TRIVANDRUM, 21 February 2005 — Air-India will take delivery today in Seattle of the first of three aircraft it plans to take on dry lease from Boeing to operate a low-budget airline.
Air-India Chairman and Managing Director V. Thulasidas said India’s flag carrier would take possession of the second 180-seater Boeing 737-300 in March and the third in April. Air India Express will be launched in the Gulf sector by April end.
In all, Air-India will acquire 18 short-range aircraft for the proposed airline at an estimated cost of $1 billion — two-thirds on a firm order basis and one-third on an option arrangement.
Initially, AIE will fly to Sharjah, Abu Dhabi and Muscat from Trivandrum, Cochin and Calicut every day. Negotiations are on to include Dubai as well in the first phase.
