Bombardier Inc. Class A · TSX:BBD.A
Bombardier Inc. Class A — 2008 JPMorgan Aviation and Transportation Conference
49 slides from Bombardier Inc. Class A's conference presentation, Mar 18, 2008
Slide 1: Regional and Commercial Aircraft Overview
Bombardier Aerospace Regional and Commercial Aircraft Overview 2008 JPMorgan Aviation and Transportation Conference Presented by: Barry MacKinnon Regional VP – Markets and Airline Analysis Bombardier Regional Aircraft March 18, 2008 New York
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
Slide 3: Agenda
Agenda 1 About Bombardier 2 Airline Market Outlook 3 Regional Aircraft Overview 4 C Series Overview 5 Conclusion This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of a
Slide 4: Bombardier: Fields of Activity
Bombardier: Fields of Activity Aerospace Transportation FY07 revenues: $8.2 billion FY07 revenues: $6.6 billion 56% of total revenues 44% of total revenues Backlog: $13.2 billion* Backlog: $27.5 billion* Employees: 27,130* Employees: 29,100* *As at January 31, 2007 Bombardier’s fiscal year ends on J
Slide 5: Balanced Portfolio of Products and Services
Bombardier Aerospace Balanced Portfolio of Products and Services AEROSPACE REVENUE BREAKDOWN BY BUSINESS (%) Aerospace revenue – FY07 Other (1) 11.6% Aircraft Services (2) 15.7% Business Aircraft 46.9% Regional Aircraft 25.8% Total Revenues FY07 = $8.2B (1) Other includes primarily other manufacturi
Slide 6: Bombardier's Business Aircraft: Portfolio Centred on Three Families
Bombardier’s Business Aircraft Portfolio Centred on Three Families LEARJET FAMILY Learjet 40 XR Learjet 45 XR Learjet 60 XR Learjet 85 CHALLENGER FAMILY Challenger 300 Challenger 605 Challenger 850/870/890 GLOBAL FAMILY Bombardier Global 5000 Global Express XRS Learjet, Learjet 40 XR, Learjet 45 XR,
Slide 7: Bombardier Business Aircraft
Bombardier Business Aircraft Overall market continues to be strong 452 new orders obtained during FY08 vs 274 in F07 – 70% from international (non-U.S.) markets 232 deliveries in FY08 vs. 212 in FY07 Strong backlog; book-to-bill ratio of 1.95 Well-positioned with a product line covering 97
Slide 8: Agenda
Agenda 1 About Bombardier 2 Airline Market Outlook 3 Regional Aircraft Overview 4 C Series Overview 5 Conclusion This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of a
Slide 9: Regional Airlines Grew in 2007 by Adding Larger Capacity Aircraft
Regional Airlines Grew in 2007 by Adding Larger Capacity Aircraft Worldwide Airline Yield/Unit Cost Average Delivered Load Factors 12 Seat Size (20-99 seats) 78% 10 80 76% Yield 70 74% 8 72% (Cents USD) 60 Load Factor Avg. Seats 70% 6 50 68% CASM 40 66% 4 30 64% 20 62% 2 10 60% 58% 0 0 1975 1985 199
Slide 10: Commercial Aircraft Forecast Shows Trend to Larger Aircraft
Bombardier’s Commercial Aircraft Forecast Shows the Continued Trend to Larger Aircraft Bombardier Worldwide Aircraft Delivery Forecast 2007-2026 11,200 unit Deliveries (20-149 seats) 20-149 Seat Deliveries by Type 20 Year Worldwide Fleet Forecast (Total 11,200 Units) 1,000 units 16,300 20-59 16000 S
Slide 11: 20-149 Seat Aircraft Deliveries Forecast to Have Greater Geographic Diversity
