(Figures in U.S. dollars)
By David Ljunggren
OTTAWA, April 20 (Reuters) - Canada will not give struggling
aircraft maker Bombardier Inc BBDb.TO federal aid without
assurances on jobs, investment in research and the location of
the company's headquarters, a senior government official said on
Wednesday.
The two sides are still far apart on reaching a deal on the
firm's request for $1 billion to support its new CSeries
passenger jet, say well-placed sources.
Innovation Minister Navdeep Bains, who is in control of the
negotiations, told reporters the two sides were still talking
and - for the first time - he revealed some of the details.
"We're focused very much on R and D (research and
development) investment in Canada, the fact that the C Series
continues to be ... produced here in Canada, that the head
office remains here. It's about good-quality jobs," he said.
"It's about the long-term success of the company and the
sector ... We want a strong, vibrant aerospace sector in Canada,
and that is a priority for this government."
Bombardier's 18,000-strong workforce in the province of
Quebec is largely aerospace-focused and its presence helps
support many smaller part vendors and suppliers in the region.
Sources familiar with the negotiations say Ottawa is
demanding certain performance guarantees from the firm and could
walk away from the talks. The federal government is also
concerned by the company's dual class share structure, which has
been criticized by investors and analysts.
The structure gives the Bombardier-Beaudoin family effective
control over the firm. Critics say this means it is hard to push
through needed reforms.
Bains declined to answer when asked whether Ottawa wanted
Bombardier to scrap the structure.
(Editing by Matthew Lewis)