By Ethan Lou
TORONTO, June 11 (Reuters) - Canada is willing to "find a
solution" with Bombardier Inc BBDb.TO as the parties consider
the company's dual-class share structure during talks on a
$1-billion government fund-infusion, the minister responsible
said late on Saturday.
The struggling Canadian aircraft maker Bombardier has asked
for $1 billion from the federal government to support its new
CSeries passenger jet, though sources have said the government
is concerned by the share structure that grants the founding
family control despite their holding a minority stake. Critics
say the structure means it is hard to push through needed
reforms.
"We're willing to find a solution with them, but these are
part of the discussions we're having," Innovation Minister
Navdeep Bains said when asked whether the government will still
invest in Bombardier's CSeries planes if it keeps the share
structure that favors the Bombardier-Beaudoin family.
Bains was speaking on the sidelines of an event in Toronto
by the Indo Canadian Chamber of Commerce.
Bombardier's CSeries had been billions of dollars over
budget and years late. The province of Quebec, where Bombardier
is based, has already invested $1 billion in the series.
The company's chief executive Alain Bellemare has since said
the company has turned the corner with its CSeries, after Delta
Air Lines DAL.N in April made a pivotal order of 75 planes.
But rival jetmakers and analysts say the planes were heavily
discounted, and may cause other potential customers to demand
similar prices, keeping the CSeries in the red.
Bains said the government's priority in the talks is in
making sure jobs, research investment and the company's
headquarters remains in Canada.
The talks on federal investment are ongoing, though Prime
Minister Justin Trudeau has told Reuters he does not see the
government walking away.
Brazilian planemaker Embraer SA has said it may challenge
the state funding received by Bombardier before the World Trade
Organization, saying that gives the Canadian company an unfair
advantage.
Bombardier could not be immediately reached for comment.
(Editing by Christian Schmollinger)