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TORONTO (Reuters) - Transportation giant Bombardier Inc has been recommended by staff of Toronto's transit authority for a C$1.29 billion ($1.07 billion) contract to provide a fleet of new streetcars to Canada's most populous city.
Bombardier, which will provide a total of 204 streetcars to Toronto, was picked over Siemens Canada Ltd, the Toronto Transit Commission said in a statement.
The contract is worth C$1.22 billion after a tax rebate, the TTC said, adding that the commission will formally vote on the contract on Monday.
A prototype vehicle is to be delivered in 2011, with all 204 cars delivered by 2018. The TTC will also require a new maintenance plant for the streetcars, estimated to cost C$345 million. The plant is not part of the contract.
Bombardier's shares rose 12 Canadian cents, or 3.4 percent, to C$3.60 on the Toronto Stock Exchange.
Reporting by Wojtek Dabrowski; editing by Rob Wilson