At Bombardier Aerospace, revenues increased by 17% to a record $9.7 billion, while EBIT rose to $563 million, compared to $322 million for last fiscal year. This produced an EBIT margin of 5.8%, versus last year's 3.9%. Free cash flow more than doubled to $1.7 billion, compared to last year's $814 million.
Bombardier Aerospace's backlog reached a new record level of $22.7 billion, an increase of $9.5 billion compared to January 31, 2007. It was an excellent year with 698 firm orders for business, regional and amphibious aircraft, compared to 363 aircraft last fiscal year. Deliveries also increased to 361 aircraft, versus 326 for the corresponding period last year. For fiscal year 2009, the group expects an increase in business aircraft deliveries along with an improved mix, while regional aircraft deliveries are expected to remain at a similar level compared to fiscal year 2008.
In the business aircraft market, Bombardier Aerospace maintained its leadership with a record 232 deliveries as well as 452 orders, for a book-to-bill ratio of 1.9. Interest for business jets in major emerging markets, such as Russia and Asia, has grown significantly, shifting demand away from the U.S. which now accounts for approximately 30% of the group's new orders.
With the entry into service of the Learjet 60 XR and the launch of the all-new Learjet 85 featuring an all-composite structure, Bombardier Aerospace further strengthened its product portfolio, the most complete in the business aircraft industry.
Regional aircraft orders surged to 238 orders compared to 87 last fiscal year. The introduction of the next generation of the CRJ700 and CRJ900 aircraft as well as the launch of the CRJ1000 NextGen regional jet have stimulated demand and contributed to 141 regional jet orders for fiscal year 2008, compared to 49 last fiscal year.
Increasing interest for the Q400 aircraft has generated demand from companies in various countries such as Australia-based Qantas Airways, U.K.'s Flybe and Memphis-based Pinnacle Airlines. As the trend towards larger turboprops continues, Bombardier Aerospace announced, in March 2008, the launch of the Q400 NextGen turboprop airliner, pursuing its tradition of innovation.
Bombardier Aerospace continues to work towards reaching an EBIT margin of 8%, now expected by fiscal 2009.