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Bombardier Expects New Orders from ME , Africa

DUBAI — Canada-based aircraft manufacturer Bombardier is expecting to firm up before the end of the year, new orders for business jets and commercial aircraft from airlines in the Middle East and Africa.

Bombardier Commercial Aircraft President Gary Scott said the company is in deep discussions with several potential customers in the region.

“We are talking to virtually all airlines in the region. Some of those discussions are more advanced than the others,” Scott told Khaleej Times at the ongoing Dubai Air Show.

Despite slowing orders worldwide due to the global crisis, Scott said the Middle East and Africa continues to be a “bright spot” for Bombardier
where it has seen positive capacity growth in 2009.

“The business jet sector in the Middle East has also slowed down this year, but it is still growing, it has not been hit as hard as other regions” said Scott.

The business jet sector in the region, may see the beginning of a “real” turnaround by 2010, he added.

Scott is confident that deals will be signed before the end of the year, particularly for its CSeries aircraft. The 120-seater CS100 aircraft, and the 145-seater CS300 are suited for the MEA market which uses 20 per cent less fuel and has more cabin space.

The company this year signed 30 firm orders for its CS series planes and has options for 30 more.

“The airlines that we are talking to are eyeing new orders, and that means they are expecting air traffic to pick up down the line,” said Scott.

In its global forecast for commercial aircraft, Bombardier has forecast that deliveries in the Middle East, Africa and India will reach 1,430 in the next 20 years. Of this, the Middle East and Africa will account for 870, Scott said. Currently, Bombardier has 2,400 aircraft in service and has a backlog of 272 units.

Bombardier Commercial Aircraft Vice President for commercial operations Rod Williams said the positive trend is expected to prevail.He said that aside from the expected recovery of the market, demand worldwide will be driven by the need to replace fleets that will be retired.

On the other hand, higher oil prices will also spur demand for aircraft with better fuel efficiency, and those that are more environment-friendly.

Subsequently, traffic growth will resume once the global economy improves, driving additional aircraft orders, said Williams.Vice President, Commercial Operations

Bombardier Commercial Aircraft

“There is a sense in the aviation industry, that the worst is behind. Of course there is still uncertainty because no one can tell how strong the recovery will be. But airlines are showing more interest and are more confident talking about potential orders. Many are beginning to think that demand would recover in the next three years,” said Scott.

· rocel@khaleejtimes.ccom