RE:RE:RE:RE: RE: RE: JVdreamer05 wrote: Let's do some calculations. Bomber 33.7% Quebec Gov. 16.24% and AB 50%. Say if producing a
C300 would bring a profit of 10 Million $ Bomber would get 3.3millions. AB 5 millions Quebec Gov1.6 millions. Imagine Bomber had to borrow money to pay for the the cost to develope the
the Sseries which equal to about 6000 millions. The JV would have to produce 1780 aircrafts
for Bomber to get back the 6000 millions$ he borrowed to develope the C300. At the rate of
producing 120 aircrafts per year, it would take 15 years. That means in this 15 years for the
JV with AB, Bomber would be working for nothing while AB would get 8.9 Billions and the Quebec
Gov would get 2.8 billions foan investment of 1 Bilion. There is no much of a good deal for the
Bomber. Please prove that I am wrong, everyone, my fellow shareholders.
The problem with your reasoning is that you apply the whole $6 billions development cost to the CS300. Most of the debt was for R&D to develop new technologies. This new technology is applicable to the CS300, the CS100 and to the rest of the CSeries (500, 700, and 900) if the JV decides to go for it.
Keep in mind that the CS500 is a stretched version of the CS300 and its development could be done very rapidly with an additional small fraction of what it has already cost to develop the CS100 and CS300.
Be careful before jumping to conclusion. If Bombardier's technology resulted in the CS100 and CS300 to be the best in the world, the same would be applicable to the rest of the CSeries.