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August 5, 2005 Friday Jumadi-us-Sani 28, 1426


Airblue to buy 10 Airbus aircraft



By Our Reporter


ISLAMABAD, Aug 4: Private Indian airlines had sought permission to start operations to Pakistani destinations, Prime Minister Shaukat Aziz said here on Thursday. Speaking at the signing ceremony of a $790 million letter of intent (LoI) between French aircraft manufacturer Airbus and Pakistan’s private air-line Airblue for the purchase of 10 aircraft, the prime minister said the Indian request had been forwarded to the defence ministry for analysis and comments.

The LoI was signed by Abdellah Sbai, vice-president (sales), Airbus, and Shahid Khaqqan Abbasi, chief operating officer, Airblue. Mr Aziz hoped that Pakistan’s private airlines would also start flying to Indian destinations as there existed a huge market.

The growth of economy of air traffic by 30 per cent, Mr Aziz said, had resulted in opportunities for all airlines in the country.

Airbus will be buying eight A320-200 and two A330-200 aircraft for an estimated value of $790 million. The aircraft are expected to be delivered over a period of three-five years. In the meantime, the airline has worked out some interim arrangement.

Airblue currently operates three A320 aircraft and is the first operator of the Airbus A320 aircraft in Pakistan.

Earlier speaking at a news conference, Khaqqan Abbasi said the airline during its first year of operations airlifted 600,000 passengers and was able to capture 25 per cent of the domestic market, while maintaining 98 per cent dispatch reliability for its fleet.

The new A320 aircraft will be used for additional frequencies and destinations on domestic and regional routes, while the new A330 aircraft will be used for the newly allocated routes to the United Kingdom.



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