UPDATE 1-Bombardier revenue could double in 5 yrs, sees dividend hike

Thu Mar 21, 2013 5:07pm EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

* Company sees revenue growth of more than 30 pct by 2015

* Revenue growth of $10 bln-$16 bln in five-plus years

* Raising dividend is among Bombardier's priorities

* CSeries on track for first flight late June

By Solarina Ho

TORONTO, March 21 (Reuters) - Canada's Bombardier Inc said revenue could nearly double over the next five years, boosted by its new fleet of business and commercial aircraft, and that it planned to plow some of the cash into bigger dividend payments.

The Montreal-based aircraft and rail car builder, which issued a lackluster 2013 outlook last month, is planning to deliver the first of its new business Learjets this year and the its first CSeries commercial aircraft next year.

Bombardier said revenue is expected to grow by more than 30 percent by 2015 and could grow between $10 billion and $16 billion during the next five-plus years. Revenues dropped about 9 percent in 2012 to $16.8 billion.

The expected growth will generate significant cash, Chief Executive Pierre Beaudoin said at the company's Investor Day in New York, that was also webcast. Bombardier's top priorities are to restore its credit rating back to investment grade and to raise its dividend in line with other industrial companies.   Continued...