Tech challenges, fan blade hurdles & aircraft deliveries....Interesting to read the general negativety of comments and stock price for Bombardier since Q2 report and lower guidance. Some now are even looking for the wheels to to fall off the cart, for the fed to never deliver that $1B and, for Mirabel to become a train terminal for 3,000 workers, and so on.
When one considers the high number of technical challenges and hurdles in developing an all new state of the art aircraft such as the C-Series, it's not surprising to encounter some issues as EIS is phased in and deliveries ramp-up.
Lets keep in mind that it is up to P&W to resolve the manufacturing process and delays such that deliveries to Bombardier occur in a timely fashion. With a smooth EIS at Swiss along with a so far high praise from the operator, the C-Series technical superiority and operating economics are becoming clearer to other world airlines and potential customers.
Given the current fan blade hurdle is essentially a one item engine component, aircraft production and even pre-delivery tests can be accomplished without a great deal of disruption at the factory.
I suspect that new management at Bombardier guided to the lower end of 2016 delivery numbers. Much better and credible to under promise and to eventually over deliver than the other way around (an undesirable trend of previous management leadership).
What I see most here is that too many holding the common are looking to make a quick buck or two from the shares in a few months. There are a lot of moving parts to this company, many of which are currently undergoing retructuring and or reorganisation under new management.
From my seat, I continue to see that the company's retructuring is actually starting to grab traction and that items such as the fan blades deliveries will be resolved by P&W. GLTA