Bombardier Awarded Contract in China for the Beijing Capital International Airport Link With Connection to Summer 2008 Olympic Games Village.

MONTREAL -- Bombardier Transportation has received an order from Changchun Railway Vehicles (CRC) as part of a contract awarded to CRC by the Beijing Dongzhimen Airport Express Rail Co. Ltd. for the supply of 40 ART MK IIcars for the Beijing Capital International Airport link. Bombardier's share of the contract is valued at approximately $44 million US (36 million euros).Andre Navarri, President Bombardier Transportation was present at the signing ceremony along with Jianwei Zhang, Bombardier's Chief Country Representative in China.

Bombardier will participate in project management and will be responsible for vehicle systems engineering and integration, design and manufacture of the bogies, as well as the propulsion and braking systems. Changchun Railway Vehicles (CRC) will manufacture the 40 ART MK II vehicles. Deliveries are scheduled to take place between 2007 and 2008 to coincide with the 2008 Summer Olympics in Beijing.

The 28-km airport link system will connect Dongzhimen Station to the Beijing Capital International Airport and feature Bombardier's Advanced Rapid Transit (ART) technology.The fleet will serve four different stations: Dongzhimen, Sanyuanqiao, Terminal 2 and Terminal 3.Passengers will be able to interchange trains conveniently at the Dongzhimen and Sanyuanqiao Stations, where connections to the 2008 Olympic village will be available.A special lounge at the Dongzhimen Station will allow passengers to initiate flight-boarding procedures before arriving at the airport.

Andre Navarri, President, Bombardier Transportation, said: "This contract reinforces our reputation for delivering first-class transportation products. With the 2008 Summer Olympics on Beijing's doorstep, we are proud to showcase our proven and exceptionally reliable ART technology."

Bombardier's ART technology, thoroughly proven in more than 70 years of combined operations in Canada, Asia, and the USA, offers unprecedented system reliability. Successfully deployed ART systems include Vancouver SkyTrain, the longest driverless system in the world; New York City's 13-km AirTrain JFK; and the 29-km Kuala Lumpur Kelana Jaya line in Malaysia, which has carried more than 200 million passengers since opening to passenger service in 1998.

Bombardier participates in three joint ventures in China.The first one, Changchun Bombardier Railway Vehicles Co. Ltd. (CBRC), is dedicated to the production of metro vehicles. The second one, Bombardier Sifang Power (Qingdao) Transportation Ltd., manufactures intercity passenger coaches for the Chinese Ministry of Railways. The other joint venture, Bombardier - CPC Propulsion Systems Co. Ltd. (BCP) - is involved in the production, marketing and maintenance of propulsion components for rail vehicles.

Including its joint ventures, Bombardier currently employs 2,100 people in China. In addition to its rail transportation operations, Bombardier is the number one supplier to the Chinese regional aircraft market with an installed base of 36 aircraft operated by seven airlines. It is also the top-ranked manufacturer of business aircraft in the country.Bombardier's longstanding business relationship with China began 50 years ago.

About Bombardier

A world-leading manufacturer of innovative transportation solutions, from regional aircraft and business jets to high technology rail transit systems, Bombardier Inc. is a global corporation headquartered in Canada. Its revenues for the fiscal year ended Jan. 31, 2005, were $15.8 billion US and its shares are traded on the Toronto Stock Exchange (BBD). News and information are available at www.bombardier.com.

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