Bombardier’s C-Series plane takes flight with $1.1 billion order

• Bombardier signs letter of intent for up to 24 CS300 aircraft
• EgyptAir would pay $2.2 billion for all 24
• A firm-order contract for 12 planes is aimed to be signed by end of 2017

A Bombardier CS300 C Series aircraft, manufactured by Bombardier Inc., lands after a flying display on day two of the 51st International Paris Air Show in Paris, France, on Tuesday, June 16, 2015.

Jasper Juinen | Bloomberg | Getty Images

Aerospace firm Bombardier has announced a deal to sell up to 24 of its CS300 aircraft to EgyptAir.

The letter of intent, signed Tuesday, offers the Egyptian airline the draft sale of 12 CS300s with purchase rights for a further 12.

The whole deal, if exercised, would cost EgyptAir $2.2 billion. Both parties hope to finalize the contract for the first 12 planes by the end of the year.

Speaking at the Dubai Airshow, EgyptAir chief executive Safwat Musallam said he expected the deal to cement fresh business for Bombardier.

"This deal will open a big market for Bombardier in the Middle East. Everyone knows Egypt is the entrance to the region," he said.

Bombardier recently sold a majority stake in the C-series program to Airbus in order to widen sales and circumvent trade complaints from Boeing. Musallam denied that this affected the deal, but conceded that he was "happy to see the partnership announced with Airbus."

U.S. engine-maker Pratt & Whitney said in a separate statement that it had been selected to provide the engines.

Bombardier predicts Middle East-based orders will account for around 450 airplanes in the 60-to-150 seat category over the next 20 years.