EgyptAir to Buy 12 CSeries Jets from Bombardier for $1.1bn

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Egyptian state-owned carrier EgyptAir has signed a Letter of Intent (LOI) to order 12 Bombardier CSeries jets valued at $1.1 billion at list prices.

The agreement was announced and signed at a ceremony on Tuesday at the Dubai Airshow. It includes purchase rights for an additional 12 aircraft, which would double the value of the sale.

EgyptAir is Bombardier’s latest Arab customer, having already signed agreements with Iraqi Airways, Bahrain’s Gulf Air, among other regional carriers.

Bombardier Commercial Aircraft President Fred Cromer could not say whether EgyptAir would be the first Middle East/North African airline to operate the CSeries.

No Middle East customer has said when it would take delivery of CSeries jets.

However, the deal is subject to United States trade terms. The U.S. trade commission will decide in early 2018 on whether to impose duties of nearly 300 percent on the CSeries, after Boeing complained the planes had been subsidised and sold below cost in the United States.

Airbus agreed in October to take a majority stake in Bombardier’s CSeries jetliner programme, and has said any CSeries jets intended for the U.S. market would be built at its production facility in Alabama, potentially allowing the planes to avoid punitive duties.

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