The Government of Quebec earlier this week reduced the value of it’s investment of approximately $800 million in Airbus, who operate the A220 factory and assembly line in Mirabel. The government reduced the value of its investment to $400 million, which amounts to writing off just about half of its investment in the A220 aircraft program.
A Legacy of $2 billion in Quebec Investment
In July 2024, the Quebec government injected an additional $413 million into the Airbus A220 commercial jet program, formerly the Bombardier C Series, to improve its return on investment and increase production at the plant.  Airbus was also investing $1.2 billion into the program, along with guarantees that 2/3rds of the jobs involved in building the aircraft would remain in Quebec. Airbus employment of 4,000 plus, at an average salary of $87,000, well above the average in Quebec, was influential in the investment decision. The Government of Quebec maintained a 25% share in the program and extended the time for Airbus to buy back the stake by five years, from 2030 to 2035.Â
The total investment from 2016 into the C Series/A220 program is nearly $2 billion. Quebec also lost nearly $1.3 billion invested in Bombardier during its financial difficulties.Â
This additional $400 million write-down loss has been criticized by the opposition and defended by the administration in power, pointing to the job creation and jobs maintained in Quebec. Â Nonetheless, the question is why the write-off now when Airbus is taking actions to improve the financial performance of the A220 program?
