Bombardier Receives $185-Million Order From Connex in Germany for New Generation of Regional Trains.

Business Editors

MONTREAL--(BUSINESS WIRE)--Nov. 20, 2003

Bombardier Transportation has received an order from Connex Verkehr GmbH for the production of regional trains. The order, valued at approximately $185 million Cdn (120 million Euros), comprises 15 trains with a total of 90 cars, and four electric Bombardier(i) TRAXX(i) locomotives. Delivery of the vehicles is expected to start in the summer of 2005. The trains are scheduled to be put in service in December 2005 on the Marschbahn Line between Hamburg und Westerland (Sylt) in the North of Germany.

The new single-deck coaches are based on the vehicle design and technical solutions developed by Bombardier Transportation for the proven Bombardier double-deck cars that have been in successful service for many years. Since 1993, Deutsche Bahn alone has ordered close to 1,500 of these comfortable regional vehicles, which are built at Bombardier's facility in Gorlitz, Germany. These cars are also reliably running in Israel and Denmark and will soon be introduced in Luxembourg.

The Bombardier TRAXX locomotives, which are powered by Bombardier's proven MITRAC(i) propulsion and control system, are based on proven and standardized parts, systems, components and modules. This platform concept provides the customer with a product tailored to his specific requirements with reduced costs for procurement, operation and maintenance. The TRAXX locomotives, which are already in revenue service in Germany, Switzerland, Austria and Luxembourg, are characterized by a high reliability level, an availability of up to 97% and superior cost-effective operation. The locomotives ordered by Connex, to be built by Bombardier at its Kassel, Germany site, are a further development of the successful model previously known as Class 146.1.

"By selecting Bombardier Transportation, Connex opted for an innovative concept," said Olof Persson, President, Mainline, Bombardier Transportation. "Based on a proven and successful product, we have developed a new generation of regional trains which is state of the art in every aspect."

The 15 trains will be composed of either four or six air-conditioned single-deck cars in three different versions - connecting cars with the locomotives, middle cars, and steering cars. The low-floor coaches with a floor height of 800 mm offer a high level of passenger comfort and spacious multi-purpose areas for bicycles and prams. The trains can run at a maximum speed of 160 km/h. An ultra-modern train control system allows for feeder train operation, whereby two train units, operated with only one driver, can be split up at an en-route train station and then continue towards different destinations.

The trains will be operated by NOB Nord-Ostsee-Bahn GmbH, a subsidiary of Connex Verkehr GmbH. As a result of a Europe-wide tender, a ten-year transport service contract was awarded to NOB by LVS Kiel, the State authority responsible for transportation in Schleswig-Holstein.

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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