MONTREAL, QUEBEC--(Marketwired - Feb 12, 2015) - Bombardier Inc. (TSX:BBD.A)(TSX:BBD.B)(OTCQX:BDRBF)

(All amounts in this press release are in U.S. dollars unless otherwise indicated. This press release contains both IFRS and non-GAAP measures. Non-GAAP measures are defined and reconciled to the most comparable IFRS measures in the Corporation's MD&A. See Caution regarding non-GAAP measures at the end of this press release.)

  • Revenues of $20.1 billion, compared to $18.2 billion for the last fiscal year

  • EBIT before special items(1) of $923 million, or 4.6% of revenues, compared to $893 million, or 4.9%, for the last fiscal year

  • Adjusted net income(1) of $648 million (adjusted EPS(1) of $0.35), compared to $608 million (adjusted EPS of $0.33) for the last fiscal year

  • Free cash flow usage(1) of $1.1 billion, including a net investment of $2.0 billion in PP&E and intangible assets, compared to a usage of $907 million for the last fiscal year, including a net investment of $2.3 billion in PP&E and intangible assets

  • Available short-term capital resources of $3.8 billion, including cash and cash equivalents of $2.5 billion as at December 31, 2014, compared to $4.8 billion and $3.4 billion, respectively, as at December 31, 2013

  • Backlog of $69.1 billion as at December 31, 2014, compared to $69.7 billion as at December 31, 2013

(1) See Caution regarding non-GAAP measures at the end of this press release.

Bombardier today reported its financial results for the fourth quarter and the year ended December 31, 2014. Revenues totalled $6.0 billion for the quarter, compared to $5.3 billion for the same period last fiscal year, which represents an increase of 14.6% excluding currency impacts. For the year, revenues totalled $20.1 billion, an increase of 10.8% excluding currency impacts, compared to $18.2 billion last year.

For the fourth quarter ended December 31, 2014, earnings before financing expense, financing income and income taxes (EBIT) was negative $1.2 billion, or (20.2)% of revenues, compared to EBIT of $185 million, or 3.5% for the same period last fiscal year. For the year, EBIT was negative $566 million, or (2.8)%, compared to EBIT of $923 million, or 5.1% last fiscal year. For the fourth quarter ended December 31, 2014, EBIT before special items totalled $156 million, or 2.6% of revenues, compared to $186 million or 3.5% for the same period last fiscal year. For the year, EBIT before special items totalled $923 million, or 4.6%, compared to $893 million, or 4.9%, last fiscal year.

On an adjusted basis, net income amounted to $83 million, or earnings per share (EPS) of $0.04, for the fourth quarter ended December 31, 2014, compared to $129 million, or $0.07, for the same period the previous year. For the year, on an adjusted basis, net income amounted to $648 million, or EPS of $0.35, compared to $608 million, or EPS of $0.33, last fiscal year. For the fourth quarter ended December 31, 2014, net loss totalled $1.6 billion, or EPS of $(0.92), compared to net income of $97 million, or $0.05, for the same period the previous year. For the fiscal year 2014, net loss amounted to $1.2 billion, or EPS of $(0.74), compared to net income of $572 million, or $0.31, last fiscal year. The net loss for the fourth quarter and for fiscal year 2014 is mainly due to the charge in special items related to the decision to pause the Learjet 85 business aircraft program recorded in the fourth quarter of fiscal year 2014.

For the three-month period ended December 31, 2014, free cash flow (cash flows from operating activities less net additions to property, plant and equipment (PP&E) and intangible assets) amounted to $590 million, compared to $771 million for the same period last year. For the year, free cash flow usage amounted to $1.1 billion, compared to a usage of $907 million last fiscal year. As at December 31, 2014, available short-term capital resources of $3.8 billion included cash and cash equivalents of $2.5 billion, compared to $4.8 billion and $3.4 billion, respectively as at December 31, 2013. The overall backlog amounted to $69.1 billion as at December 31, 2014, compared to $69.7 billion as at December 31, 2013.

"We continue to take action to put in place the right conditions to deliver profitable growth. Thanks to the lighter structure implemented in the Aerospace and Transportation business segments, we will fully benefit from the great potential of our new products," said Pierre Beaudoin, President and Chief Executive Officer, Bombardier Inc.

