June 2, 2015 / 9:39 PM / 4 years ago

Russia's IFC hopes for revised Bombardier deal at Paris Airshow

A Bombardier CS300 Aircraft takes off on its' first test flight in Mirabel February 27, 2015. REUTERS/Christinne Muschi

MOSCOW (Reuters) - Russian leasing company Ilyushin Finance (IFC) hopes to come to an agreement with Bombardier Aerospace (BBDb.TO) on revising the terms of its CSeries aircraft order at the June 15-21 Paris Airshow, an IFC spokesman said on Tuesday.

IFC signed a deal in 2013 to acquire 32 CS300 aircraft with an option for an additional 10. At the time, a firm order for 32 aircraft was valued at around $2.56 billion, and the deal was estimated at $3.42 billion should IFC buy 10 more.

“We are working on reformatting the contract with Bombardier’s management. We will possibly finalize our agreements at the Le Bourget (air show)” in Paris, the spokesman said.

He declined to elaborate on whether reformatting the contract meant a reduction or increase of the order.

Bombardier is in talks with IFC on several matters and is looking forward to meeting up with company officials in Paris, a Bombardier spokeswoman said.

“Bombardier’s position has not changed. IFC is a solid, valued customer of the CSeries. We do have a firm agreement in place,” she said.

In April, IFC told Reuters it was considering the possibility of revising the order. It cited delays in aircraft delivery and the suspension of export financing of Russian companies by Canadian agency Export Development Canada following Western sanctions over Moscow’s role in the Ukraine crisis.

Reporting by Gleb Stolyarov and Allison Martell; Additional reporting by Nicole Mordant in Vancouver; Writing by Maria Kiselyova; Editing by Elizabeth Piper, Susan Thomas and Alan Crosby

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