Bombardier value guarantees, business jets in focus at investor day

By Allison Lampert and Allison Martell

NEW YORK/TORONTO (Reuters) – Bombardier Inc is still seeking funds from the Canadian government despite improved liquidity, its chief executive said on Thursday, as the company assured investors it is prepared to deal with the cost of value guarantees for older jets.

Alain Bellemare said the plane and train maker is still in talks with Ottawa, with an eye to managing unexpected risks or funding the development of new products.

“Obviously things have changed a lot over the past 12 months, so the discussions are taking a different path,” he said at a New York investor event.

Bombardier, which considered bankruptcy protection at one point last year, sold a 30-percent stake in its rail division to pension fund Caisse de depot et placement du Quebec for $1.5 billion last November and got a $1 billion bailout from the Quebec government.

In Ottawa, Prime Minister Justin Trudeau …