Bombardier sells regional jet division to Mitsubishi for $550m

Canadian aerospace firm Bombardier is effectively exiting the commercial airline manufacturing sector with the sale of its CRJ Series regional jet program.

Announced Tuesday, the deal would transfer the program to Mitsubishi Heavy Industries, which has been seeking to break into aviation, for $550 million.

Bombardier also recently sold its new medium-range C Series jetliners to Airbus, which renamed the line A220, and its Q Series turboprop line to a Canadian investment fund.

The sale of the 75- to 100-seat CRJ line -- along with its service and support networks in Montreal, Quebec City and Toronto as well as Bridgeport, West Virginia and Tucson, Arizona -- is expected to close in the first half of 2020, subject to regulatory approvals.

In a statement, Bombardier said Mitsubishi will also assume liabilities totalling $200 million, and take over all maintenance, support, refurbishment, marketing and sales activities for the aircraft.