Finance, Taxes, Insurance
Moody's Upgrades Bombardier as Balance Sheet Improves
Moody's assigned a Ba2 credit rating, up from Ba3, while maintaining a positive outlook
Bombardier Global 8000
© Bombardier/Paul Bowen Photography

Bombardier Aerospace continues to improve its credit ratings, with the latest Moody’s upgrade from Ba3 to Ba2 with a positive outlook. The upgrade announced this week is another signal that the business jet manufacturer is moving from a deeply debt-laden company to one transitioning into growth mode.

The latest Moody’s rating followed Bombardier’s second-quarter earnings release in which the Montreal-headquartered manufacturer reported improvements such as a $392 million year-over-year swing in free cash flow to $228 million, a $356 million reduction in net debt, a strengthened available liquidity of $1.9 billion, and access to a revolving credit facility of $750 million that replaced a previous $450 million facility. The company’s earliest debt maturity is now in November 2030.

In this article