Bombardier Inc. T.BBD.A

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

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. > Bombardier in talks to amend bondholders' agreement after

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Comment by stockitnowon May 05, 2021 12:54pm

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Post# 33132798

RE:RE:RE:RE:RE:RE:RE:RE:Bombardier in talks to amend bondholders' agreement after

Thanks flamingogold.

flamingogold wrote: It was CIBC...

"Launching Consent Solicitations To Clarify It Is Not In Breach Of Any Covenants: BBD has launched consent solicitations regarding various outstanding indentures. This was the result of a noteholder with a 2034 Note accusing BBD of breaching covenants when the company divested its noncore assets (i.e., Transportation, Commercial Aviation, Aerostructures). BBD is seeking consent from its noteholders to clarify that these divestures are permitted and do not give rise to any defaults. While this recent development creates additional “noise,” we would note BBD has been transparent the last few years regarding its plans to divest of certain assets to streamline its operations. Presumably, if any long-term bond holders saw this as a breach of covenants, the issue would have been noted earlier."

stockitnow wrote: I think it was RBC analysts who said that the law is in favor for bombardier. Bombardier was clear in selling BT for several months and that bond holder had ample time to raise their issue before sale went through. Why did the bond holder raise this now? Bombardier is showing good governance by amending this for all bond holders. If this goes to court then its shows bombardier was proactive in addressing this when highlighted. And there was no breach, this is a clarification.

Shamhorish wrote: yes, no doubt management are doing good things but this problem with the breach and bbd denying the breach, then trying to amend and seek consent......and willing to pay..!!!

as one says this could go sour if senior bond holders do not accept bbd offer

"Things could also sour for the company. The company’s bond indentures could contain cross-default provisions or identical language as it relates to asset divestitures. If so and the unnamed bondholder’s allegations are proven true, the company would face an across-the-board default event and bondholders could demand full repayment, Mr. Fong said

imo, that is scary scenario