The company said that the workforce reduction at Aerospace took place in recent weeks and is expected to generate US$200 million in annual cost savings. The rail division is expected to received $68 million of annual cost savings from its workforce reduction. Walter Spracklin of RBC Capital Markets said that he'll be looking for more information about Bombardier's CSeries testing program, which is necessary before the new generation of commercial passenger jet can go into full production. Spracklin has said previously that long-term risks remain high even though the aerospace division has received new orders for the CSeries, which resumed test flights after a three-month pause following an engine failure during ground maintenance testing. "Given the results we say this morning, we are relieved that the company came in slightly ahead on operating results and only modestly below on cash flow,'' Spracklin wrote in a note after the results were issued early Thursday.