20-149 Seat Aircraft Deliveries Forecast to Have Greater Geographic Diversity Worldwide Distribution of 20 Year Aircraft Deliveries (20-149 Seat Aircraft) Total Forecast Deliveries: 11,200 North America Europe + Russia/CIS China 2,050 1,030 1,030 1,980 820 560 450 240 70 20-59 60-99 100-149 20-59 60
Slide 12: Agenda
Agenda 1 About Bombardier 2 Airline Market Outlook 3 Regional Aircraft Overview 4 C Series Overview 5 Conclusion This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of a
Slide 13: The Strongest Regional Jet and Turboprop Brands
Bombardier Regional Aircraft The Strongest Regional Jet and Turboprop Brands Q100/200 Q300 Q400 CRJ200 CRJ700 CRJ900/705 CRJ1000 CRJ, CRJ200, CRJ700, CRJ705, CRJ900, CRJ1000, Q100/200, Q300 and Q400 are trademarks of Bombardier Inc. or its subsidiaries. This [These] docum ent[s] contain[s] financial
Slide 14: Bombardier: The Market Leader in Regional Aircraft
Bombardier: The Market Leader in Regional Aircraft CRJ Series Q Series 1,626 Firm Orders 951 Firm Orders 1,471 Delivered 844 Delivered 155 Backlog 107 Backlog 62 Customers 111 Customers CRJ Series and Q Series are trademarks of Bombardier Inc. or its subsidiaries. Program Status as of January 31, 20
Slide 15: Strong Order Market Share Performance in CY2007
Strong Order Market Share Performance in CY2007 Net Orders – as of December 31, 2007 Regional Jet Market Share Turboprop Market Share Regional Market Share CY2007 CY2007 CY2007 Embraer 29% Bombardier 146 Units Embraer Bombardier ATR 49% 46% Bombardier 51% 54% 97 Units ATR 48% 146 Units 141 Units 113
Slide 16: Strong Order Intake by Bombardier Regional Aircraft
Strong Order Intake by Bombardier Regional Aircraft During FY2007/08 350 296 300 231 238 250 216 209 200 181 140 133 150 104 90 87 100 86 57 68 38 50 11 0 FY93 FY94 FY95 FY96 FY97 FY98 FY99 FY00 FY01 FY02 FY04 FY04 FY05 FY06 FY07 FY08 238 Firm Orders in FY2007/08 Valued at $7.5 Billion (Based on Lis
Slide 17: Our Customer Base Expanded Considerably in FY2007/08
Our Customer Base Expanded Considerably in FY2007/08 10 New Bombardier Customers 11 Existing Customers New to Type • Alma 2 CRJ900 (Mexico) • Delta 44 CRJ900 (USA) • Pluna 7 CRJ900 (Uruguay) including (assigned to) • Undisclosed 1 Q400 - Comair 14 CRJ900 - Pinnacle 16 CRJ900 • Icelandic Coast Guard
Slide 18: CRJ Series - The Most Successful Regional Jet Family
CRJ Series - The Most Successful Regional Jet Family 9 Fastest 9 Quietest 9 Lowest-Cost This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of any proposal; creates no c
Slide 19: CRJ700/705/900/1000 Continue to Build Momentum
CRJ700/705/900/1000 Continue to Build Momentum (as of March 14, 2008) CRJ700/705/900/1000 Order Momentum 606 600 579 500 438 Accumulated Firm Orders 400 373 Delta -> Comair 312 Northwest Delta -> Pinnacle 300 266 225 213 MyAir ALMA 185 200 Macedonian Tuniter Government of Iraq Airlines 96 104 100 At
Slide 20: CRJ NextGen Launched in 2007
CRJ NextGen Launched in 2007 Making the Leading RJ Family Even Better 9 Improved Economics 4% Lower Fuel Burn 9% Lower Airframe DMCs Weight Reduction Programs 8-15% Better Trip Costs than Closest Competitor 9 More Environmentally Friendly Reduced CO2 Lower Exterior Noise Improved Fuel Efficiency
Slide 21: The CRJ NextGen Interior - Bigger. Brighter. Better.
