Bombardier recently confirmed the completion of the previously announced sale of the CRJ Series aircraft programme to Mitsubishi Heavy Industries Ltd (MHI) for a ‘cash consideration’ of about $550 million (subject to ‘post-closing adjustments’).

Under the agreement, the net beneficial interest in the Regional Aircraft Securitisation Program (RASPRO), which is valued at about $170 million, has been transferred to MHI.

Through this sale, MHI acquires the maintenance, support, refurbishment, marketing and sales activities for the CRJ Series aircraft, including the related services and support network located in Montreal (Quebec) and Toronto (Ontario), plus service centres in Bridgeport (West Virginia) and Tucson (Arizona) — as well as the type certificates.

Bombardier will continue to supply components and spare parts, and it will assemble the remaining 15 CRJ aircraft in the backlog. It also retains certain liabilities representing a portion of the credit and residual value guarantees totalling $288 million.

With over 60,000 employees and headquartered in Montreal, Bombardier has production and engineering sites in over 25 countries covering aviation and transportation. In the fiscal year ended 31 December 2019, the company posted revenues of $15.8 billion.