Bombardier Announces Sale of its Military Aviation
Services Unit
MONTREAL, QUEBEC--JUNE 10, 2003 - 08:01 ET
Bombardier Inc. today announced the sale of its
Military Aviation Services (MAS) unit to Spar Aerospace Limited,
a subsidiary of New York-based L-3 Communications Corporation,
for a total consideration of $90 million US. L-3's Canadian
presence was established in 2001 when it purchased SPAR
Aerospace. MAS was part of Bombardier's Defence Services business
and was earmarked for divestiture as part of Bombardier's
recapitalization program, which was announced on April 3, 2003.
BMO Nesbitt Burns acted as Bombardier's financial advisors for
this transaction.
The transaction is subject to the approval of all appropriate
regulatory authorities and to other consents from government
bodies in Canada and the U.S.
The MAS division of Bombardier's Defence Services business, which
employs approximately 950 people, provides maintenance, repair,
overhaul and a full range of technical services for military
aircraft, from systems engineering to aircraft modification, and
generated revenues of approximately $125 million Cdn in fiscal
year 2003. MAS has been the prime contractor for CF-18
maintenance since 1986. MAS main facilities are located in
Mirabel, Quebec and Bridgeport, West Virginia.
Bombardier's Defence Services business was comprised of MAS and
Military Aviation Training (MAT). The divestiture process of MAT
is ongoing.
Bombardier Inc., a diversified manufacturing and services
company, is a world-leading manufacturer of business jets,
regional aircraft, rail transportation equipment and motorized
recreational products. It also provides financial services and
asset management in business areas aligned with its core
expertise. Headquartered in Montreal, Canada, the Corporation has
a workforce of some 75,000 people and manufacturing facilities in
25 countries throughout the Americas, Europe and Asia-Pacific.
Its revenues for the fiscal year ended Jan. 31, 2003 stood at
$23.7 billion Cdn. Bombardier shares are traded on the Toronto,
Brussels and Frankfurt stock exchanges (BBD, BOM and BBDd.F). |
