Air India places hope on Dreamliner
India - Debt-ridden Air India will be purchasing more of Boeing's new Dreamliner 787 in an attempt to emerge from the red and improve revenues.
It will find ways to raise about US$830 million for the purchase, and additionally try to keep its costs tight via the sale and lease back route, Channel NewsAsia reported.
The carrier already has four Boeing 787s due to be delivered by this year, and another 27 to be delivered over the next new years.
Chaiman of ASSOCHAM committee on aviation Subash Goyal believed the 787 planes will help change the image of the carrier.
"Aviation is such a business that you have to be ahead of the race. When 747s came, Air India was the first airline in Asia to have 747s. Now other countries have taken the lead. So we want Air India to come back to its glory."
The airline has been struggling with its finances as a result of pilot strikes, aircraft purchases, and a bad merger with Indian Airlines. The loans it is planning to take will be used to cover at least 85% of the aircraft purchase.
Meanwhile, it is required to return about US$4.6 billion in loans by the end of this fiscal year.
Managing people? For HR and leadership strategy, Human Resources has it covered.
Get your marketing department up to speed with Asia's most read marketing site
- Air India
Air India Related Stories:
- Tough times for Indian aviation
- Air India packs up cargo division
- Pilots forced to fly when under the weather
- Cash-strapped Air India to rethink orders
- Strike likely to rattle Air India
- Indian private carriers soar this fiscal
- Air India shelves subsidiary cargo arm
- India clears budget carrier orders
- Air India attains most trusted label
- Air India streamlines without layoffs
- Air India protest strikes out
- Insurance rates may swell after crash
- Indian carriers halt cargo operations
- Air cargo traffic sees upsurge
- AI and SATS ink agreement
- Air India staff to face wage cuts
- Air India to fly cargo
- Poor infrastructure bane to Indian freight
- Air India to spin off cargo business
- Air India staff on hunger strike