Bombardier Inc. Class A · TSX:BBD.A

Bombardier Inc. Class A — Non-Deal Roadshow (October 2010)

43 slides from Bombardier Inc. Class A's roadshow presentation, Oct 12, 2010

1. Slide 1: Presentation to investors

   Presentation to investors Pierre Beaudoin, President and CEO, Bombardier Inc. OCTOBER 2010

2. Slide 2: Forward-looking statements

   Forward-looking statements This presentation includes forward-looking statements, which may involve, but are not limited to, statements with respect to the ours objectives, targets, goals, priorities and strategies, financial position, beliefs, prospects, plans, expectations, anticipations, estimate

3. Slide 3: Agenda

   Agenda 1 Overview 2 Aerospace 3 Transportation 4 Summary

4. Slide 4: Bombardier – A Global Market Leader

   Bombardier – A Global Market Leader For the fiscal year 2010 (in millions of U.S. dollars) BOMBARDIER INC. Revenues $ 19,366 Free Cash Flow $ (215) EBITDA $ 1,596 Backlog(a) $ 43,800 EBIT $ 1,098 EPS(b) (in U.S. dollars) $ 0.39 Net income $ 707 Employees(a) 62,900 AEROSPACE TRANSPORTATION #1 - Busin

5. Slide 5: Bombardier Today

   Bombardier Today 62,900 employees* ƒ 95 nationalities ƒ 23 languages A presence in over 60 countries Customers in over 100 countries * As of January 31, 2010 5

6. Slide 6: Bombardier Today

   Bombardier Today More than 100,000 Bombardier rail cars and locomotives in service worldwide 6

7. Slide 7: Bombardier Today

   Bombardier Today Every three seconds, a Bombardier aircraft takes off or lands somewhere around the globe 7

8. Slide 8: Bombardier – A truly global company

   Bombardier – A truly global company Employees F2010 Revenues Geographic segmentation Geographic segmentation 7% 4% 5% 32% 20% 23% 49% 12% 48% Canada US Europe Other Canada US Europe Asia-Pacific Other Total employees*: 62,900 Total F2010 revenues: US$19.4 billion * As of January 31, 2010 8

9. Slide 9: Bombardier – From entrepreneurial to global leader

   Bombardier – From entrepreneurial to global leader 1942-1973 1974-1985 1986-1993 1994-2001 2002-today Consolidation Entry Invention of Rail Aerospace Global of leadership snowmobile transportation leadership position Revenues* $0.7 B $1.0 B $5.6 B $12.4 B $19.4 B Major ƒ Lohnerwerke ƒ MLW ƒ Canadair

10. Slide 10: Global leadership through organic growth

    Global leadership through organic growth 20 7.2% 8.0% Revenues - In billions of U.S. dollars 19 5.7% EBIT margin 6.0% 18 4.3% 17 3.8% 4.0% 16 2.4% 15 19.7 2.0% 0.8% 0.9% 19.4 0.4% 14 17.5 0.0% 13 15.2 15.6 14.8 14.9 12 13.3 -2.0% 11 12.4 -3.2% 10 -4.0% F2002 F2003 F2004 F2005 F2006 F2007 F2008 F2009

11. Slide 11: Significant improvements over the last five years

    Significant improvements over the last five years 1. Improved long-term profitability 2. Maintained strong liquidity 3. Improved capital structure 11

12. Slide 12: Significant improvements over the last few years – improved long-term profitability

    Significant improvements over the last few years – however, the last year has been impacted by the recession Improved long-term profitability (In millions of U.S. dollars) BA EBIT margin BA Revenues BT Revenues 9.0% BT EBIT margin before 9,965 10,009 9,713 9,756 9,357 special items 8,142 8,296 5.8%

13. Slide 13: Maintained strong liquidity

    Significant improvements over the last five years Maintained strong liquidity Short-term capital resources (as at January 31) (in billions of U.S. dollars) 3.9 3.9 3.6 3.5 0.5 1.0 2.6 3.4 2.9 2006 2007 2008 2009 2010 Cash and cash equivalents Available credit facility 13

14. Slide 14: Capital structure

    Significant improvements over the last five years Capital structure In March 2010, we implemented a refinancing plan aimed at extending our long-term debt maturity profile and providing additional short-term capital resources. As such, we issued $1.5 billion of Senior Notes due in calendar years 201

15. Slide 15: To achieve our aspirations – Our way forward

    To achieve our aspirations – Our way forward We have established five priorities Become number one in customer satisfaction 1 through enhanced execution discipline 2 Raise our game on global talent management 3 Actively manage our exposure to key business risks 4 Establish local roots in all our key

