Monday, September 12, 2011

US embassy felt ai-boeing deal was 'well-scripted'

New Delhi : The Comptroller and Auditor General (CAG) may not agree, but for the US embassy in New Delhi, the Air India–Boeing aircraft purchase agreement of 2005 was perfect, a scripted plan, jointly executed by its officials and those of the US aircraft manufacturer.
The Boeing deal, worth $8.5-billion (Rs 39,500 crore), was to supply 50 wide-body B777-B787 aircraft, powered by GE engines, to government-owned AI. The embassy observations are part of a confidential official cable released by whistleblower website Wikileaks on August 30(http://wikileaks.ch/cable/2005/04/05NEWDELHI3147.html).
Extracts of the embassy communication, dated April 27, 2005, credited the success of the deal to the multi-pronged advocacy efforts carried out by the economic, political, public affairs and foreign commercial service arms of the US government. “This USG-Boeing effort was well-scripted and provided a new paradigm in how to marry USG advocacy with a commensurate level of company commitment at the highest levels,” the communication from Robert O Blake stated.
The embassy notes indicate Boeing officials had informed them that the lessons learned (from the India deal) would be used in developing a new world wide sales strategy to counter Airbus' inroads on commercial aircraft sales.
12/09/11 Joe C Mathew/Business Standard
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