RE:RE:RE:probable coursegobomber wrote: KILOFINAL wrote: They need Billions in support because they are losing about $32 million on each of the first 50. It will take years to build the first 50.
JAB133 wrote: BBD has 243 C series orders. Will deliver #1 in a few/several months. Will take years (5 years or more) to deliver the 243. Chances are orders will come in as airlines see the 243 being delivered. Why all the hype? Relax, get a few planes delivered. Build it and they will come.
If they are effectively losing $32M per plane for a CS100, I have no idea how this is sustainable for the long run. The whole idea is to eventually make a profit.
You do not save $32M on the construction cost of a plane by just fine tuning the production line.
Unfortunately, it is starting to look like this is best plane in the world in this category but nobody is buying it because of the price. If they have to lower the price by $32M to have a competive plane, pricewise, it is a question of time before the CSeries is dead in the water.
Now that they have the technology and know how, might be preferable to focus all their energy developing the CS500 and CS700 and be in direct competition with the big boys for larger planes. Boeing and Airbus might be willing to deeply discout their older planes but might be unwilling to to the same for their larger and newer model. Maybe Bombardier has a better chance of selling the CS500 and CS700 at competitive prices than the CS 100 or CS 300
The loses are not really losses due to the plane itself as kilo is suggesting here. The losses are the bulk of the expenses for the entire c series program development. Costs of ramp up to production an much much more. Including interest payments and expeditures. He is omitting the much more obvious. This is for ramped up payment in full of debt and liabilities. But doesnt reflect the whole company, business jets, trains, and services. Small peice of a complicated puzzle. Since all they will need to do is stretch the existing costs of development will be much more resonable. For reference take a look at the boeing and airbus developments on existing lines.