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Toronto TTC streetcar contract issues being addressed, Bombardier CEO says

A new Toronto streetcar is pictured on March 14, 2013.

TTC

Bombardier Inc. president and chief executive officer Alain Bellemare says he's aware of the problems surrounding a 204-vehicle streetcar contract for Toronto and that the issues are being addressed.

"Clearly we're not pleased with the performance that we have on some of these projects and we're addressing that," Mr. Bellemare said on a conference call with analysts Thursday to discuss the company's first-quarter financial results.

He was responding not only to a question about the delivery delay of Toronto Transit Commission streetcars but other problem contracts as well, including delays on a signalling and control system for London, which a report last month said was a "shameful" performance.

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"We recognize the issues. We are committed to fixing it. We're putting plans in place and we're going to execute on it," he said.

Bombardier's rail unit, Bombardier Transportation, has a new president, Laurent Troger, who has "already made significant leadership changes as well on his team," Mr. Bellemare said.

"Laurent is focused on operational execution and improving the performance on all projects," he said.

Montreal-based Bombardier has a $1-billion (U.S.) commitment from the Quebec government to invest in its new C Series jet program and is seeking an additional $1-billion from the federal government.

TTC chair Josh Colle said on Wednesday that government aid from Ottawa would be "a slap in the face" for Toronto unless the company can first sort out the problems bedeviling the streetcars it is building for the city.

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