Business | Aviation
Kingfisher to order up to 50 Airbus aircraft today
Kingfisher Airlines, one of India's fastest growing private carriers, will sign a firm order for up to 50 Airbus single-isle A320 aircraft, a deal negotiated at around $2 billion (Dh7.35 billion), sources said.
- By Saifur Rahman, Staff Reporter
- Published: 00:00 November 21, 2005
Kingfisher Airlines, one of India's fastest growing private carriers, will sign a firm order for up to 50 Airbus single-isle A320 aircraft, a deal negotiated at around $2 billion (Dh7.35 billion), sources said.
David Velupillai, Airbus spokesperson, told Gulf News, "Each A320 costs $65 million at list price."
Dr Vijay Mallya, chairman and managing director of the airline and Gustav Humbert, president and chief executive officer of Airbus, the European aircraft manufacturer, are expected to sign the deal at the Dubai Air Show today.
The airline yesterday placed orders for 20 ATR 72-500s at event, a deal valued at $350 million with 15 on options.
The order represents the first addition of regional aircraft to the fleet of Kingfisher Airlines.
"It goes without saying that the entire company is excited with our acquisition and is very much looking forward to welcoming the ATR aircraft that we will have in service by March 2006," Mallya said.
"This aircraft will also feature a series of firsts in the Indian market, including the IFE system, which is a key differentiator for Kingfisher Airlines and puts us ahead of our competitors. These aircraft will allow us to develop our network and introduce new routes not previously served by, and we are excited to be bringing the Kingfisher Airlines experience to more cities throughout India."
Kingfisher currently has a fleet of A320s.
Filipppo Bagnato, ATR's chief executive officer, said, "This new contract asserts our leadership in India's regional market and confirms the suitability of of ATR aircraft in that country. With ATR 72-500, Kingfisher Airlines will operate state-of-the-art aircraft, which combine both jet-like comfort and economics."
Kingfisher Airlines is part of the UB Group that is famous for the Kingfisher and McDowell's liquors.
The airline was launched in May to capitalise on the fast growing aviation market in India.
More from Aviation
More from Business
Business Editor's choice
-
‘Wrong Way' Krugman
The source of our economic malfunction lies with government-mandated bank regulations
-
Greek exit could make Eurozone stronger
Departure will show limits of bailouts and allow remaining members to act much more like a unit
-
UAE upholds values of free trade
Recently released statistics confirm an established fact, namely that of the UAE embracing the free trade principle in general and imports in particular
