A-I board meets on Sat on aircraft buy

With both Boeing and Airbus pitching for the medium capacity long-range aircraft order worth over $1.5 billion, the Air-India board would meet on Saturday to finalise its decision on buying 10 aircraft with options for seven more.

The much awaited decision will be known when the five-member technical evaluation committee presents its report at the crucial board meet in Mumbai to decide on the 250-seater plus MCLR aircraft, part of over $2.5 billon fleet acquisition plan.

A-I officials were tight-lipped about the possible outcome of the meeting.

The board had last year decided to acquire 17 MCLR aircraft with 10 options and appointed a five-member technical evaluation committee, under the chairmanship of M K Hathi, director (operations) to look into the financial and technical bids from both the aircraft manufacturers.

The order was scaled down to 10 aircraft with options for seven more in the face of the turbulent times that the aviation industry is facing since September 2001.

Indian Airlines chairman and managing director Sunil Arora has expressed his inability to attend the meeting as he is away in Indonesia to attend the PATA meet.

Both Boeing and Airbus had been vigorously pitching in for the order. The last acquisition made by A-I was in August 1991 for six Boeing 747-400s.

Both IA and A-I fleet expansion plans are spread over a five-year period beginning this fiscal.