Air India said to be in talks with Airbus for $1.5 billion jet order

Anurag Kotoky
Published7 May 2015, 01:16 PM IST
Air India will lease the older version of the A320 until the new planes arrive. Photo: Ramesh Pathania/Mint<br />
Air India will lease the older version of the A320 until the new planes arrive. Photo: Ramesh Pathania/Mint

New Delhi: Air India Ltd, the state-owned carrier, is in talks with Airbus Group NV to order single-aisle jets valued at $1.5 billion (around 9,600 crore) in list prices, according to a person with direct knowledge of the discussions.

The carrier wants to purchase at least 14 A320neo aircraft, according to the person, who asked not to be identified as the discussions are private. An A320neo costs $106.2 million at list prices. Buyers usually get a discount when they order planes in bulk.

Air India will lease the older version of the A320 until the new planes arrive.

“We’re always in discussion with our customers but we can’t comment on any specific commercial discussions,” said Airbus spokesman Justin Dubon by phone. Bloomberg

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