"We've reached significant milestones in our development programs, such as the assembly of the Global 7000 first Flight Test Vehicle (FTV), which is progressing well. The CSeries flight test program has logged close to 1,000 flight hours and the performance of the aircraft is meeting or exceeding our expectations. The first FTV for the CS300 aircraft has joined the flight test program and should accomplish its inaugural flight by the end of the first quarter. On the Transportation side, after completing the mandatory 600,000 km test run, the ZEFIRO 380 very high speed train has been homologated and the first deliveries are expected to occur in the next few weeks. Our total backlog of more than $69 billion gives us great visibility on manufacturing revenues for the next three years. And with the financing plan announced today, we are ensuring Bombardier has flexibility and a solid financial profile."

"We have one overriding objective at Bombardier: to become a true high performance organization with improved margins and better execution. We are determined and focused on delivering," emphasized Mr. Beaudoin.

Bombardier announced today that Mr. Laurent Beaudoin is retiring as Chairman of the Board of Directors after more than 50 years at the helm of the Corporation. He will remain on the Board with the honorary title of Chairman Emeritus. Mr. Pierre Beaudoin is appointed Executive Chairman, while Mr. Alain Bellemare becomes President and Chief Executive Officer and a member of the Board of Directors. These appointments will all be effective February 13, 2015.

"Laurent Beaudoin is retiring as Chairman after dedicating his entire life to building Bombardier," continued Pierre Beaudoin. "The Board and I wish to thank Laurent for his passion and his entrepreneurial spirit all through his tenure. Under his guidance, Bombardier became more than an iconic Canadian company, it became a global mobility leader with 74,000 employees and a presence in more than 60 countries across five continents. Our vast product portfolio, largely recognized as the best in the world, is part of his legacy. Bombardier would not be what it is today without his vision and leadership."

"I wish to welcome Alain Bellemare to Bombardier. Alain is an experienced executive who acquired a deep knowledge of the manufacturing sector while assuming leadership positions in various industries. Throughout his 18-year career at United Technologies Corp. (UTC), notably at Pratt & Whitney, he displayed exceptional management skills, with a clear focus on profitability. Most recently, as President and Chief Executive Officer of UTC Propulsion & Aerospace Systems, he oversaw the successful integration of the Goodrich Corporation into the company, and the development of some of the largest programs in UTC's history, including Pratt & Whitney's PurePower Engine. I am convinced that Alain will bring Bombardier to the next level," said Pierre Beaudoin.

"This is a new beginning, both for myself and for Bombardier", said Alain Bellemare. "We must improve profitability and realize the true potential of this great organization. I am thrilled to take on these new responsibilities and to join forces with Pierre Beaudoin and the rest of the senior management team. I'm sure that together we will deliver profitable growth."

Financing Plan

Bombardier is announcing today a plan to position the Corporation with a flexible and strong financial profile. Pursuant to this plan, the Corporation intends to undertake the following:

  • Issuance of equity for approximately $600 million: the Corporation intends to access the capital markets for approximately $600 million in new equity, depending on market conditions.

  • New long-term debt capital of up to $1.5 billion: the Corporation intends to access the capital markets for up to $1.5 billion in new debt capital, depending on market conditions.

  • To complement this financing plan, the Corporation will explore other initiatives such as certain business activities' potential participation in industry consolidation in order to reduce debt.

In order to realize the capital raising plan announced today, the Corporation has filed a preliminary short form base shelf prospectus with the Canadian securities regulatory authorities which will allow it to offer from time to time over a 25-month period up to approximately $2 billion ($2.5 billion Cdn) of debt, equity or other securities, including convertible securities. The Corporation may also offer the securities on a private placement basis in the U.S. and in other jurisdictions.

In keeping with the Corporation's objectives, the Board of Directors has concluded that the Corporation's free cash flow would be more appropriately applied to bolstering the Corporation's financial structure and investing in its core programs and businesses. Therefore, the Corporation is suspending the declaration of dividends on the Corporation's Class A shares (multiple voting) and Class B shares (subordinate voting).

