Canadian investors will be watching the stock of Bombardier Inc. today in the wake of an announcement that the company has sold its recreational products division to a group of investors that also includes the Bombardier family for $1.2 billion.

The Bombardier family, Bain Capital and the Caisse de depot et placement du Quebec have formed a corporation to buy the recreational products division, which includes the Ski-Doo snowmobile. Meanwhile, the company also announced it increased its quarterly earnings to $93.2 million or five cents per share compared to $68 million or four cents per share in 2002. Revenues were maintained at $5.3 billion, the same as a year ago.

Despite a slew of positive economic reports released in the U.S. yesterday, markets made only minor gains. Market trading is getting thinner as we get closer to the long weekend. Wall Street futures are weak.

Statistics Canada is reporting that corporate profits fell 7.3% to $40.4 billion in the second quarter, from a record high of $43.6 billion in the first quarter. This decline followed five consecutive quarters of growth, including a 12.4 % jump in the first quarter. The energy sector dominated the results, as crude and refined petroleum prices plummeted after a first quarter surge due to supply concerns. But excluding the oil and gas extraction and the petroleum refining industries, operating profits slipped a more modest 1.0 %. Overall, 13 of the 24 broad industry groups posted weaker profit results in the second quarter.

In Europe at midday, Frankfurt’s DAX index is up 24.05 points, or 0.7%, to 3479.53. Reinsurance giant Munich Re was among the biggest decliners, dropping 1% to €98. London’s FTSE 100 index is up 26 points, or 0.6%, at 4203.4. Lloyds TSB is among the more heavily traded gainers. It’s up 2% to 427.2 pence. The Paris CAC-40 index is up 23.57 points, or 0.7%, to 3280.26.

In Asia, stocks finished down. The Tokyo Nikkei fell 23.58 points, or 0.23%, to 10,308.99. Buyers were initially encouraged by positive economic data but a late sell-off of domestically oriented issues dragged Average down. In Hong Kong, share prices dropped as investors cashed in on their recent gains. The blue chip Hang Seng Index lost 75.38 points, or 0.7%, to finish at 10,678.55.