Categories: BusinessFinance

Air India has options to buy 370 more jets after mammoth order

Air India has options and purchase rights to buy 370 more aircraft from Airbus and Boeing over the next decade, an company executive said in a recent LinkedIn post, days after the carrier unveiled a record order for 470 jets.

“The order comprises of 470 firm aircraft, 370 options and purchase rights to be procured from Airbus and Boeing over the next decade,” said Nipun Aggarwal, chief commercial and transformation officer at Air India, wrote in a post late Wednesday.

The firm order comprises 220 Boeing planes and 250 Airbus aircraft, while the options can be converted to firm orders at a later date.

Aggarwal also said Air India had signed long-term engine maintenance contracts with CFM International (CFM), Rolls-Royce and GE Aerospace.

The Tata Group-owned airline aims to capitalise on India’s growing base of fliers and large diaspora across the world.

Aggarwal said the aspiration with this order is to connect India “non-stop” to every major city in the world and shows the “tremendous economic potential” unleashed by the privatisation of Air India.

Source : Reuters

GLOBAL BUSINESS AND FINANCE MAGAZINE

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