Bombardier Announces CRJ Production Rate Increase to 14.5 Monthly in Fiscal Year 2003.

Business Editors

MONTREAL--(BUSINESS WIRE)--April 16, 2001

On the strength of new orders and a large backlog of 551 aircraft, Bombardier Aerospace (TSE:BBD.A.)(TSE:BBD.B.) today announced a production rate increase to 14.5 aircraft per month from its current rate of 12.5 for its pioneering 50-seat CRJ* regional jet.

The 14.5 aircraft per month rate will be reached during Bombardier's 2003 fiscal year and, for that year, Bombardier targets 165 aircraft deliveries and 174 for the following year. During its current 2002 fiscal year, Bombardier plans 135 50-seat CRJ aircraft deliveries.

Since Jan. 1, 2001, Bombardier Aerospace has signed commitments for 96 firm, 53 conditional and 144 optioned CRJ100/200* aircraft. These firm commitments have come from Skywest Airlines (35) and Air Wisconsin Airlines (51) in the United States, Air Dolomiti (3) in Europe, Cameroon Airlines (1) in Africa and China Yunnan Airlines (6) in China.

"In light of our commercial success, the rate increase will allow us to better supply our customers," said Michael Graff, president and chief operating officer, Bombardier Aerospace. "The move will add up to 1,000 people to Bombardier Aerospace in Montreal," he added.

The bulk of the 1,000 new jobs will be at Bombardier's Dorval production site. Sufficient space to accommodate the production rate increase is available at the facility since 70-seat CRJ700* and 86-seat CRJ900* fabrication will take place at Bombardier's new Mirabel facility.

"Accelerating market demand for the CRJ family has been quite remarkable since the product type first entered revenue service in late 1992," said Mr. Graff. "To date, we have over 2,100 deliveries, orders and options for the 50-, 70- and 86-seat models of the CRJ - about 75 per cent of those commitments for the Series 100/200 versions.

Bombardier Aerospace, a unit of Bombardier Inc., is the leading business, regional and amphibious aircraft manufacturer. With full design and production capabilities in three countries, it offers the most comprehensive families of turboprop and regional jet aircraft and the widest range of business jets. It also provides the Flexjet(R) fractional business aircraft ownership program, technical services, aircraft maintenance and pilot training for business, regional airline and military customers.

Bombardier Inc., a diversified manufacturing and service company, is a world leading manufacturer of business jets, regional aircraft, rail transportation equipment and motorized recreational products. It is also a provider of financial services and asset management. The Corporation employs 58,000 people in 12 countries in North America, Europe and Asia, and more than 90% of its revenues are generated outside Canada. Bombardier's revenues for its fiscal year ended Jan. 31, 2001 totalled $16.1 billion.

(R) Registered trademark of Bombardier Inc. * Trademark of Bombardier Inc.