Bombardier has already announced this year 6,600 job cuts, or a reduction of 21 per cent, and seven plant closures at its rail division as it attempts to restructure the operation and adjust for surplus production capacity in Europe.
The latest cuts continue to take the axe to the company's European operations, as well as at home. In all, staff at 27 locations in 14 countries will be affected, with the biggest pains in Germany, the U.K. and Canada.
"No one around here is underestimating the challenges that stand between us and our potential, but the view forward gives cause for encouragement," CEO Paul Tellier said in a statement.
"We feel our plan is the right one and our job is to make yards the hard way -- through faultless execution one play at a time."
The announcement came as Bombardier reported a big drop in third-quarter earnings driven by a decline in orders for its regional jets.
Net profits fell by 93 per cent, to $10 million, or breakeven on a per-share basis, from $133 million, or seven cents a share, a year ago.
Revenues rose by 4.3 per cent, to $3.63 billion from $3.48 billion.
The consensus among analysts polled by Thomson Financial was for Bombardier to report a profit of a penny a share on revenues of $3.64 billion.
The company blamed the shortfall on fewer sales of its regional jets that seat 90 passengers.
In October, the company reduced production of its 50-seat regional jets by 25 per cent. At the time, the company said it would reduce overall commercial aircraft production by 10 per cent over the coming year and cut 2,000 jobs at its jet operations.
Much of the problem in Bombardier's jet business is rooted in the challenges facing its big U.S. customers such as Delta Air Lines Inc. and US Airways Group Inc. Mr. Tellier is hoping a recovering market for business jets will offset the persistent weakness of the commercial market over the coming year.
Delta, Bombardier's biggest commercial-aircraft customer, is struggling to avoid bankruptcy, while US Airways is already attempting to restructure under bankruptcy protection.
Bombardier had said it may have to cut another 1,200 aerospace jobs if Delta fails to take the 38 planes it has ordered.
Also challenging the company is the rising Canadian dollar.
