Bombardier Officially Signs Contract for 46 Bombardier FLEXITY Outlook Trams for Brussels.

Business Editors

MONTREAL--(BUSINESS WIRE)--Oct. 30, 2003

An official signing ceremony was held today in Bruges, Belgium to mark the selection of Bombardier Transportation by the Board of Directors of the Brussels transport authority (STIB) for the delivery of 46 Bombardier(i) FLEXITY(i) Outlook trams for the city of Brussels. Pierre Lortie, President and Chief Operating Officer of Bombardier Transportation and Werner Daem, Chairman of the Board of the STIB, officially signed the contract jointly with Walter Grawenhoff, President, Light Rail Vehicles of Bombardier Transportation, and Alain Flausch, Administrator and general director of STIB, in the presence of Jos Chabert, Minister of Transport of the Government of Brussels-Capital.

The contract includes the overhaul and the corrective maintenance of the vehicles' bogies and propulsion equipment for a period of 15 years. The total value of the contract is approximately $191 million Cdn (125 million Euros), including $162 million Cdn (106 million Euros) for the vehicles and $29 million Cdn (19 million Euros) for the overhaul services. Within this agreement STIB has the possibility to order further batches of a minimum of 10 vehicles per series during a period of five years. The delivery of the 100% low-floor trams is expected to take place between June 2005 and February 2007.

On the occasion, Bombardier Transportation President Pierre Lortie commented: "The FLEXITY Outlook vehicles offer an innovative design, state-of-the-art technology and increased passenger comfort for a city of high international standard like Brussels. The new trams will undoubtedly emphasize the respected and reliable image of STIB."

Production of the vehicles will be undertaken by Bombardier mainly at its facility in Bruges, Belgium; the bogies will be produced at its Siegen site and the propulsion at its Mannheim facility, both in Germany.

Bombardier Transportation is the global leader in the rail equipment manufacturing and servicing industry. Its wide range of products includes passenger rail cars and total transit systems. It also manufactures locomotives, freight cars, propulsion & controls and provides rail control solutions.

Bombardier Inc., a diversified manufacturing and services company, is a world-leading manufacturer of business jets, regional aircraft, rail transportation equipment and motorized recreational products. It also provides financial services and asset management in business areas aligned with its core expertise. Headquartered in Montreal, Canada, the Corporation has a workforce of some 75,000 people and manufacturing facilities in 25 countries throughout the Americas, Europe and Asia-Pacific. Its revenues for the fiscal year ended Jan. 31, 2003 stood at $23.7 billion Cdn. Bombardier shares are traded on the Toronto, Brussels and Frankfurt stock exchanges (BBD, BOM and BBDd.F).

(i) Trademark(s) of Bombardier Inc. or its subsidiaries

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