Bombardier has revealed a cost blowout in the development of its CSeries single-aisle airliner in its 2013 results release on February 13.
The company says it will spend an additional US$1.05bn (A$1.16bn) on extra tooling and financing costs to take the estimated CSeries development cost through to certification of the larger CS300 in 2016 to US$4.4bn (A$4.86bn).
Bombardier chief financial officer Pierre Alary told financial analysts that the company still has sufficient funds to keep the CSeries development going, but admitted the margin had been significantly reduced.
The CSeries flight test program has proceeded slower than planned since first flight last September due to “system immaturity”, although it should begin to accelerate with a second aircraft joining the program in January. But the company has twice been forced to delay certification of the CS100 for a total of 12 months, and with just over 200 firm orders, sales of the aircraft have been well below expectations.