Ilyushin Finance Executes LOI For 50 Bombardier Q400 NextGen Airliners

SINGAPORE, Aug 29 (Bernama) -- Bombardier Aerospace announced Thursday that Moscow-based leasing company, Ilyushin Finance Co. (IFC) has signed a letter of intent (LOI) to acquire 50 Q400 NextGen airliners that would be assembled in Russia under a joint venture that may be created by Bombardier and Rostekhnologii (Rostec). In a statement, Bombardier said this announcement follows an earlier statement Thursday relating to potential industrial cooperation between Bombardier and Rostec, a state corporation controlled by the Russian Federation. IFC's LOI was finalised during the 2013 International Aviation and Space Salon, known as the MAKS 2013 Air Show, held at Moscow's Zhukovsky Airport. The series of preliminary agreements between Bombardier and Rostec included an LOI for the sale of 50 Q400 NextGen aircraft; a Market Development Agreement reached with Rostec and its aircraft leasing subsidiary, Avia Capital Services that will provide an opportunity to place at least 50 additional Q400 NextGen aircraft in the region. Should the memorandum of understanding (MOU) lead to the establishment of a final assembly line in Russia, the aircraft that IFC intends to purchase would be locally assembled and, together with aircraft to be acquired by Rostec, make up a total of 100 Q400 NextGen aircraft that would be built in Russia for Russian customers. IFC director-general, Alexander Rubtsov said: "Our intent to purchase 50 Q400 NextGen aircraft and our recent firm order for 32 Bombardier CS300 aircraft will provide local operators with the potential to expand regional travel with aircraft that are complementary to the latest Russian-built aircraft which illustrates our strategy to find the best portfolio of products for our customers." President, Bombardier Commercial Aircraft, Mike Arcamone said: "The LOI signed with IFC Thursday is a testimony to the Q400 NextGen aircraft's suitability as well as its increasing diversity of customers and capacity to open new markets. "Building on the outstanding capability and heritage of the Dash 8 aircraft - which has a strong installed base in Russia - we have developed a technologically advanced airliner in Toronto that has reinvigorated the turboprop world and is catalysing new business opportunities," he added. -- BERNAMA