Special Meeting of Shareholders

The Corporation is not currently authorized to issue a sufficient number of its Class B shares (subordinate voting) to realize the capital raising plan it announced today, and provide ongoing flexibility to raise additional funds in the future. Accordingly, a special meeting of holders of Class A shares (multiple voting) and Class B shares (subordinate voting) for the purpose of approving an amendment of the articles of the Corporation to increase the number of Class A shares (multiple voting) and Class B shares (subordinate voting) the Corporation is authorized to issue from 1,892,000,000 to 2,742,000,000 has been convened and will take place on or about March 27, 2015. Shareholders of record on February 24, 2015, will be entitled to vote at the special meeting of shareholders. Adoption of the special resolution approving the proposed amendment to the Corporation's articles requires the approval of 66 2/3% of the holders of Class A shares (multiple voting) and Class B shares (subordinate voting), present or represented by proxy at the special meeting, voting together. Certain members of the Bombardier family currently exercising control or direction over 266,863,185 Class A shares (multiple voting) and 2,700,858 Class B shares (subordinate voting), representing 58.24% of the total votes attached to the Class A shares (multiple voting) and Class B shares (subordinate voting), have agreed to vote in favour of the resolution approving the amendment of the articles of the Corporation.

In the event the special resolution is duly adopted by shareholders, the amendment to the articles of the Corporation is expected to become effective on or about March 30, 2015.

Bombardier Aerospace

Bombardier Aerospace's revenues amounted to $3.3 billion for the three-month period ended December 31, 2014, compared to $2.9 billion for the same period last fiscal year, an increase of 15.8%. For the year, revenues totalled $10.5 billion, compared to $9.4 billion last fiscal year, an increase of 11.9%.

Negative EBIT totalled $1.3 billion, or (39.2)% of revenues, for the fourth quarter, compared to EBIT of $93 million, or 3.2% for the same period last fiscal year. For the year, negative EBIT totalled $995 million, or (9.5)%, compared to EBIT of $418 million, or 4.5%, last fiscal year. For the fourth quarter, EBIT before special items totalled $54 million, or 1.6% of revenues, compared to $94 million, or 3.3%, for the same period last fiscal year. For the year, EBIT before special items totalled $437 million, or 4.2%, compared to $388 million, or 4.1%, last fiscal year.

Free cash flow amounted to $29 million (including net additions in PP&E and intangible assets of $449 million) for the fourth quarter ended December 31, 2014, compared to $87 million (including net additions in PP&E and intangible assets of $591 million) for the same period last fiscal year. For the year, free cash flow usage amounted to $1.1 billion (including net additions in PP&E and intangible assets of $1.9 billion), compared to a usage of $1.2 billion last fiscal year (including net additions in PP&E and intangible assets of $2.2 billion).

Bombardier Aerospace delivered a total of 101 aircraft during the fourth quarter ended December 31, 2014, compared to 83 for the same period last fiscal year, and received 67 net orders, compared to 252, for the same period last fiscal year. The group delivered 290 aircraft for the year, compared to 238 last fiscal year. The net orders reached 282, compared to 388 last fiscal year. Its backlog reached a level of $36.6 billion as at December 31, 2014, compared to $37.3 billion as at December 31, 2013.

The first four CS100 FTVs continue with flight testing activities and, as of February 10, 2015, 967 flight hours were accomplished. On-the-ground testing activities on FTV5 are ongoing and it is expected to be handed over to the flight test team by the end of the first quarter of 2015. The first CS300 aircraft has been handed over to the flight test team and is being readied for its first flight which is expected to take place by the end of the first quarter of 2015. The total CSeries firm orders and other agreements reached 563, with 21 customers in 18 countries, including 243 firm orders.

In 2014, Bombardier delivered 204 business aircraft compared to 180 the previous year and continues to be the business aircraft market leader in terms of units delivered and second in terms of revenues.

Subsequent to the end of the year, Bombardier announced the pause of its Learjet 85 business aircraft program. The pause follows a downward revision of Bombardier's business aircraft market forecast, primarily due to the continued weakness of the light aircraft category since the economic downturn.

In 2015, Bombardier Business Aircraft expects an EBIT margin of approximately 7% an improvement of approximately 1% compared to 2014, cash flows from operating activities between $1.0 billion and $1.4 billion, net additions to PP&E and intangibles of approximately $1.0 billion and approximately 210 aircraft deliveries.(2)

In 2015, Bombardier Commercial Aircraft expects a negative EBIT of approximately $200 million, including the dilutive impact of the initial years of production of the CSeries program, neutral cash flows from operating activities, net additions to PP&E and intangibles of approximately $900 million. The business segment also expects approximately 80 aircraft deliveries.(2)

In 2015, Bombardier Aerostructures and Engineering Services expects an EBIT margin of approximately 4%, neutral cash flows from operating activities, net additions to PP&E and intangibles of approximately $100 million and revenues of approximately $1.8 billion, mainly from internal contracts with Business and Commercial aircraft segments.(2)

(2)See Caution regarding non-GAAP measures at the end of this press release.

