Saudi Arabian Airlines said it plans to buy 15 new medium sized aircraft with a capacity of between 50 and 100 passengers for use on domestic flights.
The announcement followed a decision by the Saudi cabinet to establish the Civil Aviation Corp as an independent body that will operate as a commercial organisation responsible for streamlining and developing the civil aviation and air transport industry.
Dr Khaled Bakr, director-general of Saudi Arabian Airlines, said contracts for the purchase of the new aircraft would be signed next month in the presence of Prince Sultan Bin Abdul Aziz, Minister of Defence and Aviation, who is also Chairman of the airline's board of directors.
Dr Khaled Bakr said the aircraft purchase whose total cost has not been announced would help enhance domestic services.
Dr Khaled Bakr welcomed any airline wishing to serve in the kingdom saying the Saudi Arabianmarket is open to competition.
Dr Khaled Bakr said for the first time in its history Saudi Arabian Airlines was able to achieve operational profits in 2002, and to double the profits in 2003, followed by a 14 per cent rise in 2004.
Dr Khaled Bakr said Saudi Arabian Airlines was also able for the first time to self-finance the modernisation of its fleet.
Saudi Arabian Airlines is fully aware of the challenges ahead and is capable of adapting to the circumstances, Dr Khaled Bakr added.
