Tuesday, July 7, 2009

Spicejet to expand Boeing 737 fleet


Spicejet is likely to buy new planes from Boeing in order to maintain a fleet of the same make in a move that would help the Gurgaon-based, low-fare carrier to extract better value in case it integrates its operations with another no-frill airline in the future. A SpiceJet official, requesting anonymity, said, an internal committee, which was constituted to suggest on the type of planes (Boeing, Airbus or a mix) to be bought, has given its recommendations in favour of Boeing. However, a final decision will be taken soon, he added.

SpiceJet had ordered 30 aircraft since it began operations in May 2005. It runs 125 daily flights to 18 cities across the country with 19 Boeing 737 planes. It plans to induct one aircraft early next year and will add another eight by March 2012, SpiceJet chief commercial officer Samyukth Sridharan said. SpiceJet will begin its international operations next year. There is speculation that SpiceJet might integrate its operations with JetLite that has a fleet of Boeing aircraft, which both companies denied. Analysts said, SpiceJet may go in for an operational integration, if not a full-fledged merger, with another low-fare carrier in the near future.

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