Bombardier Transportation

Bombardier Transportation's revenues amounted to $2.6 billion for the three-month period ended December 31, 2014, compared to $2.5 billion for the same period last year, an increase of 13.3% excluding currency impacts. For the year, revenues totalled $9.6 billion, compared to $8.8 billion for the last fiscal year, an increase of 9.7% excluding currency impacts.

For the fourth quarter ended December 31, 2014, EBIT totalled $102 million, or 3.9% of revenues, compared to $92 million, or 3.8%, for the same quarter the previous year. EBIT for the year was $429 million, or 4.5%, compared to $505 million, or 5.8%, for last fiscal year. EBIT before special items for the quarter ended December 31, 2014 totalled $102 million, or 3.9%, compared to $92 million, or 3.8%, for the same period last fiscal year. For the year, EBIT before special items totalled $486 million, or 5.1%, compared to $505 million, or 5.8% last fiscal year.

Free cash flow totalled $506 million for the quarter ended December 31, 2014, compared to $767 million for the same period last fiscal year. For the year, free cash flow amounted to $122 million, compared to $668 million last fiscal year.

New orders reached $1.8 billion (book-to-bill ratio of 0.7) for the fourth quarter, bringing the total orders to $12.6 billion for the year (book-to-bill ratio of 1.3). This translates into an order backlog of $32.5 billion (including a negative currency impact of $2.9 billion) as at December 31, 2014, compared to $32.4 billion as at December 31, 2013.

During the fiscal year, Bombardier Transportation's strong order intake included a contract worth $2.7 billion with the State of Queensland, Australia, for electrical multiple units (EMU) and fleet maintenance services, a $2.1 billion contract with Transport for London, U.K., for AVENTRA trains and fleet maintenance services for the London Crossrail project and a $1.2 billion contract with Transnet Freight Rail, South Africa, for TRAXX locomotives.

We continued to drive The Evolution of Mobility with new products such as São Paulo's new INNOVIA Monorail 300 System which started passenger service. This line will carry over half a million passengers every day along the east side of São Paulo. Subsequent to year-end, the ZEFIRO 380 very high speed train received homologation in China. Bombardier-Sifang Transportation, a Chinese entity in which Bombardier holds a 50% participation, is expected to start delivery during the first quarter of 2015.

For 2015, Bombardier Transportation expects a slight improvement in EBIT margin compared to 2014. There should be an improvement in free cash flow compared to 2014 although it is expected to remain below EBIT. Excluding currency impacts, revenues in 2015 are expected to be higher than in 2014, with percentage growth in the low-single digits and the book-to-bill ratio is expected to be in excess of 1.0.(2)

(2)See Caution regarding non-GAAP measures at the end of this press release.

