Editors note: There are two photos associated with this press
release.
Today, just over one year after the largest business aircraft
sale in its history, Bombardier Aerospace surpassed that record,
announcing a firm order from NetJets Inc. for 100 Challenger
business jets with options for an additional 175 aircraft.
Bombardier also announced a long-term aftermarket support agreement
with NetJets. The transaction for the firm aircraft order is valued
at approximately $2.6 billion US based on 2012 list prices. If all
the options are exercised, the total value of the order is
approximately $7.3 billion US, also based on 2012 list prices. The
aftermarket agreement is for a term of up to 15 years. Assuming
certain aircraft usage projections and a 15-year term per firm
aircraft, it is valued at up to $820 million US. If all options are
exercised, the aftermarket agreement is valued at up to $2.3
billion US. The combined sale and aftermarket agreement are valued
at approximately $9.6 billion US if all options are exercised.
"We are very proud that, once again, NetJets has selected
Bombardier aircraft to grow and support the expansion of its fleet
worldwide," said Steve Ridolfi, President, Bombardier Business
Aircraft. "Our Challenger 300 Series and Challenger 605 Series jets
are worldwide leaders in their respective segments. These aircraft
are renowned for their reliability, performance and wide cabin
comfort. We are convinced that the Challenger jets will complement
NetJets' existing fleet perfectly. After selecting our Global
aircraft last year, this new order is a fantastic endorsement of
Bombardier's large cabin product portfolio."
The firm order comprises 75 Challenger 300 Series jets, with
deliveries scheduled to begin in 2014, and 25 Challenger 605 Series
jets, with deliveries scheduled to begin in 2015. The options
comprise 125 Challenger 300 Series and 50 Challenger 605 Series
jets. NetJets' new Challenger aircraft will feature a NetJets
configuration and will be operated in North America and Europe.
"We are very impressed with Bombardier's overall product
portfolio," said Jordan Hansell, Chairman and Chief Executive
Officer, NetJets Inc. "The Challenger 300 Series and Challenger 605
Series jets will be an excellent complement to our existing mid
cabin capabilities and overall fleet that are unmatched in private
aviation. We are particularly appreciative that Bombardier has been
responsive to our needs in bringing a NetJets configuration for our
owners."
The aftermarket agreement will see Bombardier provide scheduled
and unscheduled line and heavy maintenance support for NetJets'
Challenger 300 Series and Challenger 605 Series aircraft. In
addition, their Challenger aircraft fleet will be enrolled in
Bombardier's Smart Services programs, the leading
cost-per-flight-hour solutions for Bombardier aircraft.
"The quality of Bombardier products is reinforced by the value
our aftermarket programs and support teams deliver every day," said
Eric Martel, President, Bombardier Customer Services &
Specialized and Amphibious Aircraft. "Our team is looking forward
to working together with NetJets to operate their Challenger
aircraft fleet as efficiently and cost-effectively as
possible."
Through its long-term service agreement with NetJets, Bombardier
will provide a host of parts and maintenance services, including
scheduled and unscheduled line and heavy maintenance support for
the Challenger jets through its superior, worldwide Customer
Services network of field and support personnel, parts distribution
centres and maintenance facilities. Bombardier will also offer
comprehensive parts provisioning services to the world's largest
business aircraft operator.
NetJets is the worldwide leader in private aviation with a fleet
of over 700 aircraft worldwide. The company's fleet plan is
centered on providing NetJets Owners with non-stop capabilities
around the globe in the industry's most advanced business
aircraft.
On March 1, 2011, NetJets placed a firm order for 50 Global
business jets, with options for an additional 70 Global aircraft.
The transaction for the firm order was valued at approximately $2.8
billion US based on list prices. The firm order included 30 Global
5000 and Global 6000 aircraft, with final deliveries scheduled to
begin in the fourth quarter of 2012. The sale also included 20 firm
orders for Bombardier's newly launched Global 7000 and Global 8000
jets. Deliveries of these aircraft will begin in 2017. At a total
list price exceeding $6.7 billion US, NetJets' order was the
largest aircraft purchase agreement in the history of private
aviation.
