[lbo-talk] Air India prefers Boeing for $6 bn purchase plan

Sujeet Bhatt sujeet.bhatt at gmail.com
Sun Apr 10 20:32:17 PDT 2005


A-I prefers Boeing for $6 bn purchase plan BYAS ANAND

TIMES NEWS NETWORK[ MONDAY, APRIL 11, 2005 12:14:16 AM ]

NEW DELHI: This would, probably, be the biggest corporate victory for the US in India. State-owned behemoth Air-India is planning to award its over $6 billion mega order for purchasing 50 aircraft to the US-based aircraft-maker Boeing.

Together with its low-cost start-up A-I Express — which has already selected Boeing for its comparatively smaller $1-billion order for 18 planes, this would make the biggest order bagged by any single aircraft manufacturer in recent times.

If the Cabinet clears the order, it will be the strongest message yet to the US that India is willing to play hard for great power stakes. Washington's recent avowals to enable India become a great power in the 21st century have strong economic underpinnings, and for the first time, India is in a position to leverage its economic clout for strategic ends.

Just as the F-16 deal would enhance India's larger strategic goals with the US, the civilian aircraft order would be a strong political statement.

The plea, favouring Boeing planes over European rival conglomerate Airbus Industrie, is part of an A-I board meeting agenda forwarded to the ministry of civil aviation. According to ministry officials, the order is expected to be cleared in favour of Boeing at the next board meeting later this month.

http://timesofindia.indiatimes.com/articleshow/1073897.cms



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