The CRJ NextGen Interior - Bigger. Brighter. Better. “Cool” LED Lighting Larger Overhead Bins Up to 27% more roller bag stowage 40% increase in bin weight capacity Larger Windows 24% increase in viewing area More Passenger Amenities (optional seatback AVOD IFE) Concept seats shown This [These] docum
Slide 22: 199 CRJ NextGen Aircraft Ordered Since Launch
199 CRJ NextGen Aircraft Ordered Since Launch (as of March 14, 2008) CRJ700 NextGen CRJ900 NextGen CRJ1000 NextGen Mesa 10 Northwest 36 Alma 2 Scandinavian 10 Myair 15 Alma de Mexico 10 GoJet 4 33 Pluna 7 Estonian 3 Delta Brit Air 8 SkyWest 18 SkyWest 4 Libyan 2 Iraq 6 Undisclosed 15 Felix 8 Lufthan
Slide 23: CRJ1000 NextGen - A Strong Launch Customer Base
CRJ1000 NextGen - A Strong Launch Customer Base with 62 Orders and Options MyAir Air France by Brit Air Undisclosed 15 firm orders 8 firm orders + 8 options 15 firm orders +15 conditional orders Adria Airways 1 firm order 39 firm orders + 23 conditional orders and options This [These] docum ent[s] c
Slide 24: CRJ1000 NextGen Entry Into Service: 4th Quarter CY2009
CRJ1000 NextGen Entry Into Service: 4th Quarter CY2009 Launch 1st Flight Entry into Service Q1 Mid Q4 2007 2008 2009 Calendar Year This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only
Slide 25: Q400 is Leading the Resurgence in Large Turboprops
Q400 is Leading the Resurgence in Large Turboprops Fastest Quietest Lowest-Cost This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of any proposal; creates no con
Slide 26: Fuel Price Continues to Influence Turboprop Order Activity
In the Turboprop Market: Price of Fuel Continues to Influence Turboprop Order Activity Turboprop Net Orders and Fuel Price 250 240 Avg Jet Fuel Price (cents per USG) 210 220 200 200 Turboprop Net Orders 180 151 150 160 110 140 100 120 100 46 47 50 80 22 22 60 0 40 2001 2002 2003 2004 2005 2006 2007
Slide 27: Q400 Continues to Build Momentum
Q400 Continues to Build Momentum (as of March 14, 2008) Q400 Order Momentum 300 280 296 250 200 200 176 Accumulated Firm Orders Undisclosed 142 150 Undisclosed 103 100 78 Royal Jordanian Tassili Undisclosed 74 61 62 50 32 30 Island Air flybaboo Undisclosed 10 15 Changan 0 Porter Airlines Sky Work Ar
Slide 28: The Q400: Unlike Any Other Regional Aircraft
The Q400: Unlike Any Other Regional Aircraft Q400 Jet Features • High Speed Climb and Cruise Performance • High Technology Product and Features • Quiet and Comfortable Cabin Q400 Turboprop Features • Performance to Access More Airfields • Fuel Efficient, Environmentally Friendly • Best Economics of
Slide 29: Q400 NextGen Launched
Q400 NextGen Launched This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of any proposal; creates no contractual com m itm ent and is subject to change.
Slide 30: Q400 NextGen: Interior, Maintenance, Fuel Savings
New Interior Appeal Improved Maintenance Program Fuel Savings This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of any proposal; creates no contractual com m itm ent a
Slide 31: Q400 NextGen Enhanced Interior
Q400 NextGen Enhanced Interior Concept rendering This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of any proposal; creates no contractual com m itm ent and is subject
Slide 32: Q Series Future Vision
Q Series Future Vision The 90-seat Q400X • 90 passengers @ 31” pitch • Maximum Commonality with Q400 - PRODUCT DEVELOPMENT STUDY - This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only
Slide 33: Bombardier Customer Services
Bombardier Customer Services 3 Priorities. One Mission. Assure you benefit from aircraft Improve response times, Listen to you more and assure you can count on to deliver increase parts availability and frequent communication, so that optimal performance, time after provide leading worldwide if any
Slide 34: Agenda
Agenda 1 About Bombardier 2 Airline Market Outlook 3 Regional Aircraft Overview 4 C Series Overview 5 Conclusion This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of a
Slide 35: CSERIES - A Game Changer In Its Class
CSERIES • A Game Changer In Its Class 9 Family of Aircraft with Full Commonality 9 Environmentally Focused – 20 EPNdB Margin to Stage IV 9 Total Life Cycle Cost Improvement 9 Up to 15% Better Cash Operating Costs and 20% Fuel Burn Advantage 9 Widebody Comfort In A Single Aisle Aircraft 9 Mature 99%
Slide 36: CSERIES Technologies and Design Evolutions
