Bombardier Announces Settlement of New York Bondholder Lawsuit
01 July 2024 - 12:30PM
Bombardier Inc. (“Bombardier” or “Company”) today announced that it
has reached an agreement to settle the lawsuit titled Antara
Capital Master Fund LP, Corbin ERISA Opportunity Fund Ltd. and
Corbin Opportunity Fund, L.P. v. Bombardier Inc., et al. (the
“Lawsuit”). The Lawsuit is pending in New York State Supreme Court,
Commercial Division New York County since it was filed in January
2022. For a description of the Lawsuit, we refer you to the
litigation note included in the Company’s latest published
quarterly financial report for the period ended March 31,
2024.
The settlement will become effective following
satisfaction of customary conditions which may take a few days. The
settlement resolves the Lawsuit completely and avoids the
distraction, expenses and uncertainty associated with any
litigation. All defendants will be fully released without any
admission of liability.
The settlement also contains a consent from
plaintiffs, as beneficial holders of outstanding 7.45% Senior Notes
due 2034, to the amendments of the indenture governing such notes
(the “Indenture”) entered into in 2021, including consent that the
divestiture transactions referred to in the Lawsuit did not give
rise to any default under the Indenture, and for the avoidance of
doubt, a waiver of any alleged default under the Indenture in
connection therewith.
The terms of the settlement agreement are
confidential.
The settlement is not material to the Company’s financial
results or consolidated cash position.
While the Company strongly believes the
allegations in this case were without merit, it also believes that
it is in the best interest of the Company and all its stakeholders
to settle this lawsuit and concentrate on its core business
operations.
About Bombardier
At Bombardier (BBD-B.TO), we design, build, modify and maintain
the world’s best-performing aircraft for the world’s most
discerning people and businesses, governments and militaries. That
means not simply exceeding standards, but understanding customers
well enough to anticipate their unspoken needs.
For them, we are committed to pioneering the future of
aviation—innovating to make flying more reliable, efficient and
sustainable. And we are passionate about delivering unrivaled
craftsmanship and care, giving our customers greater confidence and
the elevated experience they deserve and expect. Because people who
shape the world will always need the most productive and
responsible ways to move through it.
Bombardier customers operate a fleet of approximately 5,000
aircraft, supported by a vast network of Bombardier team members
worldwide and 10 service facilities across six countries.
Bombardier’s performance-leading jets are proudly manufactured in
aerostructure, assembly and completion facilities in Canada, the
United States and Mexico.
For Information
For corporate news and information, including Bombardier’s
Environmental, Social and Governance report, as well as the
company’s plans to cover all its flight operations with a
Sustainable Aviation Fuel (SAF) blend utilizing the Book and Claim
system visit bombardier.com. Follow us on X @Bombardier.
Media Contacts
Francis Richer de La Flèche Vice President, Financial Planning and
Investor Relations Bombardier+1 514 240-9649 |
Mark Masluch Senior Director,
Communications Bombardier +1
514 855-7167 |
Forward-Looking Statements
Certain statements in this announcement are forward-looking
statements based on current expectations, which may involve, but
are not limited to: the coming into effect of the settlement and
the satisfaction and timing of conditions in connection therewith;
the effect of the settlement on the named defendants to the Lawsuit
and on the Company’s business and operations; and the
non-materiality of the settlement on the Company’s financial
results or consolidated cash position.
By their nature, forward-looking statements require the Company
to make assumptions and are subject to important known and unknown
risks and uncertainties, which may cause the actual effects or
results in future periods to differ materially from those set forth
in the forward-looking statements. Please also refer to the note on
“Forward-Looking Statements” and the section titled “Risks and
Uncertainties” contained in Bombardier’s published quarterly
financial report for the period ended March 31, 2024 and annual
financial report for the fiscal year ended December 31, 2023.