- Bombardier Inc’s (OTC:BDRBF) Chief Executive Eric Martel raised his concerns over Canada’s potential plan to buy reconnaissance jets directly from Boeing Co (NYSE:BA) instead of considering the homegrown aerospace industry.
- “As President and CEO of Bombardier, I want to publicly share my concern that Canada, which is facing an important choice about the airborne surveillance of its vast borders, may be considering awarding a sole-source contract directly to Boeing,” Reuters reported.
- Martel’s comments come after a recent media report that Canada was considering the proposal to buy between eight and 12 units of P-8 Poseidon aircraft from Boeing.
- Martel pushed for Bombardier’s jets, saying the Canadian planemaker’s Global 6500 aircraft “will be the right-sized solution and respond to Canada’s needs.”
- Earlier this year, Boeing announced that it would take part in any competition to replace the Royal Canadian Air Force’s existing and aging fleet of CP-140 Aurora aircraft. The program is expected to cost more than $5 billion.
- Price Action: BA shares are down 1.07% at $193.90 during the premarket session on the last check Thursday.
CBOE Volatility Index Drops To Lowest Level Since March 8
US stocks closed higher on Tuesday, with all the three major indices gaining at least 1% during the session.
Micron Technology, Inc. (NASDAQ: MU) shares gained 7.2% on Wednesday, providing a boost to the S&P 500 index. The company reported worse-than-expected Q2 EPS and sales results.
