Bombardier shares plunge as costs rise
PROBLEMS with European rail projects have contributed to a one-third fall in Bombardier shares. Parts of its aviation business are also struggling, and the plane-builder is ‘reassessing’ its minority stake in the A220 jet programme, according to Reuters. Bombardier is shedding unprofitable parts of its aviation business to concentrate on its rail and jet aircraft units, but three difficult rail projects in Europe have caused a charge of $350 million. One of the three was the new Aventra trains contract for London Overground which encountered prolonged software problems, delaying deliveries for more than a year. The others were in Germany and Switzerland. One analyst advised his clients: ‘Although Bombardier’s transportation segment has been volatile, cost problems out of Europe look worse than the market has been anticipating.’
HS2 Industry Day to go ahead despite project doubts
CONTRACTORS who want a briefing about the new HS2 depot at Washwood Heath, and the opportunities it could offer them, are being invited to an Industry Day in Birmingham on 29 January. The event is going ahead despite the current uncertainties which surround HS2. The procurement involves ‘design, fabrication, assembly, supply, construction, installation, supervision, inspection, testing, system commissioning, safety authorisation and maintenance of the works’. There will be a separate design, build and commissioning procurement for a proposed Network Integrated Control Centre, again to be built at Washwood Heath. The Industry Day takes place from midday at The Studio, 7 Cannon Street in Birmingham.