Bombardier to build two new luxury aircraft amid growing demand

[MONTREAL] Bombardier Inc. will build two new private planes in response to growing demand for large-cabin business jets.

The Global 5500 and Global 6500 aircraft will come equipped with redesigned cabins, an optimized wing and all-new Rolls-Royce engines, Bombardier said Sunday in a statement. The models, which will have ranges of 5,700 and 6,600 nautical miles, respectively, will likely enter service at the end of 2019, the company said.

Canada's biggest aerospace company already is working toward the service debut of its largest-ever business jet, the ultra-long-range Global 7000, in this year's second half. Montreal-based Bombardier is banking on the Global 7000, which will sell for about US$73 million, to contribute about US$3 billion in annual revenue at the start of the next decade.

Compared with Bombardier's existing Global 5000 and Global 6000 models, the jets unveiled Sunday offer at least 500 nautical miles of additional range, as well as a fuel-burn advantage of as much as 13 per cent. The Global 5500 will be able to fly nonstop from Sao Paulo to Paris, while the 6500 can connect London to Hong Kong.

Bombardier shipped 10 of its Global 5000 and 6000 jets in the first quarter, two more than during the same period a year earlier. It delivered 45 of the planes last year, which represents about one-third of all of the company's business-jet shipments.

The Global 5500 will have a list price of US$46 million, while the 6500 will go for US$56 million, Mark Masluch, a spokesman for Bombardier, said in a telephone interview Sunday. Bombardier will continue to build the Global 5000 and 6000 models as well, he said.

BLOOMBERG