Company gets $112 million tram order, $21 million commuter rail vehicle order
Shares of Bombardier (TSX: T.BBD.B, Stock Forum) moved slightly higher Friday, up 1.2% to $3.39, as the company issued a pair of announcements, detailing new orders received for trams and commuter rail vehicles.
The company said Friday that its Bombardier Transportation division has received an order from the Austrian transport operator, LINZ LINIEN GmbH to supply 23 Bombardier Flexity Outlook trams, in an order valued at 69 million euros, or C$112 million. Delivery of the first vehicles is planned for the beginning of 2011.
Bombardier says the Flexity Outlook vehicles, called "Cityrunners", have been in use in Linz since 2001.
Additionally, Bombardier Transportation says it has received a firm order from the South Coast British Columbia Transportation Authority (TransLink) for seven Bombardier BiLevel commuter rail vehicles, in a contract worth C$21 million.
Deliveries of the vehicles are expected to begin in July 2010 and extend through September 2010.
On the company’s Bullboard Thursday evening, jammerh provided the following thoughts on the company:
After all our posts to this board, I guess I just assume everyone has some appreciation for the main factors influencing Bombardier at this time. But for the benefit of anyone who might have missed these things, here's the way I see it.
Many of my posts focus on the positives. So, I probably don't give sufficient time to the negatives. That may be a fault for many longterm investors who choose to look at the longterm drivers for this stock rather than focus on the short term negatives.
However, there are a number of negatives which I'll try to list here. Keep in mind that most of these are temporary in nature, and many are beyond the control of management.
1. Turmoil in the overall economy. In such times business jets become more a symbol of extravagence rather than a business tool. Weakness in the financial markets makes it more difficult for customers to obtain financing even if they're willing to buy new aircraft in this environment[sic].
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