Bombardier Inc. T.BBD.PR.B

Primary Symbol: T.BBD.A Alternate Symbol(s): BDRPF | 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. > Buybacks vs LTD repayment or a teeny tiny dividend

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Comment by BBDB859on Nov 18, 2024 10:44pm

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Post# 36319086

RE:RE:RE:RE:RE:Buybacks vs LTD repayment or a teeny tiny dividend

I beg to differ Lets. I think a small dividend is useless.

I think that Nordico's point, and even mine, on buybacks, which discussion started 2 years ago on this board is a better idea. To do buybacks is also a way to keep some of these shorts honest, and if they can cancel some shares along the way, then that's even a bonus.

Your idea about paying off Long term debt is good. No one here will argue with that. The point here is, that we are too early for a dividend. Just wait for the LTD to get reduced first, then we can implement some form of Dividend. Right now the share buyback program is doing great.The way they've set this compensation up is smart, to influence the SP somewhat with the use of Market Makers.

Letsmakemoredol wrote:
Nordico wrote: No point in me debating the reasoning of executive share-based compensation; that's just the standard practice in North America, so doesn't matter whether I support it or not.

I'm saying a company should prioritize defending shareprice when shorts bring a valuation down to unreasonable levels (and may push it further if a company doesn't do buybacks), over spending that specific amount of money on debt, yes. Keep in mind Bomber doesn't need to do one or the other - they can and should do both: spend the bulk of net income on LT debt, while spending around $100M (1/5 of annual profit) on buybacks, which is what they're doing.

Letsmakemoredol wrote: Nordico, why do they need to? Just cut a check to the executives for fair market value and be done with it.

So you are saying buybacks and canceling shares are a bigger issue than paying back the long term debt? With BBD's debt and negative equity?

since it appears that 99% of executives immediately sell their shares, it would make it easier just to give them the cash in lieu, no difference from a tax perspective. I have zero issues with them receiving compensation, either in shares or in cash.

I think every dime, outside of executive compensation should be used to pay back debt or give shareholders a teeny tiny dividend, we deserve some rewards as shareholders too. I'm fine if the stock tanks, its easy money to grab more shares like I did late last week for a quick flip next month or early 2025.