Boeing has secured a $700 million sale of 10 Boeing 737s to low-cost start-up SpiceJet of India, it was announced at Asian Aerospace yesterday.
The aircraft – five 737-900ERs and five 737-800s – are the conversion of options announced last year. However, the airline has taken 10 more options on 737-800s that can be converted to -900ERs if the airline chooses.
Deliveries will begin in October 2007 with the 737-900ER and continue through to 2009.
SpiceJet director Ajay Singh said yesterday that the airline was looking at “a continuous stream” of Boeing aircraft, either through purchase or lease, as the business builds.
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| From left: Ajay Singh from SpiceJet with Dr Dinesh Kespar from Boeing, and SpiceJet’s BS Kansagra and Siddhanta Sharma |
He said: “We are absolutely delighted to be placing a new order with Boeing and we think that this new order reflects the rapid growth of the Indian market, most of which is being captured by low-cost carriers like SpiceJet.
“We think our [business] model is the classic low-cost model.”
Successful too, with the airline recording the best load factors in India, with a monthly average of 85%.
Singh added that SpiceJet has successfully captured a significant chunk of the exploding aviation market in India, which grew 30% last year and which shows no sign of letting up.
“Air fares have become more cost effective and people have grown richer because of the growth of the economy. As many people go by train in one day as fly in one year and we expect many more people to turn to air travel,” he said.
Dinesh Keskar, vice-president of sales for Boeing Commercial Airplanes, said: “The 737 continues to play an integral role in meeting the needs of India’s rapidly growing aviation market, and we are thrilled that this outstanding customer is reaffirming its commitment to the Next Generation 737 family.”
Source: Flight Daily News