FINANCIAL HIGHLIGHTS
(in millions of U.S. dollars, except per share amounts)
Fourth quarters ended December 312014 2013
BABTTotal BA BT Total
Results of operations
Revenues$3,326$2,634$5,960 $ 2,873 $ 2,451 $ 5,324
Cost of sales2,9732,3415,314 2,535 2,163 4,698
Gross margin353293646 338 288 626
SG&A182169351 176 175 351
R&D6151112 47 36 83
Share of income of joint ventures and associates-(25)(25) - (17 ) (17 )
Other expense (income)56(4)52 21 2 23
EBIT before special items(1)54102156 94 92 186
Special items(2)1,357-1,357 1 - 1
EBIT$(1,303)$102(1,201) $ 93 $ 92 185
Financing expense65 75
Financing income(17) (30 )
EBT(1,249) 140
Income taxes341 43
Net income (loss)$(1,590) $ 97
EPS (basic and diluted; in dollars)$(0.92) $ 0.05
Supplemental information
EBIT before special items(1)$54$102$156 $ 94 $ 92 $ 186
Amortization8828116 74 32 106
EBITDA before special items(1)$142$130$272 $ 168 $ 124 $ 292
On an adjusted basis
Adjusted net income(1)$83 $ 129
Adjusted EPS (in dollars)(1)$0.04 $ 0.07
Cash flows from operating activities$478$552 $ 678 $ 803
Net additions to PP&E and intangible assets(449)(46) (591 ) (36 )
Segmented free cash flow(1)$29$506$535 $ 87 $ 767 $ 854
Net income taxes and net interest paid55 (83 )
Free cash flow(1)$590 $ 771
BA: Bombardier Aerospace; BT: Bombardier Transportation
(1) Non-GAAP financial measure. Refer to the Non-GAAP financial measures and Liquidity and capital resources sections of the Corporation's MD&A for definitions of these metrics and reconciliation to the most comparable IFRS measures.
(2) The special item for the fourth quarter ended December 31, 2014 relates to a $1.4 billion charge related to the pause of the Learjet 85 aircraft program announced in January 2015, mainly comprised of a $1.3 billion impairment charge taken on the related aerospace program tooling.
Fiscal years ended December 312014 2013
BABTTotal BA BT Total
Results of operations
Revenues$10,499$9,612$20,111 $ 9,385 $ 8,766 $ 18,151
Cost of sales9,1488,38617,534 8,118 7,540 15,658
Gross margin1,3511,2262,577 1,267 1,226 2,493
SG&A6726861,358 699 718 1,417
R&D199148347 173 120 293
Share of income of joint ventures and associates-(89)(89) - (119 ) (119 )
Other expense (income)43(5)38 7 2 9
EBIT before special items(1)437486923 388 505 893
Special items(2)1,432571,489 (30 ) - (30 )
EBIT$(995)$429(566) $ 418 $ 505 923
Financing expense249 271
Financing income(75) (119 )
EBT(740) 771
Income taxes506 199
Net income (loss)$(1,246) $ 572
EPS (basic and diluted; in dollars)$(0.74) $ 0.31
Supplemental information
EBIT before special items(1)$437$486$923 $ 388 $ 505 $ 893
Amortization301116417 267 124 391
EBITDA before special items(1)$738$602$1,340 $ 655 $ 629 $ 1,284
On an adjusted basis
Adjusted net income(1)$648 $ 608
Adjusted EPS (in dollars)(1)$0.35 $ 0.33
Cash flows from operating activities$798$229 $ 974 $ 742
Net additions to PP&E and intangible assets(1,857)(107) (2,213 ) (74 )
Segmented free cash flow (usage)(1)$(1,059)$122$(937) $ (1,239 ) $ 668 $ (571 )
Net income taxes and net interest paid(180) (336 )
Free cash flow usage(1)$(1,117) $ (907 )
BA: Bombardier Aerospace; BT: Bombardier Transportation
(1) Non-GAAP financial measure. Refer to the Non-GAAP financial measures and Liquidity and capital resources sections of the Corporation's MD&A for definitions of these metrics and reconciliation to the most comparable IFRS measures.
(2) The special items for the fiscal year ended December 31, 2014 relate to a $1.4 billion charge related to the pause of the Learjet 85 aircraft program announced in January 2015, mainly comprised of a $1.3 billion impairment charge taken on the related aerospace program tooling, a $63 million expense for the workforce reduction of approximately 2,000 positions at BA, located mostly in Canada, the U.S. and the U.K., related to the new organizational structure announced in July 2014, a $57 million expense related to the reduction of worldwide direct and indirect personnel by approximately 900 employees at BT, a $22 million expense for the workforce reduction announced in January 2014 for approximately 1,700 positions at BA, located mostly in Canada and the U.S., and a gain upon the successful resolution of a litigation of $10 million in connection with Part IV of the Quebec Income Tax Act, the Tax on Capital.