16. Slide 16: Agenda

    Agenda 1 Overview 2 Aerospace 3 Transportation 4 Summary

17. Slide 17: Bombardier Aerospace - A Global Market Leader

    Bombardier Aerospace - A Global Market Leader Balanced portfolio of products and services AEROSPACE REVENUE BREAKDOWN BY BUSINESS (%) Aerospace revenue – Fiscal year 2010 Other (1) 12% Aircraft Services(2) 15% Business Aircraft 46% Commercial Aircraft 27% Total Revenues F2010 = $9,357 million (1) Ot

18. Slide 18: Business Aircraft offers the industry's most complete product portfolio

    Bombardier’s Business Aircraft offers the industry’s most complete product portfolio LEARJET LEARJET Family Family Learjet 40 XR Learjet 45 XR Learjet 60 XR Learjet 85 CHALLENGER CHALLENGER Family Family Challenger 300 Challenger 605 Challenger 800 Series GLOBAL GLOBAL Family Family Global 5000 Glob

19. Slide 19: Well-positioned in the business jet market

    Bombardier is well-positioned in the business jet market with product line covering 94% of revenues Market Super Ultra- Shares Very Super Midsize Super Converted Light Jet Midsize Large Jet Long YTD Light Jet Light Jet Jet Large Jet Airliners Jet Range Jet Q2C2010* CL-800 L40XR L45XR L60XR CL-300 CL

20. Slide 20: Recession should not impact business aircraft fundamentals long term

    The current recession should not impact market fundamentals of business aircraft in the long term CY 2010-19 Market driver outlook Wealth creation à Emerging markets à Globalization of trade à Replacement demand à New aircraft program à Demand from non-traditional offering  20

21. Slide 21: Commercial Aircraft portfolio aligned with market trends

    Bombardier’s Commercial Aircraft portfolio is aligned with current market trends towards environmentally friendly aircraft Q-SERIES Q-SERIES Turboprop Turboprop Q400 NextGen CRJ CRJ NextGen NextGen Regional Regional jets jets CRJ700 NextGen CRJ900 NextGen CRJ1000 NextGen CSERIES CSERIES Mainline Mai

22. Slide 22: Competitors offer aircraft in each of Commercial Aircraft's segments

    Competitors offer aircraft in each of Bombardier Commercial Aircraft’s segments… Turboprops Q400 NextGen ATR 72 Regional Jets Embraer COMAC CRJ NextGen MRJ SSJ E170/175/190 ARJ21 Single-Aisle Mainline Jets Embraer Airbus Boeing CSeries E195 A318/A319 737-600/700 22

23. Slide 23: Leading market share in the 20- to 149-seat market

    Bombardier has a leading market share in the 20- to 149-seat market 24-Month Market Net Order History August 1, 2008 through July 31, 2010 76 110 Turboprops BBD One 186 Units Competitor (20 to 99 seats) 41% 52% 38 123 Four Regional Jets BBD Competitors 161 Units (20 to 99 seats) 24% 79% 90 85 Three

24. Slide 24: CSeries – A New Family Optimized for 100 to 149 Seats

    CSeries • A New Family Optimized for the Lower End of the 100 to 149-seat Market Segment Is Long Overdue CRJ200 CRJ700 CS100 The Only Design Specifically Focused CRJ900 BOMBARDIER on the 100-149 Seat CRJ1000 Segment CS300 ERJ135 E170 Embraer ERJ145 E175 E190 E195 Downsized From Upsized From Optimum

25. Slide 25: CSeries A Game Changer in its Class

    CSERIES A Game Changer in its Class 90 firm orders and 90 options from three customers to date 9 Family of Aircraft with Full Operational Commonality 9 Unmatched Reduction in Environmental Footprint 9 Total Life Cycle Cost Improvement 9 15% Better Cash Operating Costs – 20% Fuel Burn Advantage 9 Wid

26. Slide 26: CSeries Aircraft Program

    CSeries Aircraft Program Executing according to plan Technologies Selection and Program Launched At 2008 Farnborough Airshow Finalizing Conceptual Design Phase And Start 2009 Definition Of System Interfaces Joint Definition Phase, Detail Design Phase 2010 Technologies Demonstrators, Facilities 26

27. Slide 27: Long-term outlook for commercial aircraft remains positive

    Long-term outlook for commercial aircraft remains positive despite short-term cyclicality CY 2010-29 Market driver outlook Economic growth à Fuel prices  Developing markets à Environmental regulations  Replacement demand à Labour trends à 27

