cledaybuck wrote:LockheedBBD wrote:That's the only thing I don't get about this whole deal. What does BBD get out of it?The most interesting thing is what Bombardier's endgame in all of this? The CSeries under the Bombardier is history. Are they going to sell off the CRJ/Q400 for pocket change? I guess BBD can go back to its business jet roots but that market also seems smaller than in past decades.
Bombardier and Embraer were the only western companies that could potentially challenge Boeing/Airbus, but Bombardier is out and Embraer will most likely fold into Boeing eventually. I guess only Russia/China will be able to save the day, but that is decades away.
The hope that in 2023 the "fair market value" of 31% of CSALP is a significant amount of money. Before this deal, 62% of CSALP was not.
Note that they are still committed to pumping in a lot of money to the program over the next few years.
All this after putting $5B into the program.
It's a terrible deal for BBD, but it was still better than any other option they had.