Bombardier Inc. Class A · TSX:BBD.A
Bombardier Inc. Class A — Investor Presentation (February 2014)
40 slides from Bombardier Inc. Class A's investor presentation, February 2014
Slide 1: Bombardier Aerospace Profile, Strategy and Market
Bombardier Aerospace Profile, Strategy and © Bombardier Inc. or its subsidiaries. All rights reserved. Market FEBRUARY 2014
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements, which may involve, but are not limited to: statements with respect to our objectives, guidance, targets, goals, priorities, our market and strategies, financial position, beliefs, prospects, plans, expectations, antici
Slide 3: Agenda
3 2 1 Agenda OUR PROFILE OUR MARKETS OUR STRATEGY © Bombardier Inc. or its subsidiaries. All rights reserved.
Slide 4: Highlights of the Year
Highlights of the Year Bombardier Aerospace [Fiscal year ended December 31, 2013] WE ARE A WORLD © Bombardier Inc. or its subsidiaries. All rights reserved. Revenues EBIT EBIT before LEADER IN CIVIL special items1) AIRCRAFT $9.4B $418M $388M MANUFACTURING (4.5%) (4.1%) Customers Presence Order in in
Slide 5: Bombardier Aerospace is a truly global player
Bombardier Aerospace is a truly global player Employees – Geographic Segmentation Revenues – Geographic Segmentation 1% 6% 7% 12% © Bombardier Inc. or its subsidiaries. All rights reserved. 19% 59% 22% 59% 15% Canada U.S. Europe North America Europe Mexico Other Asia-Pacific Other Total employees1):
Slide 6: We have a diversified portfolio of products and services
We have a diversified portfolio of products and services Aerospace Revenues Breakdown by Business1) [% of Aerospace Revenues – Fiscal year ended December 31, 2013] Other 2) Total Revenues = $9.4 billion 13% © Bombardier Inc. or its subsidiaries. All rights reserved. 1), 3) Business Services Aircraft
Slide 7: We offer a broad business aircraft portfolio
We offer a broad business aircraft portfolio… LEARJET family of aircraft Models: Learjet 70, Learjet 75, Learjet 60 XR and Learjet 851) Market category: Light business jets Competitive advantages2): The Learjet heritage of high performance is upheld by each Learjet product. The Learjet family of air
Slide 8: Broad portfolio of commercial aircraft in the 20- to 149-seat categories
…and a broad portfolio of commercial aircraft in the 20- to 149-seat categories Q-SERIES turboprop aircraft Model: Q400 NextGen Market category: 60- to 90-seat turboprops Competitive advantages1): For short-haul operations, the optimized Q400 NextGen airliner is a fast, fuel-efficient, low-emission
Slide 9: Our specialized and amphibious aircraft offer key solutions
Our specialized and amphibious aircraft offer key solutions for specific needs Specialized aircraft Models: Various Bombardier business and commercial aircraft models Competitive advantages: Specialized aircraft provide solutions for governments, agencies and specialized organizations worldwide by m
Slide 10: Our customer services and solutions provide high standards of customer care
Our customer services and solutions provide high standards of customer care Maintenance Services Services portfolio: Extensive capabilities to accommodate aircraft maintenance, refurbishment and modification for business and commercial aircraft, as well as mobile repair teams Competitive advantages:
Slide 11: Our customer services and solutions provide high standards of customer care
Our customer services and solutions provide high standards of customer care Support services Services portfolio: Comprehensive portfolio of customer support including 24-hour customer response centres, customer services engineering, a network of field service personnel, regional support offices, tec
