The federal government seeks a more favourable deal than the one struck by the province of Quebec to support the CSeries jet program at the Montreal-based company, officials said, speaking on condition of anonymity as talks continue. Barring a major breakthrough, a deal before Bombardier’s annual meeting on April 29 is unlikely, the officials said.
The disagreement is a potential setback for Bombardier as the train- and plane-maker is beginning to get traction for its CSeries, which has been beset by delays, cost overruns and limited orders. Bombardier is near an agreement to sell as many as 75 CSeries jetliners to Delta Air Lines Inc., a deal that would be the largest to date for its struggling aircraft program, a person familiar with matter said Thursday. Delta is seeking options for 50 more of the single-aisle jets, which would come on top of the 45 orders placedby Air Canada in February, with an option for 30 more.
The orders pushed Bombardier shares 8-per-cent higher to C$1.72 in morning trading in Toronto. The stock has more than doubled from its February record low, though is still down 58 per cent in the past two years.