Bombardier ready to stem C series discounting after Delta deal
Bombardier said it’s ready to curb a discounting policy that helped secure vital contracts for its struggling C Series jetliner from Delta and Air Canada. “It’s clear that we took a more aggressive position on the recent orders,” said Alain Bellemare, Bombardier’s CEO, adding that the C Series is now “at the right stage” for a higher-margin approach to its sales pitches. “We want to keep trading-value for customers, while at the same time being responsible for managing our business properly,” he said. “It gives us a bit more flexibility.” Bombardier last year signaled a new willingness to offer bigger discounts on the C Series in a bid to end an order drought and help the model compete with Boeing Co.’s 737 range and the Airbus Group SE A320 family. The switch helped the manufacturer seal an outline order for at least 45 CS300s from Air Canada in February, followed in April by Delta’s agreement to buy at least 75 smaller CS100s worth $5.6b at list price.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2016-06-02/general/bombardier-ready-to-stem-c-series-discounting-after-delta-deal
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Bombardier ready to stem C series discounting after Delta deal
Bombardier said it’s ready to curb a discounting policy that helped secure vital contracts for its struggling C Series jetliner from Delta and Air Canada. “It’s clear that we took a more aggressive position on the recent orders,” said Alain Bellemare, Bombardier’s CEO, adding that the C Series is now “at the right stage” for a higher-margin approach to its sales pitches. “We want to keep trading-value for customers, while at the same time being responsible for managing our business properly,” he said. “It gives us a bit more flexibility.” Bombardier last year signaled a new willingness to offer bigger discounts on the C Series in a bid to end an order drought and help the model compete with Boeing Co.’s 737 range and the Airbus Group SE A320 family. The switch helped the manufacturer seal an outline order for at least 45 CS300s from Air Canada in February, followed in April by Delta’s agreement to buy at least 75 smaller CS100s worth $5.6b at list price.<br/>