Slide 12: Our New Programs
12 Our New Programs © Bombardier Inc. or its subsidiaries. All rights reserved.
Slide 13: Our new Learjet business jets embody connectivity and innovation
Our new Learjet 70 and Learjet 75 business jets embody connectivity and innovation Improving upon the legendary Learjet 40/45 aircraft Performance: Reduced weight and fuel consumption, improved take- off field performance Cabin: Completely redesigned cabin with state-of-the-art high definition cabin
Slide 14: Our new Learjet business jet combines performance, technology, and comfort
Our new Learjet 85 business jet combines performance, technology, and comfort The largest and fastest Learjet aircraft yet Legendary Learjet performance1): 3,000 NM (5,556 km) range, maximum speed of Mach 0.82, maximum altitude of 49,000 ft (14,935 m) Large stand-up cabin with double-club seating ©
Slide 15: Our Challenger business jet will exceed all expectations
Our Challenger 350 business jet will exceed all expectations Improving the best selling super midsize aircraft Range of 3,200 NM (5,926 km) at a speed of Mach 0.80 with full fuel and eight passengers (225 lbs / passenger)1), including the most extensive list of baseline equipment in its segment Fast
Slide 16: Our Global 7000 and Global 8000 business aircraft set a new benchmark
Our Global 7000 and Global 8000 business aircraft set a new benchmark Setting new benchmark in global travel The Global 7000 jet is designed for 7,300 NM (13,520 km) range with 10 passengers at Mach 0.851) The Global 8000 jet will fly farther than any other business jet, boasting an impressive range
Slide 17: Our CSeries family of aircraft is a game changer
Our CSeries family of aircraft is a game changer 100% New aircraft Latest generation of system technology and state-of-the-art aerodynamics Lighter structure due to extensive use of advanced materials, e.g., composite material and advanced aluminum alloys © Bombardier Inc. or its subsidiaries. All r
Slide 18: Agenda
3 2 1 Agenda OUR PROFILE OUR MARKETS OUR STRATEGY © Bombardier Inc. or its subsidiaries. All rights reserved.
Slide 19: We concentrate on clear priorities to successfully execute our strategy
We concentrate on clear priorities to successfully execute our strategy © Bombardier Inc. or its subsidiaries. All rights reserved. Develop industry-leading Expand our global Achieve flawless products presence execution We remain focused on delivering quality and developing leading-edge products and
Slide 20: We performed several strategic initiatives that are feeding our top priorities
We performed several strategic initiatives that are feeding our top priorities Develop industry-leading products Our new products will meet our customers’ needs and enhance our competitive positioning We have the broadest portfolio of business and commercial aircraft, all of which provide customers
Slide 21: We are investing to strengthen our product leadership
We are investing to strengthen our product leadership Develop industry-leading products Investments1) [In millions of dollars; Fiscal years 2005-2013] $2,500 Canadian GAAP IFRS © Bombardier Inc. or its subsidiaries. All rights reserved. $2,000 $1,500 $1,000 $500 $0 2) 31-Jan-05 Jun-05 31-Jan-06 Jan-
Slide 22: Leveraging expertise from a global pool of talent and suppliers
We are leveraging expertise from a global pool of talent and suppliers while increasing capacity Expand our global presence Europe, Russia and CIS 16 production and engineering sites 1 5 29 marketing, sales, and administrative offices Design, Manufacturing Relationships with suppliers in over 70 Wor
Slide 23: We are increasing our presence to better serve our customers' needs globally
We are increasing our presence to better serve our customers’ needs globally Expand our global presence Current support network including Europe, Russia and CIS 20 additions in 2013 1 Service Centre 3 RSOs 20 ASFs / LMFs 1 Parts Depots / Hubs 3 ATPs © Bombardier Inc. or its subsidiaries. All rights
Slide 24: Customer satisfaction through fleet reliability and on-time delivery
We remain focused on customer satisfaction through fleet reliability and our capacity to deliver on time Achieve flawless execution Missed Departures On-Time Delivery [per 10,000 scheduled departures; [January 2008 - December 2013] January 2008 - November 2013] +66% points © Bombardier Inc. or its s
Slide 25: Agenda
3 2 1 Agenda OUR PROFILE OUR MARKETS OUR STRATEGY © Bombardier Inc. or its subsidiaries. All rights reserved.