SELECTED FINANCIAL INFORMATION

Bombardier Aerospace

Total aircraft deliveries
Fourth quarters
ended December 31		Fiscal years
ended December 31
(in units)2014 20132014 2013
Business aircraft78 60204 180
Commercial aircraft22 2184 55
Amphibious aircraft1 22 3
101 83290 238
Total aircraft net orders
December 31, 2014 December 31, 2013
(in units)Gross
orders		CancellationsNet
orders		 Gross
orders		 Cancellations Net
orders
Fourth quarters ended
Business aircraft49(17)32 231 (23 ) 208
Commercial aircraft32-32 42 - 42
Amphibious aircraft3-3 2 - 2
84(17)67 275 (23 ) 252
Fiscal years ended
Business aircraft181(52)129 369 (64 ) 305
Commercial aircraft149(1)148 92 (11 ) 81
Amphibious aircraft5-5 2 - 2
335(53)282 463 (75 ) 388
Book-to-bill ratio(1)
Fourth quarters
ended December 31		Fiscal years
ended December 31
2014 20132014 2013
Business aircraft0.4 3.50.6 1.7
Commercial aircraft1.5 2.01.8 1.5
0.7 3.01.0 1.6
(1) Defined as net orders received over aircraft deliveries, in units.
Order backlog
As at
(in billions of dollars)December 31, 2014 December 31, 2013
Aircraft programs$33.4 $ 33.9
Long-term maintenance and spares support agreements2.8 2.9
Military Aviation Training(1)0.4 0.5
$36.6 $ 37.3
(1) On January 26, 2015, Bombardier announced that it has reached a definitive agreement for the sale of its Military Aviation Training (MAT) activities to CAE Inc.

Bombardier Transportation

Revenues by geographic region
Fourth quarters ended December 31Fiscal years ended December 31
2014 20132014 2013
Europe(1)$1,72866% $ 1,677 68 %$6,47167% $ 5,874 67 %
North America39315% 429 18 %1,52716% 1,581 18 %
Asia-Pacific(1)36614% 189 8 %1,04111% 770 9 %
Rest of world(1)(2)1475% 156 6 %5736% 541 6 %
$2,634100% $ 2,451 100 %$9,612100% $ 8,766 100 %
(1) The increases in Europe reflect a negative currency impact of $114 million for the fourth quarter and a positive currency impact of $70 million for the fiscal year ended December 31, 2014, while the increases in Asia-Pacific reflect negative currency impacts of $12 million and $38 million respectively, and the variances in the Rest of world region reflect negative currency impacts of $17 million and $34 million respectively.
(2) The Rest of world region includes South America, Central America, Africa, the Middle East and the CIS.
Order intake and book-to-bill ratio
Fourth quarters ended December 31Fiscal years
ended December 31
Order intake (in billions of dollars)2014 20132014 2013
Rolling stock$1.1 $ 1.4$7.0 $ 5.4
Services0.5 0.54.4 2.0
System and signalling0.2 -1.2 1.4
$1.8 $ 1.9$12.6 $ 8.8
Book-to-bill ratio(1)0.7 0.81.3 1.0
(1) Ratio of new orders over revenues.
Order backlog
As at
(in billions of dollars)December 31, 2014 December 31, 2013
Rolling stock(1)$19.9 $ 21.1
Services9.3 7.4
System and signalling3.3 3.9
$32.5 $ 32.4
(1) Of which $9.9 billion, or 50% of rolling stock order backlog, had a percentage of completion from 0% to 25% as at December 31, 2014 ($12.0 billion, or 57%, as at December 31, 2013).

Bombardier Inc. uses its website as a channel of distribution for material company information. Financial and other material information regarding Bombardier Inc. is routinely posted on its website and accessible at bombardier.com. Investors are hereby notified that going forward, information about regular dividends declared and paid by Bombardier will only be made available through its website, unless otherwise required by applicable securities laws.

DIVIDENDS ON COMMON SHARES

Class A and Class B Shares

On February 11, 2015, the Board of Directors of the Corporation decided that, based on the financial results for fiscal year 2014 and until further notice, there would be no dividend payment on the Class A Shares (multiple voting) and the Class B Shares (subordinate voting).

DIVIDENDS ON PREFERRED SHARES

Series 2 Preferred Shares

A monthly dividend of $0.0625 Cdn per share on Series 2 Preferred Shares was paid on November 15, December 15, 2014 and January 15, 2015.

Series 3 Preferred Shares

A quarterly dividend of $0.195875 Cdn per share on Series 3 Preferred Shares is payable on April 30, 2015 to the shareholders of record at the close of business on April 17, 2015.

Series 4 Preferred Shares

A quarterly dividend of $0.390625 Cdn per share on Series 4 Preferred Shares is payable on April 30, 2015 to the shareholders of record at the close of business on April 17, 2015.

About Bombardier

Bombardier is the world's largest manufacturer of both planes and trains. Looking far ahead while delivering today, Bombardier is evolving mobility worldwide by answering the call for more efficient, sustainable and enjoyable transportation everywhere. Our vehicles, services and, most of all, our employees are what make us a global leader in transportation.

