Skip to main content
The Globe and Mail
Support Quality Journalism.
The Globe and Mail
First Access to Latest
Investment News
Collection of curated
e-books and guides
Inform your decisions via
Globe Investor Tools
Just$1.99
per week
for first 24 weeks

Enjoy unlimited digital access
Enjoy Unlimited Digital Access
Get full access to globeandmail.com
Just $1.99 per week for the first 24 weeks
Just $1.99 per week for the first 24 weeks
var select={root:".js-sub-pencil",control:".js-sub-pencil-control",open:"o-sub-pencil--open",closed:"o-sub-pencil--closed"},dom={},allowExpand=!0;function pencilInit(o){var e=arguments.length>1&&void 0!==arguments[1]&&arguments[1];select.root=o,dom.root=document.querySelector(select.root),dom.root&&(dom.control=document.querySelector(select.control),dom.control.addEventListener("click",onToggleClicked),setPanelState(e),window.addEventListener("scroll",onWindowScroll),dom.root.removeAttribute("hidden"))}function isPanelOpen(){return dom.root.classList.contains(select.open)}function setPanelState(o){dom.root.classList[o?"add":"remove"](select.open),dom.root.classList[o?"remove":"add"](select.closed),dom.control.setAttribute("aria-expanded",o)}function onToggleClicked(){var l=!isPanelOpen();setPanelState(l)}function onWindowScroll(){window.requestAnimationFrame(function() {var l=isPanelOpen(),n=0===(document.body.scrollTop||document.documentElement.scrollTop);n||l||!allowExpand?n&&l&&(allowExpand=!0,setPanelState(!1)):(allowExpand=!1,setPanelState(!0))});}pencilInit(".js-sub-pencil",!1); // via darwin-bg var slideIndex = 0; carousel(); function carousel() { var i; var x = document.getElementsByClassName("subs_valueprop"); for (i = 0; i < x.length; i++) { x[i].style.display = "none"; } slideIndex++; if (slideIndex> x.length) { slideIndex = 1; } x[slideIndex - 1].style.display = "block"; setTimeout(carousel, 2500); } //

Bombardier is well behind schedule in delivering 204 streetcars to the TTC.

Emma Ewing-Nagy/The Globe and Mail

Government aid for Bombardier would be "a slap in the face" for Toronto, unless the company can first sort out problems bedevilling the streetcars it is building for the city, Toronto Transit Commission chair Josh Colle said.

Mr. Colle said Wednesday that he wants to see tangible change from the company, not just promises that it will do better, before Ottawa seriously considers opening its purse strings.

The Montreal-based firm is angling for $1-billion in federal support to help its troubled aerospace division and its C Series jet program. The two sides remain in talks, and it's not clear how close they are to a deal. At the same time, the company's rail division has fallen woefully behind its promises for delivering on a 204-vehicle streetcar contract for Toronto – an order that happens to come in at about $1-billion.

Story continues below advertisement

The delays around Toronto's streetcar order are also leading to mounting concern at the regional transit agency Metrolinx, which is worried about getting its 182 vehicles in time to launch various light-rail lines, an order worth $770-million. Bombardier has not yet delivered the prototype vehicle it promised to give to Metrolinx last year, and time is beginning to run short to work out bugs and produce the fleet required to operate the new transit lines.

A Bombardier spokesperson said Tuesday that the prototype would be ready this year and that the firm would produce the remaining vehicles in time to allow Metrolinx to hit its deadlines. A spokesperson at the transit agency, though, said that at this point, it is only "fairly confident" the firm will come through in time.

"For me, as a resident of Toronto, as a transit user, as a citizen, then when you also read at the same time that there's potential federal money going out the door, I would just think that their ability to deliver to Toronto and Ontario would have some bearing on that," Mr. Colle said Wednesday.

"To me as a councillor and the chair of the TTC – I would imagine to our riders, too – it would seem a bit of a slap in the face if all of a sudden Bombardier were to receive hundreds of millions or billions of dollars from the federal government while they're not delivering on their commitment here in Toronto."

While the TTC contract has proven damaging for Bombardier's reputation in Canada's biggest city, it is seen internally and by the investment community as a mere annoyance in the context of its overall financial struggles. The company has a long-term debt of $9-billion and is trying to sell its C Series in a market for narrow-body planes dominated by Boeing and Airbus.

With a report from Nicolas Van Praet in Montreal

Your Globe

Build your personal news feed

  1. Follow topics and authors relevant to your reading interests.
  2. Check your Following feed daily, and never miss an article. Access your Following feed from your account menu at the top right corner of every page.

Follow the author of this article:

View more suggestions in Following Read more about following topics and authors
Report an error Editorial code of conduct
Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to feedback@globeandmail.com. If you want to write a letter to the editor, please forward to letters@globeandmail.com.

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff.

We aim to create a safe and valuable space for discussion and debate. That means:

  • Treat others as you wish to be treated
  • Criticize ideas, not people
  • Stay on topic
  • Avoid the use of toxic and offensive language
  • Flag bad behaviour

If you do not see your comment posted immediately, it is being reviewed by the moderation team and may appear shortly, generally within an hour.

We aim to have all comments reviewed in a timely manner.

Comments that violate our community guidelines will not be posted.

Read our community guidelines here

Discussion loading ...

To view this site properly, enable cookies in your browser. Read our privacy policy to learn more.
How to enable cookies