Slide 26: We are well positioned to capture long-term market opportunities
We are well positioned to capture long-term market opportunities Orders in 2013 support our product and service strategy 115 aircraft from Flexjet, LLC and Business Aircraft options for 150 business jets for up to Our three families of business jets, when combined, represent the most approximately $
Slide 27: Business Aircraft Orders and Deliveries
Business Aircraft Orders and Deliveries Net Orders, Deliveries and Book-to-bill1) [Business Aircraft (Fiscal years 2008 – 2013)] Orders Deliveries Book-to-bill Canadian GAAP IFRS 1.9 © Bombardier Inc. or its subsidiaries. All rights reserved. 2 1.9 1.7 400 1.2 1.1 1 452 0.7 200 343 305 232 251 235 1
Slide 28: Commercial Aircraft Orders and Deliveries
Commercial Aircraft Orders and Deliveries Net Orders, Deliveries and Book-to-bill1) [Commercial Aircraft (Fiscal years 2008 – 2013)] 2.8 2.8 Orders Deliveries Book-to-bill Canadian GAAP IFRS © Bombardier Inc. or its subsidiaries. All rights reserved. 325 1.9 1.8 1.5 225 1 1 0.7 0.7 0.8 125 238 128 1
Slide 29: We continue to have a leading position in the business aircraft market
We continue to have a leading position in the business aircraft market Business Aircraft Competitive Environment1),2) Light Jets Medium Jets Large Jets © Bombardier Inc. or its subsidiaries. All rights reserved. L70 L75 L60XR L85 CL300 CL605 CL800 G5000 G6000 G7000 BOMBARDIER CL350 Series G8000 Cess
Slide 30: Highly efficient products in all our market segments
We have a unique advantage with highly efficient products in all our market segments Commercial Aircraft Competitive Environment1) Turboprops Regional Jets Commercial Jets 60-90 seats 60-79 seats 80-99 seats 100-119 seats 120-149 seats Q400 CRJ700 CRJ900 CRJ1000 CS100 CS300 © Bombardier Inc. or its
Slide 31: We are a market leader in the business aircraft market
We are a market leader in the business aircraft market Business Aircraft Market Share by Units Delivered and Revenues [One-year period ended December 31, 2013] Market Shares by Units Delivered Market Shares by Revenues (565 aircraft deliveries) ($19.3 billion) 1% 6% © Bombardier Inc. or its subsidia
Slide 32: One-third delivery market share in the 20- to 99-seat category
We captured about one-third delivery market share in the 20- to 99-seat category Commercial Aircraft Market Share by Units Delivered [Three-year period ended December 31, 2013] Market Shares by Units Delivered (658 aircraft deliveries) 4% © Bombardier Inc. or its subsidiaries. All rights reserved. 3
Slide 33: 24,000 business jet deliveries worth $650 billion in the next 20 years
Our forecast calls for 24,000 business jet deliveries worth $650 billion in the next 20 years 20-Year Business Aircraft Fleet Forecast1) 20-year Industry Outlook [Units; 2012-2032] [Revenues, $B; 2012-2032] Total aircraft deliveries: 24,000 Total revenues: $650 billion $40B 14,200 4,750 130 1,525 2x
Slide 34: Long-term market drivers remain solid for business aircraft
Long-term market drivers remain solid for business aircraft Business Aircraft Market Drivers [2013-2032 Outlook] Status • The wealth of our customer base, comprised of corporations, individuals and Wealth creation governments, can be measured by real Gross Domestic Product (GDP) • Global GDP growth
Slide 35: Business Aircraft Regional Delivery Outlook
Business Aircraft Regional Delivery Outlook 20-Year Business Aircraft Deliveries1) [In Units, 2013-2032] WORLD TOTAL 24,000 Europe 1,570 Russia & CIS North America © Bombardier Inc. or its subsidiaries. All rights reserved. 9,490 3,900 Greater China 1,200 2,420 800 1,340 Latin America 2,300 Middle E
Slide 36: 12,800 commercial aircraft deliveries in the 20- to 149-seat market
Our forecast calls for 12,800 commercial aircraft deliveries in the 20- to 149-seat market worth $646 billion in the next 20 years 20-Year Commercial Aircraft Fleet Forecast 20-year Industry Outlook [Units; 2012-2032] [Revenues, $B; 2012-2032] Total aircraft deliveries: 12,800 Total revenues: $646 b
Slide 37: Long-term market drivers for commercial aircraft are solid
Long-term market drivers for commercial aircraft are solid Commercial Aircraft Market Drivers [2013-2032 Outlook] Status • Air travel demand will be cyclical and directly related to GDP growth Economic growth • Global GDP forecast at 3.2% over the 20-year forecast period • Long term steady inflation
Slide 38: Commercial Aircraft Regional Delivery Outlook
Commercial Aircraft Regional Delivery Outlook 20-Year 20- to 149-Seat Category Deliveries [Units, 2013- 2032] WORLD TOTAL 12,800 740 Russia & CIS © Bombardier Inc. or its subsidiaries. All rights reserved. Europe North America 1,700 3,710 Greater China 480 2,330 700 660 Latin America 1,120 Middle Ea
Slide 39: Aircraft Program Disclaimer
Aircraft Program Disclaimer The CSeries family of aircraft, Challenger 350 aircraft, Learjet 85 aircraft and Global 7000 and Global 8000 aircraft programs are currently in development, and as such are subject to changes in family strategy, branding, capacity, performance, design and/or systems. All
Slide 40: © Bombardier Inc. or its subsidiaries. All rights reserved.
© Bombardier Inc. or its subsidiaries. All rights reserved.