Bombardier expects new CSeries orders to be finalized by year's end

Airbus is taking a majority stake in the C Series passenger plane

The agreement, announced and signed at a ceremony November 14 at the Dubai Airshow, also includes purchase rights for an additional 12 aircraft, which would double the value of the sale. The deal is valued at $1.1bn before discounts.

Bombardier said, earlier this month, that it received a letter of intent from an unnamed European customer for 31 firm CSeries orders.

The US trade department imposed tariffs of 300% on the C Series as it upheld a complaint from Boeing over subsidies the aircraft received from the Canadian and United Kingdom governments.

Bombardier Chief Executive Officer Alain Bellemare told analysts two weeks ago that he expected sales of the C Series would accelerate following the deal with Airbus.

Bombardier's single-aisle CSeries programme covers the 100 to 150-seat segment and is comprised of the CS100 model and the larger CS300.

Airbus has vowed to cut the aircraft's production costs and secure thousands of new orders for the C Series, which Bombardier spent more than $6 billion to develop. The C Series was two-and-a-half years late and more than $2bn over budget when it entered service at Deutsche Lufthansa's Swiss International unit in July 2016.

The Airbus deal should make Bombardier programme "strong", Musallam says, but it does not appear to have swayed the carrier's decision.

The agreement covers the sale of up to 24 of the Canadian company's CSeries jets to Egypt's flagship carrier.

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