Company Expects Strong Bizjet Deliveries Over Decade
Bombardier Inc. says it is expecting a rosy future and
forecasts demand for its aircraft remaining strong over the next 10
Bombardier Aerospace, the Montreal-based company's air division,
said in a forecast released Tuesday the corporate aircraft market
is expected to see 9,950 deliveries, excluding very light jets,
between 2007 and 2016. It is projecting market-wide revenues of
"Overall demand for aircraft in the segments in which Bombardier
competes will remain strong," the company told ANN. "As well, there
is a geographic shift towards international markets and a
structural shift towards more cost-effective aircraft."
The company said it believes corporate aircraft makers will
deliver about 995 business jets a year, up from the industry
average of more than 572 jet deliveries a year from 1997 to
"Bombardier's forecast also indicates that primary market
drivers continue to be positive or stable," the company said. It is
factoring in an average order backlog of about two years and
sustained US gross domestic product growth of three per cent for
the next 10 years.
Bombardier's forecast also indicates that primary market drivers
continue to be positive or stable. This includes strong order
intake from international markets, now representing approximately
50 per cent of the total market and a number of new aircraft
programs scheduled to enter service over the next two years. Also
taken into consideration is manufacturers' current average order
backlog of approximately 24 months.
Regarding its 20-year commercial aircraft market forecast, the
company says demand for 20-to-149-seat commercial aircraft will
reach about 11,200 new planes with a total value of $393
"Airline capacity is expected to double over the next 20 years.
The trend towards larger aircraft, coupled with sustained higher
fuel prices, will reinforce operators' requirement for modern
aircraft with low operating costs," the company said.
Bombardier said it "continues to refine" its plan to build the
new, Boeing 737-size C-Series aircraft, with a target date for
entry into service of 2013 providing it decides to even build the
Canadian transport officials told the company Monday they want
Bombardier to modify its maintenance procedures for some of their
regional jets due to problems with their flap systems, according to