my last plan for Bombardier long term debt#1 agree to come up with $8B to pay off the $9.3B long term debt in a "proposal".
#2 Alstom deal aside*, in the interim CDPQ takes out Bombardiers rest of position in BT for $3B ($4B less $1B cash on hand needed for BT).
#3 Between Dec 31 2019 cash on hand of $2.6B, asset sale proceeds of $1.6B and cash needs of BA, they should be able to come up with $2B internally to help pay for the $8B.
#4 QC invests US$1B @$1. 1.4B additional shares.
#5 $1B loan from QC, $1B from Ottawa. Probably paid back within 4 years.
For BT, Ottawa debt will balloon by at least $100B so why not invest $3B in BT (they can print it) and collect 67.5% of 5% cashflow on $8B sales or $267M while retaining a crown jewel in Canada. Why give that to France for no reason, hello? Much better deal than Trans Moutain pipeline and more aligned with their vision for Canada.
Share price would eventually get back to $3 IMO plus if they start buying back shares...Legault looks like a genius. Justin looks like a genius. Shareholders get relief. Aerospace Industry is saved. New industry (BT) is created. Everybody happy...except Alstom and Wall Street.