Bombardier to buy U.S. jet service provider amid White House decertification threats

Bombardier will acquire Velocity Maintenance Solutions, adding a Wilmington hangar and 14 mobile repair trucks in the United States. The move comes after public comments from the U.S. President that threatened decertifying Canadian-made aircraft, a step that has not been taken.

Bombardier Inc. said it will buy U.S. jet service provider Velocity Maintenance Solutions, adding a 35,000 square-foot hangar in Wilmington, Del., and a fleet of 14 mobile repair trucks across the United States. No purchase price was disclosed. The acquisition extends Bombardier's program to build out its aircraft services network as part of a multi-year recovery plan focused on sales, cost control and debt reduction. Recent public comments from U.S. President Donald Trump signaled threats to decertify certain Canadian-made aircraft, which has become a topic of industry concern. Noted details: - Velocity Maintenance Solutions operates a 35,000 square-foot hangar in Wilmington, Delaware, and maintains 14 mobile repair trucks in the U.S. - Bombardier did not disclose a purchase price, and the company has been expanding its services network, including plans announced last August for further U.S. locations. - Bombardier reported US$590 million in services revenue in its most recent quarter, about 26% of total revenue of US$2.3 billion for that period. - U.S. President Donald Trump made public remarks threatening to decertify Canadian-made aircraft and to impose tariffs; no decertifications or tariffs have been implemented. - FAA chief administrator Bryan Bedford declined to state whether the agency would pull certifications for Canadian-made planes, and Canada’s Transport Minister Steven MacKinnon said he has been communicating with industry and manufacturers. Summary: The acquisition increases Bombardier's service capacity in the United States while questions about aircraft certification raised by recent U.S. statements remain unresolved. Bombardier is scheduled to report its fourth-quarter financial results on Thursday. The status of any U.S. decertification actions is undetermined at this time.