Bombardier Receives Letter of Intent for 10 Q400 Turboprop Airliners from Regional Airlines Holdings, Inc.

Business Editors

TORONTO--(BUSINESS WIRE)--April 24, 2003

Bombardier Aerospace (TSX:BBD.A) (TSX:BBD.B) announced today that Regional Airlines Holdings, Inc. (REGCO) of Toronto has signed a Letter of Intent (LOI) to acquire 10 68- to 78-passenger Bombardier Q400(i) airliners and take options on an additional 15.

A Letter of Intent is a signed proposal, which establishes all the details of the general contract including training, parts, warranty, price and payment terms. This is the first step taken before a purchase agreement is concluded.

The LOI was signed by REGCO president and Chief Executive Officer Robert Deluce during a brief ceremony at the Bombardier de Havilland facility attended by Pierre Beaudoin, president and Chief Operating Officer of Bombardier Aerospace and representatives from the federal, provincial and municipal governments.

"The Bombardier Q400 has won high praise from airlines for its excellent economics and from passengers for its speed, quietness and comfort," said Mr.Beaudoin. "We are confident the Bombardier Q400 will receive the same accolades when in service with Regional Airlines Holdings."

Regional Airlines Holdings, Inc. plans to service 17 cities in Quebec, Ontario, six U.S. states and the District of Columbia from a base at Toronto's City Centre Airport. All are within 90 minutes flying time, or 500 nm (925 km).

"The Bombardier Q400 is simply the best aircraft for the service we are going to provide to our passengers," said Mr. Deluce. "Its speed is comparable to that of a jet, and Bombardier's Noise and Vibration Suppression (NVS) system makes the passenger cabin quieter than that in some jets."

The Bombardier Q400 is a state-of-the-art turboprop airliner that cruises at 360 knots (667 km/h) while delivering the lowest operating costs of any regional aircraft. It is also the most environmentally friendly regional aircraft, with noise and smoke emissions well below the maximum permitted under international agreement. The aircraft's high rate of climb after take-off further helps to minimize the impact on areas surrounding an airport.

The Bombardier Q400 regularly serves London, England's downtown London City Airport where environmental regulations are very strict. FlyBE., a regional airline in the U.K., yesterday placed a firm order for 17 additional Bombardier Q400 aircraft to add to the four already in service. Jim French, the airline's managing director, said the aircraft's "fantastically low" operating costs allowed him to offer lower fares to his passengers.

The Bombardier Q400 order book, including options and conditional orders, totals 189 aircraft with 71 delivered and in operation as of Feb. 28 with eleven customers throughout North America, Europe and the Asia/Pacific region.

Bombardier Aerospace, a unit of Bombardier Inc., is a world leader in the design and manufacture of innovative aviation products and provides services for the regional, business and amphibious aircraft markets. It also offers Bombardier Flexjet(i) and Bombardier Skyjet(i) business aircraft programs, technical services, and aircraft maintenance and pilot training for business, regional airline and military customers.

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) Trademarks of Bombardier Inc. or its subsidiaries.

Note to Editors:

Images of the signing ceremony will be available in our Web site multimedia library at: www.aero.bombardier.com/htmen/F15.jsp, and will also be distributed by business wire later today.