Changes at Bombardier: business jets leader quits
David Coleal, President, Bombardier Business Aircraft, speaks to the media about the Global 7000 and 8000 aircrafts in Toronto on Tuesday, November 3, 2015.
Share October 1, 2020 10:00 p.m. Share Changes at Bombardier: business jets leader leaves The Canadian Press MONTREAL – Bombardier has decided to rationalize its management team as it completes its refocus on business jets, which will become its only line of business, eliminating the post of head of its aviation division, which was held by David Coleal.
However, he did not leave empty-handed. Under the terms of his employment contract, he was eligible for severance pay of approximately US $ 3.1 million, which takes into account two years of salary, bonus and other amounts related to the value of his stock options and grants.
However, as Bombardier's stock price declined, Mr. Coleal, who was appointed to head the business jet division in May 2015 before becoming president of the company's aviation segment last year, should actually get a little less.
This restructuring comes as the sale of the rail division of the Quebec company to Alstom is “almost completed,” said its president and CEO, Eric Martel, in a press release.
“We are preparing for the future as a business aviation company. This includes streamlining the senior management structure of our business ”- Éric Martel, President and CEO of Bombardier
Due to the sale of Bombardier Transport to the French giant, the Montreal-based company had negotiated agreements with members of its senior management in the event of their departure in the wake of the transaction.
Current rail division president Danny Di Perna is expected to be entitled to US $ 3.55 million in the event of his departure, according to information in Bombardier's most recent solicitation circular.
On the Toronto Stock Exchange on Thursday, Bombardier's Class B stock closed at 34 cents, up one cent, or 3%.