Bombardier bidding on TTC contracts.

Thunder Bay -- The Toronto Transit Commission (TTC) is high on Bombardier's list of potential partners for new rail car construction and refurbishment.

Plenty of technical details will have to be sorted out before Bombardier begins crunching financial numbers with the TTC, Canadian Autoworkers Union (CAW) Local 1075 president Paul Pugh says.

Although Bombardier spokesperson Helen Gagnon says the actual numbers of cars to be built is undetermined, the union president says approximately 230 subway vehicles are on order.

The company has been in exclusive negotiations with TTC officials and if the contract is won, Bombardier could call an estimated 300 people back to work. "When you have TTC offering to (negotiate) with a single source, that is usually a good sign," Pugh says.

Support for the northwestern Ontario manufacturer is evident in the union. If Bombardier can build the vehicles at a comparable price and cost to other international manufacturers it should be awarded the contract, Pugh says.

"The TTC agrees with that philosophy."

The company is also vying for a work order to refurbish 150 TTC streetcars. There is plenty of work in repairing, Pugh says.

"This is not a done deal, but there is a strong possibility (of obtaining the contract)."

Another project to build 21 light rail street cars for Ottawa, with the potential of an additional 55 cars later on, has Bombardier competing with German-based Siemens and Japanese manufacturer Kinkisharyo International.

Assuming that Bombardier does win the contracts, which is "highly probable" and still attracts orders for bi-level projects, Pugh can see having the full complement of workers back on staff and possibly running three lines to the plant.

"That (would be) more work than we have had in a long time."

At the end of December, Bombardier received a $56-million order from GO Transit for 20 additional bi-level commuter rail cars has been the successful proponent of the TTC contract by the end of this year.

Gagnon says it could be six months before any official announcement trickles down from the negotiations. The Bombardier team is taking as long as necessary to work out a suitable agreement, she says.

Last month Thunder Bay Bombardier production workers approved (92 per cent) a three year collective agreement that provides a 10-cent per hour pay increase, while skilled trades approved (62 per cent) a 15-cent per hour raise, both effective June 1, 2007. A $200 bonus will be given to both groups in December 2005 and 2006 if production targets are met.

"This is really about having negotiated a deal that will allow the future of the plant to be insured for the next couple of years," Gagnon says.

Bombardier has been forced to close seven plants internationally in the last five years. They purchased the Thunder Bay facility from provincially owned Urban Transportation Development Corp. in 1992, under the condition that Queen's Park award contracts to the plant.

The government wants to terminate the contract agreement saying the deal has "expired." Negotiations between the company and government are continuing as Bombardier attempts to "show the government (how) important the Thunder Bay plant is and the network of suppliers are in Canada."

www.bombardier.com.

By KELLY LOUISEIZE

Northern Ontario Business