Story ID: 
Bombardier Completes Global 7500 Wing Program Purchase
By: Kerry Lynch
Caption: Triumph results included a $40.5 million forward loss charge related to the Global 7500 wing program.
Word Count: 208
Bombardier completed its acquisition of the Global 7500 wing program from Triumph Group under a deal announced two weeks ago involving a “nominal cash consideration." Bombardier, which acquired both the assets and obligations for the program, has signed a lease agreement to continue production of the wing line at Triumph's Red Oak, Texas facility and is retaining the employees who have supported that program. In addition, the Canada-headquartered airframer will provide the necessary working capital for ramp-up of the wing production.

Triumph, meanwhile, will continue operations that support its other structures programs in a separate building at the Red Oak site, the supplier said.

Yesterday's announcement of the conclusion of the acquisition came just ahead of the release of Triumph’s Fiscal Year 2019 third-quarter results earlier today. Triumph reported $16.9 million operating loss (non-adjusted) for the quarter. That operating loss included $2.3 million of restructuring costs, along with forward loss charges of $40.5 million, $9.2 million, and $2.5 million related to its Global 7500, Embraer E2 Jet, and Gulfstream G280 programs, respectively, Triumph said.

“We continue to reshape our portfolio, reducing our contract manufacturing structures work,” said Triumph president and CEO Daniel Crowley, who added the company is making strides toward financial targets and strategic goals for 2019.