CSERIES • Technologies and Design Evolutions Focused on Delivering Operational Benefits Best in Class Cabin Advanced Flight Deck Comfort and Flexibility FBW with Side Sticks Al-Li / Composite Fuselage Composite Technology Integrated Latest CFD Pratt & Whitney Utilities Technology Superior Field Elec
Slide 37: 70% Advanced Structural Materials Not In Airline Service Today
70% Advanced Structural Materials Not In Airline Service Today 9% 22% 47% 23% 70% Advanced Composites Aluminum Lithium Standard Materials Titanium and/or Steel - PRODUCT DEVELOPMENT STUDY - This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary infor
Slide 38: CSERIES and the Pratt & Whitney Geared Turbofan
CSERIES and the Pratt & Whitney Geared Turbofan … Leading the Way In Fuel Burn Reduction Ultra High Bypass Ratio Coupled with Newest & Proven Technology Yielding: Up to 20% Fuel Burn Advantage* Lower Noise: Stage IV -20 EPNdB Pratt & Whitney Lower Emissions Geared TurbofanTM CSeries CSeries Ul
Slide 39: Technology and Design Optimization Have Reduced Fuel Burn
Technology and Design Optimization Have Progressively Reduced Fuel Burn to Meet Market Requirements 7% Competitors Average (737-700W, A319) 6500 8% 3% Competitors Average (E195, 737-600W, A318) Jan. 2006 – 2010 EIS 4% Block Fuel - lb (500 nm) 9% Sep. 2006 Optimization Jan. 2006 – 2010 EIS 8% Sep. 20
Slide 40: Up To 68% Fuel Burn Advantage
CSERIES and Pratt & Whitney Geared Turbofan Solution Offers Up To 68% Fuel Burn Advantage 9000 500 nm Block Fuel (lb.) 8500 8000 7500 7000 6500 + 21% + 23% + 57% + 23% + 28% + 68% 6000 5500 5000 CSeries 737- A318 DC9 CSeries 737- A319 DC9 110 600W 130 700W Better Fuel Economy over New Generation and
Slide 41: CSERIES Connects Secondary City Pairs Directly
CSERIES Offers Airlines The Ability to Connect Secondary City Pairs Directly CSeries 110 - 110 Pax CSeries 130 - 130 Pax 2,700 nm (5,000 km) Ulaanbaatar Urumqi Beijing Seoul Vancouver Tokyo Toronto Delhi Denver St.Johns Kunming Shanghai New York Mumbai Los Angeles Kolkata Raleigh-Durham Hong Kong Da
Slide 42: Widebody Feel in a Single-aisle Aircraft
Widebody Feel in a Single-aisle Aircraft This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of any proposal; creates no contractual com m itm ent and is subject to chan
Slide 43: The Greenest Single-Aisle Aircraft in the Sky
The Greenest Single-Aisle Aircraft in the Sky The future of the industry lies in the challenge of being profitably green. Designed with vision and conviction, the environmental benefits of the C Series combine the best business practices with the best corporate citizenship. C Series Emissions: Up
Slide 44: CSERIES Cash Operating Costs Advantage (C110)
CSERIES Cash Operating Costs Advantage* % Relative to C110 COC Comparison – 750 nm Mission North American Environment DC-9 + 43% (103) 737-500 Best Available (114) + 52% Today C110 + 20% (110) + 17% Assumptions: Fuel: $2.30USD/USG, Landing Fees: $2.94 per 1000 lb MLW, Flight Crew 100 Seater: $355.39
Slide 45: CSERIES Cash Operating Costs Advantage (C130)
CSERIES Cash Operating Costs Advantage* % Relative to C130 COC Comparison – 750 nm Mission North American Environment MD-83 + 46% (146) Best 737-300 Available (129) Today + 30% + 24% C130 +18% (130) Assumptions: Fuel: $2.30USD/USG, Landing Fees: $2.94 per 1000 lb MLW, Flight Crew 100 Seater: $355.39
Slide 46: Look Forward to the C Series
Look Forward to the C Series It’s a game-changer in its class, giving you a cleaner, quieter, more comfortable, more reliable, more profitable network Optimized family of aircraft Beyond state-of-the-art technology and design Up to 15% less Cash Operating Costs The most environmentally frien
Slide 47: Agenda
Agenda 1 About Bombardier 2 Airline Market Outlook 3 Regional Aircraft Overview 4 C Series Overview 5 Conclusion This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of a
Slide 48: Conclusion
Conclusion Strong order performance and backlog growth at both Bombardier Business Aircraft and Regional Aircraft: • Continued strong Business Aircraft market • Strong rebound at Regional Aircraft • Market Leadership in each segment Customer base expanding rapidly for our products Product inno
Slide 49: Thank You! Questions?
Bombardier Aerospace Continuous Innovation in Commercial Aircraft Thank You! Questions? This [These] docum ent[s] contain[s] financial, com m ercial, scientific, technical or other proprietary inform ation. This docum ent is for inform ational purposes only; is not part of any proposal; creates no c
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