Bombardier Inc. T.BBD.A

Alternate Symbol(s): BDRPF | T.BBD.PR.B | BDRXF | T.BBD.PR.C | T.BBD.PR.D | BOMBF | BDRAF | T.BBD.B | BDRBF

Industrials Aerospace & Defense

Bombardier Inc. is a Canada-based manufacturer of business aircraft with a global network of service centers. The Company is focused on designing, manufacturing and servicing business jets. The Company has a worldwide fleet of more than 5,000 aircraft in service with a variety of multinational corporations, charter and fractional ownership providers, governments and private individuals. It operates aerostructure, assembly and completion facilities in Canada, the United States and Mexico. Its robust customer support network services the Learjet, Challenger and Global families of aircraft, and includes facilities in strategic locations in the United States and Canada, as well as in the United Kingdom, Germany, France, Switzerland, Austria, the United Arab Emirates, Singapore, China and Australia. The Company's jets include Challenger 350, Challenger 3500, Challenger 650, Global 5500, Global 6500, Global 7500 and Global 8000.

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Bombardier Inc. > LTD - $4B is realistic

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Comment by Jim99999on Jan 19, 2021 4:28pm

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Post# 32329178

RE:LTD - $4B is realistic

Thanks for this, Pablo, it is nice to understand other's point of view. I am not as optimistic as you, but I certainly hope you are right and I am wrong.

Jim

PabloLafortune wrote: First, #1 Q3 LTD 9.2B.//// #2 Alstom said Euro 5.3B what they will pay out less 2.5B Euro of shares so 2.8B cash @1.17 or $3.28B. LTD after applying 5.9B.//// #3 3a) BBD invested 350M Euro (427M USD) in BT in Q2 that should be returned. 3b) they will also own shares in Alstom currently estimated valued of 627M USD. 3c) Finally, I believe they have upside of 300M Euro on the deal (which would put them right back to the 4.2B originally estimated in February 17 press release). Total 1.35B USD. LTD after that 4.55B.//// #4 further upsides. 4a) they have option to buy CDPQ's shares in Alstom could be worth $200M USD? 4b) they may have bought some LTD back (2025 and 2027 bonds going up too quickly IMO) $100M USD? 4c) maybe they sold some R/E $300M USD. 4d) BA Q4 cashflow (they break even at $1B. Q4 revenue north of $2B. Lots of cash coming in net of reduced backlog ($300M?) 500M? again, a guess. 4e) they had pro-forma cash on hand at Q4 of $600M. GD is running negative $600M on the same metric. $800M there? Total for this section 1.9B. LTD after that 2.65B. ////

I admit to my optimism but in my view $4B LTD is quite realistic. YMMV.

Also, I do believe they will bring it further down with an equity raise but that's another story.