Bombardier Announces $500 Million Debt Repayment and Confirms Deleveraging Plan on Target

Core Insights - Bombardier is on track to achieve its net leverage ratio target of 2.0–2.5x, with a $500 million debt redemption expected to close by February 17, 2026, resulting in a total long-term debt reduction of $5.5 billion since December 2020, leading to annualized interest cost savings exceeding $409 million [1][2][3] Group 1: Financial Performance - The company has successfully reduced its long-term debt by $5.5 billion since December 2020, which has generated annualized interest cost savings of more than $409 million [1] - Bombardier has received multiple credit-rating upgrades, achieving a Ba3 rating from Moody's and BB- from S&P Global Ratings [2] - The original long-term net leverage ratio target was approximately 3.0x, revised to 2.0-2.5x in 2023 due to strong business execution and solid fundamentals [3] Group 2: Strategic Focus - Bombardier's proactive approach to liquidity and debt management is a cornerstone of its turnaround strategy, allowing for flexibility to invest in strategic growth initiatives [2][3] - The company emphasizes continuous prioritization of debt reduction and strengthening liquidity to enhance financial flexibility and resiliency [3]