TORONTO, March 21 Canadian plane and train maker
Bombardier Inc said on Friday that possible sanctions
by Canada and other western countries against Russia probably
will delay its planned joint-venture deal with Rostec, the
Russian state-owned industrial and defense conglomerate.
The United States, Canada and European Union are in the
process of imposing sanctions on Russian President Vladimir
Putin's close allies over the annexation of Ukraine's Crimea and
have warned of more moves that would target major sectors of the
"We are in discussions, however at a slower pace. This is as
a result of the current situation. So it's highly probable that
there will be a delay in reaching a definitive agreement," said
Marianella de la Barrera, a spokeswoman for Bombardier.
Bombardier, which is also negotiating the sale of 100
short-haul Q400 NextGen aircraft as part of the agreement, is
now also expecting potential delays in finalizing that deal.
"We can't speculate on the amount of the delay or what will
happen. We're taking very frequent pulse checks on the situation
and staying very close to our government relations folks," said
de la Barrera.
Bombardier, in August, had reached a preliminary deal around
the Q400 aircraft sales - potentially worth up to $3.4 billion,
based on list prices - and a joint-venture assembly line for the
aircraft in Russia. The tentative agreement involved Rostec and
Moscow-based leasing firm Ilyushin Finance. The aircraft sales
are contingent on establishing an assembly line for the aircraft
(Reporting by Solarina Ho; Writing by Euan Rocha; Editing by