026 • Why Bombardier is Positioned for Success ƒ Summary 18

  19. Slide 19: Bombardier has been an active player in the Regional Aircraft market

    Bombardier has been an active player in the Regional Aircraft market WORLDWIDE REGIONAL FLEET In-service units, 20-99 aircraft, Calendar years 1980 – 2005 6000 5000 Large RJs Up to 99 Seats 4000 Small RJs Up to 59 seats 3000 Large Turboprops Up to 79 Seats 2000 Small Turboprops Up to 59 seats 1000 O

  20. Slide 20: Recent years have seen significant growth for larger RJ segment

    Recent year have seen significant growth for larger RJ segment U.S. MONTHLY SEATS AVAILABILITY US monthly seats available, 60-99 Jets, Calendar years 2001-2006 4,000,000 3,500,000 3,000,000 2,500,000 Driven Driven by by scope scope clause clause enlargement enlargement 2,000,000 and and the the avai

  21. Slide 21: High fuel prices have played a role in the reinvigoration of the turboprop market

    High fuel prices have played a role in the reinvigoration of the turboprop market FUEL PRICES AND TURBOPROP ORDERS Turboprop Units, Fuel Prices $US/Gallon, Calendar years 2001-2006 160 2.5 140 Net Orders for Turboprops 2 Fuel Prices ($US/USG) 120 100 1.5 80 1 60 40 0.5 20 0 0 2001 2002 2003 2004 200

  22. Slide 22: Bombardier's product portfolio meets cost and capacity needs of the 20-to-149 seat market

    Bombardier’s current and potential product portfolio meets cost and capacity needs of the 20-to-149 seat market CRJ1000 Q400 Q-Series C130 CRJ900 CRJ Series CSeries Q300 CRJ700 C110 Q200 CRJ200 Commuter Primarily Regional Primarily Mainline 37 76 50 99 100 149 # of Seats 22

  23. Slide 23: Agenda

    Agenda ƒ Introduction ƒ Business Aircraft • Market Forecast for 2007 - 2016 • Why Bombardier is Positioned for Success ƒ Commercial Aircraft • Market Forecast for 2007 - 2026 • Why Bombardier is Positioned for Success ƒ Summary 23

  24. Slide 24: The outlook is positive for both commercial and business aircraft markets

    The outlook is positive for both commercial and business aircraft markets and improving since last year forecast ƒ Business aircraft • An already strong market shows great potential to remain strong in the upcoming years • Bombardier’s industry leadership and comprehensive portfolio makes it well-po

  25. Slide 25: Questions?

    Questions? 25

  26. Slide 26: Bombardier Market Forecast: Pre-Paris Media Presentation

    Bombardier Market Forecast Pre-Paris Media Presentation Michael R. McAdoo Vice President, Strategy & Business Development 1 May 2007

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