Friday, September 08, 2017

SpiceJet shows long-haul intent with Boeing-Airbus order contest

Indian budget airline SpiceJet has begun an order contest between Boeing Co. and Airbus SE for wide-body aircraft, in the strongest indication yet that it will go ahead with a move into discount long-distance flights.

The carrier is evaluating the US manufacturer’s biggest 787-10 Dreamliner together with Airbus’s A350-1000, Ajay Singh, its chairman, told Bloomberg TV in London Thursday.
SpiceJet is considering the introduction of flights to more distant markets including Europe, but needs Boeing and Airbus to come up with proposals to minimize costs, Singh said in an interview at the 2017 Aviation Festival. The carrier’s jetliner order book is limited to 175 Boeing 737 narrow-body planes.
India has the potential to be a “tremendous’” long-haul market, “if you can work out the math and bring down the cost,” Singh said. While the nation of 1.3 billion people is the world’s fastest growing aviation market, expanding at a 20 percent annual clip, it also remains “incredibly price sensitive,” he said.
08/09/17 Benjamin Katz and Anna Edwards/Bloomberg/Economic Times