Neelam Mathews
Oct 9, 2013
What Air India couldn’t do-
Etihad can. The carrier today announced its intention to purchase from Air
India five Boeing 777-200 LRs, the longest range passenger aircraft in
operation to support its accelerated network growth plan. The two carriers
signed a Letter of Intent (LOI) in Mumbai earlier this week paving the way for
the deal. Subject to approvals, the aircraft will be delivered to Etihad
Airways from the beginning of 2014 and each will be re-fitted in a three class
cabin configuration consistent with similar aircraft in the Etihad Airways
fleet. It is expected the first aircraft will enter service in April 2014.
The five Air India 777-200LR
aircraft, which Etihad Airways is purchasing, are on average, six years old,
helping the airline to maintain its overall position of having one of the most
modern fleets in the industry.
The
777-200 LRs will be used on the airline’s new route between Abu Dhabi and Los
Angeles, announced yesterday, which starts on June 1, 2014. It is likely that
Jet Airways LA-bound pax will transit through Abu Dhabi. Etihad Airways
currently flies to New York, Chicago, Washington DC and Toronto in North
America, and to São Paulo in Brazil, and has stated its ambition to add new
services to both continents, says a statement.
James Hogan, President and
Chief Executive Officer of Etihad Airways, said: “The Boeing 777-200 LR is a
fantastic addition, giving us extra reach immediately and complementing our
long term fleet strategy. “Our continued strong organic growth, boosted by the
impact of our equity partners, has opened up new opportunities for additional
destinations.
“We
are looking forward to starting direct services to Los Angeles, as well as
increasing our flying to South America. This is the aircraft to do that.”
The Boeing 777-200 LR, of which
less than 60 were manufactured, has a design range of 17,370 km, allowing
it to connect almost any city in the world from Etihad Airways’ hub at Abu
Dhabi International Airport.
Etihad Airways’ current fleet
will reach 87 aircraft by year end, with 14 new deliveries from aircraft
manufacturers during 2013. Its long term fleet strategy to the end of the
decade is based on its order, announced at Farnborough in 2008, for up to 205
Boeing and Airbus aircraft. This mix of firm orders, options and purchase
rights has given the airline great flexibility in its business development
planning to 2020. “This tactical addition to our fleet adds even further
flexibility,” said Hogan. “We’ve been able to respond quickly to a
positive opportunity to add to the fleet, allowing us to bring forward our
launch plans for a number of new routes.”
Neelam, by means of this deal, Air India infuses 250 million dollars which will improve its bottomlines. with the rupee sliding, Instead of Air India getting in 1100 Crores, it gets in 1500 crores. Those aircraft were for sale and with Etihad stepping in to get them, it will help Air India.
ReplyDeleteSomeone tell Swamy to stop those nonsensical PILs !
ReplyDelete