Investing.com — Bombardier Inc (TSX:BBDb) stock gained 2.3% on Friday after the Canadian government announced a purchase of six Global 6500 aircraft valued at approximately $400 million for military and humanitarian missions.
The order is meant to enhance the Royal Canadian Air Force’s capabilities for worldwide utility flights, including aeromedical evacuations, disaster relief, humanitarian aid, and national security operations. The first aircraft delivery is expected by summer 2027, with the jets being assembled in the Greater Toronto Area and completed in Greater Montreal.
“The Global 6500 aircraft is a world-class, made-in-Canada product with the versatility to perform multiple missions, making it the go-to solution for governments around the world,” said Éric Martel, President and Chief Executive Officer of Bombardier.
The Royal Canadian Air Force has operated Bombardier Challenger aircraft since 1983 and will now benefit from the increased range and capability of the Global 6500. The aircraft leverages Canada’s aerospace supply chain, with contributions from more than 60 Canadian suppliers.
Stephen Fuhr, Secretary of State for Defence Procurement, called the contract “a turning point in how Canada equips its military,” noting that the Defence Investment Agency is accelerating the delivery of capabilities needed by the Royal Canadian Air Force.
According to a PwC report commissioned by Bombardier, the company’s Global 6500 manufacturing activities in 2022 supported $518.3 million in GDP, 3,747 full-time equivalent jobs, and $309.1 million in labor income in Canada.
Related articles
Bombardier stock rises as Canada orders six Global 6500 jets
Oracle stock falls as OpenAI data center completion pushed to 2028
JPMorgan cautious on European Utilities: Power-demand recovery a ’gradual process’