Bombardier Nears Completion of First 70-Seat Regional Jet -- Almost 100 Aircraft Already on Order.

TORONTO--(BUSINESS WIRE)--Feb. 11, 1999--Bombardier Aerospace (ME:BBD.A.) (TSE:BBD.A.) (ME:BBD.B.) (TSE:BBD.B.) Bombardier Aerospace, pioneer of the regional jet, today announced that the first 70-seat Canadair Regional Jet (CRJ) has entered the final phase of assembly. The CRJ Series 700, launched in January 1997 amidst unprecedented expansion in regional air travel, recorded 96 firm orders by the end of 1998 from such airlines as American Eagle, Atlantic Southeast Airlines, COMAIR, Lufthansa and Horizon Air.

Roll-out and maiden flight of the new-generation twinjet is scheduled for May of 1999, with certification and initial customer deliveries to follow in the first quarter of 2001.

"With the CRJ Series 700, Bombardier offers the broadest family of products of any regional aircraft manufacturer," said Robert Gillespie, president of Bombardier Aerospace, Regional Aircraft. "The combination of the 50- and 70-seat CRJ will allow regional carriers to match capacity with demand while leveraging a common crew for both aircraft."

Mr. Gillespie continued, "Twenty-five months into the program, the Series 700 is moving smoothly through the final assembly phase, achieving a major milestone today with mounting of the engine on the airframe."

Bombardier Aerospace is also evaluating a new twinjet, the BRJ-X, in the 90- to 110-seat class. A formal program launch late in 1999 would lead to certification and first delivery in 2003. An Airline Advisory Council, comprised of 14 airlines from seven countries which held its first meeting in Montreal in November 1998, is providing input on the aircraft's design, configuration and performance.

At the end of 1998, firm orders for the Canadair Regional Jet Series 100, 200 and 700 stood at a record 541 aircraft from 24 airlines, with 279 aircraft in service. In 1998, Bombardier Aerospace had a record year, taking in firm orders for 192 CRJ aircraft including 69 of the 70-passenger models.

Bombardier Aerospace, a unit of Bombardier Inc., is the world's third largest civil aircraft manufacturer with operations in three countries. Leading the 20- to 70-passenger regional carrier market, Bombardier Aerospace offers complete families of turboprop and regional jet aircraft. It has the industry's widest range of business jets and also produces firefighting/maritime mission aircraft. It provides technical services and aircraft maintenance to military and regional airline customers and also offers flying training.

Bombardier Inc. is a Canadian corporation, active in the fields of aerospace, rail transportation equipment, recreational products, financial services and services related to its products and core businesses. It operates plants in 11 countries in North America and Europe and more than 88 per cent of its revenues are generated outside Canada. Bombardier's revenues for its fiscal year ended January 31, 1998 totalled $8.5 billion.

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