Bombardier sees continued discounts to expand CSeries backlog

Bombardier plans to continue to offer discounts on its new C Series narrow-body jets even after winning a 75-aircraft order from Delta Air Lines Inc., one of the planemaker’s top executives said. “Aggressive” pricing was part of the strategy that allowed the manufacturer to secure the Delta deal, Fred Cromer, president of Bombardier Commercial Aircraft, said Friday in an interview. He wouldn’t provide financial details of the accord, which also comes with options for 50 more aircraft. Carriers placing large jet orders typically negotiate discounts with aircraft manufacturers. Discounts on the CS100 jets that Delta bought -- which carry a list price of $71.8m -- may have been as high as 75%, according to Aviation Week. “Sure, I would use the term aggressive,” to describe the pricing offered to Delta, Cromer said in Mirabel, Quebec, after the Bombardier annual meeting. “Let’s face it -- we are still in the beginning stages of the program. The plane isn’t even in service yet, so a company that’s going to come in and place a volume order is going to expect a discount.”<br/>
Bloomberg
http://www.bloomberg.com/news/articles/2016-04-29/bombardier-sees-continued-discounts-to-expand-c-series-backlog
4/30/16