RE:RE:Bond holders file claim in NYIt is so obvious that it is another attempt at trowing a wrench in the gear box. Bombardier is so confident about this that they lost no time answering it.
´´The Corporation believes that these allegations are without merit and intends to vigorously defend itself against the action ´´.
flamingogold wrote: This is now the second time news about bond holders is dumped just a few days before earnings. Like the last event, this will be inconsequential in the end and any selling is a buy opportunity.
clubhouse19 wrote: Bombardier Receives Notice of Claim from Certain Holders of 2034 Notes
MONTRAL, Feb. 01, 2022 (GLOBE NEWSWIRE) -- Bombardier (TSX: BBD.B) (the “Corporation”) today announced that it has received a letter dated January 31, 2022 (the “Letter”) from counsel to certain holders of 7.450% Senior Notes due 2034 (the “2034 Notes”), and has learned that such holders also filed a complaint before the Supreme Court of the State of New York (the “Action”), reiterating claims made in April 2021 substantially to the effect that the Corporation’s divestitures of non-core assets, including its transportation business, regional jet program and aerostructures division (the “Transactions”), constitute a breach of certain covenants under the indenture governing the 2034 Notes and further alleging that the actions of the Corporation in May 2021, addressing the matters raised in the April 2021 letter, breached the rights of such holders.
The Corporation believes that these allegations are without merit and intends to vigorously defend itself against the Action. The Corporation believes it is not and has never been in breach of any covenant under the relevant indenture