UPDATE 2-Bombardier wins order for up to $3.29 bln from Delta

Thu Dec 6, 2012 9:33am EST
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

* Delta to replace 50-seater jets with CRJ900

* Firm orders for 40 jets valued at $1.85 bln

* Shares of rival Embraer fall

Dec 6 (Reuters) - Bombardier Inc said Delta Air Lines Inc placed firm orders for 40 NextGen jets, with the option to buy another 30, in a deal valued at up to $3.29 billion.

Delta, the U.S. No.2 airline, said the purchase is part of its domestic fleet restructuring to replace less efficient, small aircraft with bigger jets.

The firm orders were valued at $1.85 billion, Bombardier said.

Shares of rival Brazilian aircraft maker Embraer SA fell 7 percent - their biggest intraday loss in nearly five months - following the news.

Bombardier last month won its biggest jet deal of $7.8 billion from Swiss charter operator VistaJet for up to 142 Global aircraft.

The Canadian aircraft and train maker's stock is trading at about 8 times analysts' expectations for 2012 earnings, according to Thomson Reuters data.   Continued...