Boeing Co. will invest $185 million in facilities in India and source 85 billion rupees in products and services over a period of 10 years, India's civil aviation minister said on Wednesday.
The Chicago-based aerospace company will spend $100 million on a repair, maintenance and overhaul facility and $75 million on a pilot training facility, with a further $10 million on other facilities, Praful Patel told a news conference.
State-run Air-India also on Wednesday finally placed a firm order with Boeing for 68 aircraft.
"The introduction of these aircraft will allow Air-India to expand and modernise its fleet, effect cost savings and add new long-range routes," Air-India Chairman V. Thulasidas said at the joint news conference.
The Indian cabinet in December approved Air-India's plans to buy up to 68 aircraft from Boeing, subject to final talks on price. The proposal was referred to a ministerial group to work out details, including a price reduction.
The aircraft are valued at more than $11 billion in total at list price, according to a statement from Boeing. When Air-India's board approved the purchase of 50 aircraft last April, the deal was valued at $6.9 billion.
Reuters
The Chicago-based aerospace company will spend $100 million on a repair, maintenance and overhaul facility and $75 million on a pilot training facility, with a further $10 million on other facilities, Praful Patel told a news conference.
State-run Air-India also on Wednesday finally placed a firm order with Boeing for 68 aircraft.
"The introduction of these aircraft will allow Air-India to expand and modernise its fleet, effect cost savings and add new long-range routes," Air-India Chairman V. Thulasidas said at the joint news conference.
The Indian cabinet in December approved Air-India's plans to buy up to 68 aircraft from Boeing, subject to final talks on price. The proposal was referred to a ministerial group to work out details, including a price reduction.
The aircraft are valued at more than $11 billion in total at list price, according to a statement from Boeing. When Air-India's board approved the purchase of 50 aircraft last April, the deal was valued at $6.9 billion.
Reuters
