Air India signed an agreement with ALAFCO, a Kuwait-based leasing company for leasing 14 Airbus A320neo aircraft.
The delivery of aircraft is likely to start from early next year. The agreement was signed between Air India CMD Ashwani Lohani and the vice chairman and CEO of ALAFCO Ahmad Al Zabin in the presence of CEO of CFM paul Abanga and Phileppe Combet, vice-president, sales, Airbus.
This induction is expected to augment Air India’s capacity in domestic market. Air India already has strong infrastructure maintenance facilities for the Airbus A320 family. The agreement comes on a day the Civil Aviation Minister lauded Air India's for making progress in its financial performance.
The partnership between Air India and Airbus dates back to 1989 when the erstwhile Indian Airlines became the launch customer to induct the Airbus A320.
Air India chief said: “This is a very important partnership for Air India. The A320 aircraft will add strength to our existing fleet and enhance our role as a major player in the domestic market.”
These A320neo aircraft will come fitted with the new generation CFM leap engines which will reduce noise and emissions, enhance the operational efficiency and reduce fuel consumption by at least 15% while offering the passengers the best in class comfort. Air India and CFM enjoy a long standing partnership as CFM engines are fitted on the existing A320 family aircraft, according to the company.