Bombardier has officially exited the commercial aviation market, leaving ownership of the A220 programme to Airbus and the Government of Québec.
The new ownership structure of the A220 means Airbus holds 75% of the programme while Québec’s government owns 25%.
As part of the agreement, Airbus has also acquired the A220 and A330 work package production capabilities from Bombardier in Saint-Laurent, Québec.
Bombardier will receive $591 million from Airbus as part of the deal, of which $531 million was received at closing.
The agreement also releases Bombardier of its future funding capital requirement to Airbus.
Airbus CEO Guillaume Faury said that the deal is “good news“ for customers.
Alain Bellemare, CEO of Bombardier, said: “This transaction supports our efforts to address our capital structure and completes our strategic exit from commercial aerospace.“
Since Airbus took majority ownership of the A220 programme in 2018, total cumulative net orders for the aircraft have increased by 64% to 658 units.
The single aisle market represents around 70% of the expected global future demand for aircraft, by Airbus‘ estimates.
At the end of January, 107 A220 aircraft were flying with seven customers on four continents.