|
|
Business & Economy
Air India seals Boeing deal,
decides to buy 50 aircraft
What is India News Service, Wednesday,
27 April 2005,
1400 hrs IST
In the biggest deal in Indian aviation history,
Air-India has
decided to acquire 50 aircraft from Boeing for Rs 30,000 crore. The deal is
a blow to Airbus which was also in the running for the big-ticket contract.
The board of Air-India approved the deal in its meeting held here on Tuesday.
The board also accorded an in-principle approval to Air-India for an initial
public offering (IPO). Both the decision are subject to the approval of the
government.
This fleet acquisition plan, which covers the
period upto 2012-13 provides for an increase in fleet size from the present 34
to 74 \97 a net addition of 40 aircraft. With this fleet acquisition, A-I
proposes to increase seat capacity by 12% annually over this period.
The government\92s approval assumes
significance since the board of the other state-run carrier Indian Airlines had
cleared a deal for 43 aircraft with Airbus in 2003. IA continues to await the
government\92s nod. The 43 aircraft deal is estimated to cost over Rs 10,000
crore.
Commenting on the time lag for the
government\92s nod, an Air-India spokesperson said, \93The government is aware
about the urgency and we are optimistic of an early decision from the
government.\94 The airline is being threatened with the entry of private
domestic carriers on long haul routes. Air-India currently claims a market share
of 20% and the proposed fleet expansion will take four years from the date of
placing order, sources said.
End
of a decade-long wait for Air India: After a gap of close to a decade, Air
India (AI) has finally moved closer to acquiring 50 brand new Boeing aircraft
including the soon to be launched Dreamliner \97 the Boeing 787
Corporate India\92s profits surge
continues: The results reported by 280 companies in the January-March quarter show a 29 per cent rise in sales and a 74 per cent jump in net profit.
The operating profit of these companies increased 46 per cent to Rs 9,194 crore and the gross profit jumped 53 per cent to Rs 8,224 crore.
Engineering, shipping, steel, sugar and information technology (IT) companies posted a healthy growth in net profit, while cement, fertiliser, paper and pharmaceutical companies reported an erosion in their bottom lines.
Among the performers, Bharat Earth Movers\92 net profit rose by 561 per cent to Rs 123.62 crore; Indian Petrochemicals Corporation (IPCL) recorded a 239.39 per cent increase in net profit to Rs 336 crore and Essar Steel posted a 178 per cent growth in its net profit to Rs 273
crore.
IPCL
net jumps 187% to Rs 786 cr: Indian
Petrochemicals Corporation Ltd (IPCL) has posted a net profit of Rs 786 crore
for the year ended March 31, 2005 as compared to Rs 273 crore for the year ended
March 2004.
4% VAT levied on inputs, capital goods, drugs:
Petrol & diesel, salt, bread, khadi, gur, jaggery to be exempt from VAT.
Anil goes to wari: The family feud between brothers Ambani has been cranked
up beyond brinkmanship level by Anil Ambani going to the extent of saying that a
Reliance XI has taken the field against him.
Guwahati
HC stays Shoppers' Stop IPO: The Guwahati High Court has stayed the IPO of
Shoppers' Stop following a PIL filed by a little-known organisation of minority
shareholders, North East Investors' Association.
Bajaj Auto gets nod for Pak venture:
Company hopes to export 5,000-100,000 CKDs to Pakistan in the next 2-3 years.
Left
parties urge Govt not to raise petro prices: The Left allies of the UPA
Government on Tuesday asked the Centre not to raise petrol and diesel prices and
instead cut excise duty and put the increase in road cess in abeyance.
| |
