Bombardier Inaugurates New Worldwide Distribution Centre

Bombardier Aerospace today officially inaugurated its high-volume 238,000-square-foot (22,110-sq-m) aircraft parts distribution warehouse in Chicago, offering operators of both Bombardier business jets and regional airliners worldwide greater speed, accuracy and quality of service than ever before.

Strategically located at Chicago's O'Hare International Airport which offers more connections to more cities, than any other airport worldwide, the newly built super warehouse serves as the central distribution point for all Bombardier aircraft parts - operates around the clock, drawing on an inventory of over 120,000 unique parts.

"The inauguration of our Chicago parts distribution hub is the result of a significant investment in systems and infrastructure over the past 18 months designed to provide our customers with an industry-leading level of service," said Desmond Bell, vice-president, parts logistics, Bombardier Aerospace. "This is a major step in our drive to improve parts availability, quality and delivery speed, and, rather than an end point, it's just the beginning."

Parts continue to arrive daily at the Chicago facility from suppliers worldwide and from Bombardier's manufacturing sites and former warehouses in Wichita and Detroit. Once the new distribution center reaches full capacity this autumn, it will be shipping between 800 and 1,000 orders a day. It will employ 200 fulltime personnel, including several key employees previously located at the Wichita and Detroit facilities.

The Chicago operation and a similar new facility in Frankfurt, Germany form the nucleus of Bombardier's significantly re-designed parts logistics network. Located near Frankfurt International Airport, another of the world's busiest hubs, Bombardier's second super warehouse will accelerate direct shipments not only across Europe but also to major destinations in the Middle East and Africa.

Both warehouses are managed under a long-term contract through Caterpillar Logistics Services Inc., which provides world-class supply chain solutions and services to more than 50 leading corporations throughout the world.

"We're working closely with Bombardier to roll out an integrated worldwide supply chain, utilizing our world-class people and processes, enabled by SAP systems," commented Mike Melie, vice-president of Caterpillar Logistics, Americas Division. "Our inventory management systems are providing clear monthly and weekly forecasts enabling us to anticipate and prepare for both scheduled and unscheduled customers' service requirements for every Bombardier business and regional aircraft model anywhere in the world."

Together with these two warehouses, Bombardier will open new spare parts depots in Dubai, UAE, this autumn, and in Sao Paulo, Brazil, in 2006.

In another significant service upgrade, Bombardier has teamed with Expeditors International of Washington Inc., air express forwarding specialists with 170 offices around the world, to deliver high priority parts more quickly than ever before, helping operators with aircraft-on-ground (AOG) avoid costly down time.

About Bombardier
A world-leading manufacturer of innovative transportation solutions, from regional aircraft and business jets to rail transportation equipment, Bombardier Inc. is a global corporation headquartered in Canada. Its revenues for the fiscal year ended Jan. 31, 2005 were $15.8 billion US and its shares are traded on the Toronto Stock Exchange (BBD).

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Leo Knaapen
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Cell: 514-969-5181