Company signs 17-aircraft deal to carry out completions of Executive 850 corporate shuttle version of regional jet

Bombardier has selected Germany’s Lufthansa Technik (LHT) to complete the business-jet variant of its CRJ200 regional jet in a 17-aircraft deal. LHT will outfit the Executive 850, one of three models of the Challenger 850 corporate shuttle version of the CRJ200 unveiled by the Canadian manufacturer in June.

The Executive 850 is seen as a way of reducing the inventory of regional jets left after recent order cancellations related to US airline bankruptcies and the decision to suspend production of the CRJ200. The 17-seat, $29.6 million aircraft is fitted with two auxiliary fuel tanks and has a range of 5,920km (3,200nm), says James Hoblyn, Bombardier vice-president, business aircraft.

He says LHT was chosen because of its short lead times and its experience with the CRJ through its airline sister company. LHT says its increased focus on modular interiors reduces costs and weight, crucial for Bombardier on this project. LHT chairman August Henningsen says the Challenger 850 series broadens the company’s portfolio from widebody jets into mainstream business aircraft.

Bombardier, meanwhile, has restated its intent to continue growing its factory-owned maintenance centres despite selling two-fifths of its stake in a Berlin-based joint venture with LHT.

Swiss business aviation services company ExecuJet Aviation Group has acquired 20% of Lufthansa Bombardier Aviation Services (LBAS), buying its stake exclusively from the aircraft manufacturer. LHT still owns 51% of LBAS, which maintains and outfits Bombardier Learjet, Challenger and Global Express business jets. ExecuJet also acquired sales rights for Bombardier types in Germany and Austria as part the deal, and LBAS will offer aircraft management in those territories.

Hoblyn says the tie-up with ExecuJet, which extends from business-jet sales through aircraft management to fixed-base operations in secondary markets, helps sell aircraft. ExecuJet says buying into LBAS complements, rather than conflicts with, its existing maintenance centres in Johannesburg, Sydney and Zurich, as they will feed heavier work into the Berlin Schonefeld site. Niall Olver, chief executive, says: “Why partner with Bombardier and Lufthansa Technik? Because our business is focused on aircraft sales and we want to offer support as part of our sales offering.”

Hoblyn says there is no requirement for one-stop shops in North America.

Source: Flight International