Air India looking to tie up aircraft lease deals

Airline Industry Information, August 11, 2004

AIRLINE INDUSTRY INFORMATION-(C)1997-2004 M2 COMMUNICATIONS LTD

Air India has said that it is looking to complete as many aircraft lease agreements as possible before September 2004 when the tax exemption on such deals expires.

The carrier is aiming to double its fleet within two years and plans to spend USD2.16bn on 28 aircraft from Boeing and Airbus and to lease 20 more aircraft.

Air India has floated tenders for leasing of 17 medium-capacity long-range aircraft and three ultra-long-range aircraft as it attempts to raise its market share in India to 30-35%, reports Reuters.

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