Aerospace workers at Bombardier's Belfast division, which employs 7,000 people, will be encouraged by the Canadian group's projections that it will deliver 370 new aircraft this year, according to union leaders in the North.

Mr Robert Brown, Bombardier chief executive, has confirmed that the aerospace giant is on target to deliver 370 new aircraft, just 40 less than had been projected for the current financial year before the terrorist attacks on the United States.

Addressing an investment conference in Montreal, Mr Brown said the group had revised its initial forecasts down from 410 new aircraft deliveries following the tragic events of September 11th in New York and Washington.

He said Bombardier had moved rapidly to counter the impact of the global downturn on its aerospace division and was confident that despite the current slump in air travel, the Canadian group would double its turnover in the next five years.

"If the economic situation improves quicker than expected, we will be able to surpass these consensus estimates," Mr Brown said.

According to the Bombardier chief, the firm is well positioned for growth despite the current climate of profit warnings and redundancy programmes from key players in the worldwide aviation sector.

He believes Bombardier's restructuring programme - which includes the possibility of 2,000 redundancies in Belfast - will enable it to counteract "negative economic cycles".

Last week, the Canadian group posted net losses of $235.4 million (€365 million) for the third quarter.

Mr Brown has told the investment community that Bombardier's aerospace division has a record backlog of orders worth in the region of 24.9 billion Canadian dollars (€17.7 billion).

Mr Jackie Nicholl, president of the Confederation of Shipbuilding and Engineering Unions in Northern Ireland, said Bombardier's long-term optimism in the sector is a confidence boost for its workforce in the North.

Negotiations are continuing between Bombardier and unions over the immediate future of 500 permanent workers, whose jobs are expected to be axed in January.

Bombardier has said a further 1,100 jobs are also under threat in Belfast if the aviation sector does not improve in the short term.

Mr Nicholl said Bombardier's latest trading statement shows that, providing there are no further order cancellations, the outlook for the company in Northern Ireland may be brighter.