Challenger 300 Series jet: The Challenger 300 Series jet offers
transcontinental range and superior long-range cruise speed with
nine passengers. It can fly from Los Angeles to New York City(i),
and its superior airfield performance allows the aircraft to
operate out of 5,000-foot (1,524-m) runways with ease(i). The
Challenger 300 Series business jet offers the best performance and
value amongst its competitors and has consistently exceeded
customer expectations. With over 340 Challenger 300 jets in
service, it is the market leader amongst its peers.
Challenger 605 Series jet: The Challenger 605 Series jet builds
on the quality and reliability of its predecessor, the acclaimed
Challenger 604 jet, leading its market share segment throughout the
world. The Challenger 605 Series jet can whisk twelve passengers
three crew from New York City to London non-stop(i) in the widest
stand-up cabin of any large category business jet available today.
There are over 850 Challenger 600 jets in service worldwide,
including over 170 Challenger 605 jets, accounting for over 50 per
cent market share worldwide for its segment category.
About NetJets ® Inc.
NetJets ® Inc., a Berkshire Hathaway company, is the worldwide
leader in private aviation with the largest and most diverse
private jet fleet in the world. NetJets began in 1964 as the first
aircraft charter and management company in the world. In 1986,
NetJets pioneered the concept of fractional aircraft ownership --
offering individuals and businesses all of the benefits of whole
aircraft ownership and more, at a fraction of the cost. Today,
NetJets offers a full range of private aviation solutions through
its programs in North America and Europe, including NetJets Share,
NetJets Leases and the Marquis Jet Card®, which provides access to
NetJets through a 25-25 HOURS AT A TIME. The North America program
is managed and operated by NetJets' subsidiary NetJets Aviation,
Inc., and the European program is managed and operated by NetJets
Transportes Aereos, SA, a Portuguese/EU Air Carrier. In the United
States, NetJets also offers aircraft management and on-demand
charter services through its subsidiary, Executive Jet® Management,
Inc. Subject to obtaining relevant regulatory approvals, NetJets
will also offer aircraft management and charter services in China
through NetJets China Business Aviation Limited, a joint venture
between NetJets and a consortium of Chinese investors. The NetJets
companies offer worldwide flight operations. More information on
NetJets, NetJets Europe, the Marquis Jet Card, and Executive Jet
Management is available at www.netjets.com.
About Bombardier
Bombardier is the world's only manufacturer of both planes and
trains. Looking far ahead while delivering today, Bombardier is
evolving mobility worldwide by answering the call for more
efficient, sustainable and enjoyable transportation everywhere. Our
vehicles, services and, most of all, our employees are what make us
a global leader in transportation.
Bombardier is headquartered in Montreal, Canada. Our shares are
traded on the Toronto Stock Exchange (BBD) and we are listed on the
Dow Jones Sustainability World and North America indexes. In the
fiscal year ended December 31, 2011, we posted revenues of $18.3
billion USD. News and information are available at bombardier.com
or follow us on Twitter @Bombardier.
Notes to editors
Follow @Bombardier_Aero on Twitter to receive the latest news
and updates from Bombardier Aerospace.
For images and video, please visit our online press kit:
www.bbapress.com.
(i)Under certain operating conditions
Bombardier, Challenger, Challenger 300, Challenger 600,
Challenger 604, Challenger 605, Global, Global 5000, Global 6000,
Global 7000, Global 8000 and Smart Services are trademarks of
Bombardier Inc. or its subsidiaries.
To view the photos associated with this press release, please
visit the following links:
http://www.marketwire.com/library/20120611-CL300800.jpg
http://www.marketwire.com/library/20120611-CLFamily800.jpg
Contacts: Danielle Boudreau Bombardier Business Aircraft
+1-514-855-8149danielle.boudreau@aero.bombardier.com
www.bbapress.com www.bombardier.com
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