Bombardier is headquartered in Montréal, Canada. Our shares are traded on the Toronto Stock Exchange (BBD) and we are listed on the Dow Jones Sustainability World and North America indexes. In the fiscal year ended December 31, 2014, we posted revenues of $20.1 billion. News and information are available at bombardier.com or follow us on Twitter @Bombardier.

AVENTRA, CS100, CS300, CSeries, Global, Global 7000, INNOVIA, Learjet, Learjet 85, The Evolution of Mobility, TRAXX and ZEFIRO are trademarks of Bombardier Inc. or its subsidiaries.

The Management's Discussion and Analysis and the consolidated financial statements are available at ir.bombardier.com.

FORWARD-LOOKING STATEMENTS

This press release includes forward-looking statements, which may involve, but are not limited to: statements with respect to the Corporation's objectives, guidance, targets, goals, priorities, market and strategies, financial position, beliefs, prospects, plans, expectations, anticipations, estimates and intentions; general economic and business outlook, prospects and trends of an industry; expected growth in demand for products and services; product development, including projected design, characteristics, capacity or performance; expected or scheduled entry-into-service of products and services, orders, deliveries, testing, lead times, certifications and project execution in general; competitive position; and the expected impact of the legislative and regulatory environment and legal proceedings on the Corporation's business and operations; the Corporation's available liquidities and the Corporation's capital raising plan. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "anticipate", "plan", "foresee", "believe", "continue", "maintain" or "align", the negative of these terms, variations of them or similar terminology. By their nature, forward-looking statements require management to make assumptions and are subject to important known and unknown risks and uncertainties, which may cause actual results in future periods to differ materially from those forecasted. While management considers these assumptions to be reasonable and appropriate based on information currently available, there is risk that they may not be accurate. For additional information with respect to the assumptions underlying the forward-looking statements made in this press release, refer to the respective Guidance and forward-looking statements sections in Aerospace and in Transportation in the Management's Discussion and Analysis (MD&A) of the Corporation's financial report for the fiscal year ended December 31, 2014.

Certain factors that could cause actual results to differ materially from those anticipated in the forward-looking statements include, but are not limited to, risks associated with general economic conditions, risks associated with the Corporation's business environment (such as risks associated with the financial condition of the airline industry and major rail operators), operational risks (such as risks related to developing new products and services; doing business with partners; product performance warranty and casualty claim losses; regulatory and legal proceedings; the environment; dependence on certain customers and suppliers; human resources; fixed-price commitments and production and project execution), financing risks (such as risks related to liquidity and access to capital markets, exposure to credit risk, certain restrictive debt covenants, financing support provided for the benefit of certain customers and reliance on government support) and market risks (such as risks related to foreign currency fluctuations, changing interest rates, decreases in residual values and increases in commodity prices). For more details, see the Risks and uncertainties section in Other in the MD&A of the Corporation's financial report for the fiscal year ended December 31, 2014. Readers are cautioned that the foregoing list of factors that may affect future growth, results and performance is not exhaustive and undue reliance should not be placed on forward-looking statements. The forward-looking statements set forth herein reflect management's expectations as at the date of this press release and are subject to change after such date. Unless otherwise required by applicable securities laws, the Corporation expressly disclaims any intention, and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.

CAUTION REGARDING NON-GAAP MEASURES

This press release is based on reported earnings in accordance with International Financial Reporting Standards (IFRS). Reference to generally accepted accounting principles (GAAP) means IFRS, unless indicated otherwise. This press release is also based on non-GAAP financial measures including EBITDA, EBIT and EBITDA before special items, adjusted net income, adjusted earnings per share and free cash flow. These non-GAAP measures are mainly derived from the interim consolidated financial statements, but do not have a standardized meaning prescribed by IFRS; therefore, others using these terms may calculate them differently. Management believes that providing certain non-GAAP performance measures, in addition to IFRS measures, provides users of our financial reports with enhanced understanding of our results and related trends and increases transparency and clarity into the core results of our business. Refer to the Non-GAAP financial measures and Liquidity and capital resources sections and Analysis of results sections in Aerospace and Transportation in the Corporation's MD&A for definitions of these metrics and reconciliations to the most comparable IFRS measures.

This press release does not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction. The securities mentioned herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.