28. Slide 28: Aerospace – Outlook for F2011

    Aerospace – Outlook for F2011 In F2011, Aerospace will continue to be impacted by the economic downturn What we expect * ƒ Approximately 15% less business jet deliveries in F2011 than in F2010 ƒ Approximately 20% less commercial aircraft deliveries in F2011 than in F2010 ƒ EBIT margin should remain

29. Slide 29: Agenda

    Agenda 1 Overview 2 Aerospace 3 Transportation 4 Summary

30. Slide 30: Full range of products and solutions for customers

    We are providing a full range of products and solutions to our customers around the world Rolling stock Services System & Signaling Passengers Locomotives Systems Rail Control & Equipment Solutions ƒ Light rail vehicles ƒ Locomotives ƒ Fleet management ƒ Automated people ƒ Integrated control movers

31. Slide 31: Transportation Revenues by product line and geographic region

    Transportation Revenues by product line and geographic region Other 3% System and signaling 13% North America 11% Services 14% Asia-Pacific 17% Rolling stock 73% Europe 69% F2010 F2010 Total Revenues F2010 = $10,009 million Note: Revenues are attributed to countries based on the location of the cust

32. Slide 32: BT is the market leader in the rail industry

    BT is the market leader in the rail industry The market was not significantly impacted by the economic downturn with a growth of 2% compared to calendar years 2006 to 2008 Average market shares based on order intake 2007-09 Bombardier relevant market Our relevant market represents the worldwide rail

33. Slide 33: The fundamentals of the rail industry are positive

    The fundamentals of the rail industry are positive Accessible market by segment (for calendar years) (in billions of dollars) 2.0% 154.0 136.8 19.5 Rail Control 2.7% and Systems 17.1 2.5% 30.3 Infrastructure 26.1 3.4% Services 41.8 51.2 0.4% Rolling Stock 51.8 53.0 2008-10 Actual 2014-16 Outlook Sou

34. Slide 34: Transportation – Well positioned in an attractive market

    Transportation – Well positioned in an attractive market Market Geographical CY 2010-16 Market driver segments regions outlook Urbanization and All Asia-Pacific and population growth Other à Oil scarcity and energy Rolling stock, Worldwide price Services and à System Environmental awareness All Worl

35. Slide 35: Recent orders

    Recent orders ƒ Signed a framework agreement with SNCF for up to 860 double deck trains for an estimated amount of $11 billion (two firm orders already received for 129 trains) ƒ Order in June 2010 for 59 double deck trains valued at $1.6 billion US from the Swiss Railways with options for more than

36. Slide 36: Market expected to remain at a high level with major tenders progressing

    In the medium term, the market is expected to remain at a high level with major tenders progressing Market outlook Key projects to be awarded Project name Size ƒ In the short to medium term, the market DB intercity trains (ICx)1 220 trains will be fuelled by several large contracts, more than 70 alr

37. Slide 37: Transportation – Moving into high gear

    Transportation – Moving into high gear STRATEGIC FOCUS Fiscal years 2002-2014 Moving into Goal 8% Contribution EBIT* high gear to increased earnings and industry leadership Goal 6% Profitable EBIT growth TOPSIX achieved Turnaround TOPTEN Post-merger integration 2002- 2005 2006 2007 2008 2009 2010 20

38. Slide 38: Agenda

    Agenda 1 Overview 2 Aerospace 3 Transportation 4 Summary

39. Slide 39: Financial results overview

    Financial results overview (In millions of U.S. dollars, except per share amounts) Q2 Q2 YTD Q2 YTD Q2 F2010-11 % F2009-10 % F2010-11 % F2009-10 % Revenues Aerospace 1,962 2,399 3,897 4,618 Transportation 2,117 2,547 4,428 4,799 Total Revenues 4,079 4,946 8,325 9,417 EBIT Aerospace 91 4.6 154 6.4 18

40. Slide 40: Free Cash Flow

    Free Cash Flow (In millions of U.S. dollars) Q2 Q2 YTD Q2 YTD Q2 F2010-11 F2009-10 F2010-11 F2009-10 Aerospace (287) (10) (492) (540) Transportation (132) 149 (159) (111) Interest and taxes (89) (121) (74) (148) Total (508) 18 (725) (799) Cash & cash equivalents 2,776 2,804 40

41. Slide 41: Summary

    Summary We have what it takes to deliver results: ƒ Broad, leading-edge product offering ƒ Markets with solid long-term demand growth ƒ Global presence and a diversified customer base ƒ Committed to invest in our product development programs ƒ Solid balance sheet with strong liquidity Sharpening our

42. Slide 42: Today, the success story continues … CSeries

    Today, the success story continues … CSeries 42

43. Slide 43: Today, the success story continues … Zefiro

    Today, the success story continues … Zefiro 43

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