Bombardier Receives Orders for a Total of $180 Million for Rail Passenger Vehicles in Germany and Usbekistan.

ST-BRUNO, QUEBEC--(BUSINESS WIRE)--Dec. 21, 1998-- Bombardier(TSE:BBD.A.) (ME:BBD.A.) Bombardier Transportation, through German-based DWA, received an order from Deutsche Bahn for the supply of 98 double-deck passenger vehicles. This order represents the exercise of part of an option, based on a contract signed in 1996 for the supply of 250 of these vehicles. The option carried a further 350 vehicles. Within the framework of this contract, this purchase now brings the total of vehicles ordered by Deutsche Bahn to 499.

The total value of this order is approximately Can $ 148 million (185 million DM). The double-deck vehicles will be built by Bombardier Transportation in G Gorlitz, Germany. Deliveries will start in the second half of 1999 and be completed by April of the year 2000. The 98 vehicles will be put into service in regional traffic on lines in the federal states of Northrhine-Westfalia and Lower Saxony. Seventy-seven (77) of these vehicles will be designed for speeds up to 160 km/h, which means that they can share the lines with high-speed trains. The Deutsche Bahn will use these vehicles for carrying passengers to and from the world exhibition Expo 2000, to be held in Hannover. Double-deck vehicles offer up to 40 percent more seating capacity than single-level vehicles. These vehicles also enable operators to reduce investment and maintenance costs.

DWA also received an order from the Japanese trade firm Marubeni Corporation for the supply of 25 passenger coaches for Usbekistan. The total contract is valued at about Can $ 32 million (40 million DM). The vehicles will be built at Bombardier's Ammendorf plant, located in Halle in Germany, and delivered in the year 2000. The vehicle fleet of Usbekistan State Railways comprises more than 500 coaches already produced by DWA.

Bombardier Transportation, a world leader in the manufacturing of passenger rail cars, is responsible for all Bombardier's operations in the field of rail transportation equipment. It offers a complete range of urban, suburban and intercity vehicles as well as turnkey rail transit systems worldwide. It also manufactures freight cars and provides operations and maintenance services. Bombardier Transportation is the leading supplier of passenger rail cars in North America, where its activities are carried out by Mass Transit-North America and Transit Systems (Canada), Bombardier Transit Corporation (USA) and Concarril (Mexico). In Europe, Bombardier Transportation operates manufacturing facilities in Austria, Belgium, the Czech Republic, France, Germany, Switzerland and the United Kingdom.

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 percent of its revenues are generated outside Canada. Bombardier's revenues for its fiscal year ended January 31, 1998 totalled $8.5 billion.