Frax Firm Jet Republic Suspended, Orders Cancelled

 - August 20, 2009, 7:33 AM

Bombardier Aerospace announced today that it has “terminated its firm and conditional order purchase agreement with Jet Republic.” The cancellation removes 25 firm orders for Learjet 60XRs worth $340 million from Bombardier’s backlog. Jet Republic launched a European fractional-share company last year with an order for 110 Learjet 60 XRs and financing by Austria’s Euram Bank. Deliveries of the first airplanes were to have begun this October. According to a Jet Republic spokesman, “JetRepublic’s Portuguese subsidiary has suspended its activities. The group is therefore preserving its remaining financial resources and will be reviewing its options.” Jet Republic’s holding company remains operational, the spokesman said, “and will work closely with our shareholders to ensure that the interests of our existing clients, employees and suppliers are protected to the best of our ability.” Bombardier is not altering production plans for the 60XR and “remains committed to the Learjet 60XR program,” the company said.