BUSINESS

Bombardier Cutting 7,000 Jobs Over Two Years

02/17/2016 06:46 EST

MONTREAL — Bombardier says it will cut its workforce by 7,000 positions over two years, including 2,000 contractors.

Most of the job losses will be in Canada and Europe and will be partly offset by hiring in certain areas.

The Montreal-based aerospace and rail equipment company (TSX:BBD.B) says the cuts will begin in the coming weeks and be completed by 2017.

The job cuts were announced along with an Air Canada order for the largest model of Bombardier's new CSeries jets as well as financial results for Bombardier's latest quarter and the 2015 financial year as well as an outlook for 2016.

"We are turning Bombardier around to make this great company stronger and more competitive," said Alain Bellemare, who has been Bombardier's president and chief executive for about a year.

"And today, with the signing of Air Canada for the leading-edge CS300 aircraft, we add a major international airline customer based in North America to complement our orders in both Europe and Asia."

Among other things, Bombardier reported that its 2015 revenue was $18.2 billion — down from $20.1 billion in 2014.

Revenue in the fourth quarter ended Dec. 31 was $5 billion, down from just under $6 billion a year earlier.