Two years ago, SpiceJet was fighting for survival as creditors retreated and oil companies refused to refuel its airliners.Today , the world's biggest planemakers are wooing the recovering Indian budget carrier for a potential blockbuster order worth about $12 billion.
Boeing Co. and Airbus Group SE are locked in a battle to supply SpiceJet with as many as 100 planes, and both are offering aggressive discounts in negotiations that have intensified in the past few months, according to people with direct knowledge of the talks, who asked not to be identified as the discussions are private.
A win would be key for Boeing, with the U.S. manufacturer lagging behind its Euro pean rival in India's burgeoning budgetairline market, one of the key sources of industry growth globally . Segment leader IndiGo and the local units of Singapore Airlines Ltd. and AirAsia Bhd., which fly only Airbus jets, have squeezed Boeing's prospects in a market where air travel is growing at a pace faster than in China or the U.S. "Losing SpiceJet would be a big blow to Boeing," said Amber Dubey, a New Delhi based consultant heading aerospace at KPMG. SpiceJet Chairman Ajay Singh "knows this and hence is perhaps having interesting conversations with both."
To Read the News in Full 13/07/16 Bloomberg/Economic Times
Boeing Co. and Airbus Group SE are locked in a battle to supply SpiceJet with as many as 100 planes, and both are offering aggressive discounts in negotiations that have intensified in the past few months, according to people with direct knowledge of the talks, who asked not to be identified as the discussions are private.
A win would be key for Boeing, with the U.S. manufacturer lagging behind its Euro pean rival in India's burgeoning budgetairline market, one of the key sources of industry growth globally . Segment leader IndiGo and the local units of Singapore Airlines Ltd. and AirAsia Bhd., which fly only Airbus jets, have squeezed Boeing's prospects in a market where air travel is growing at a pace faster than in China or the U.S. "Losing SpiceJet would be a big blow to Boeing," said Amber Dubey, a New Delhi based consultant heading aerospace at KPMG. SpiceJet Chairman Ajay Singh "knows this and hence is perhaps having interesting conversations with both."
To Read the News in Full 13/07/16 Bloomberg/Economic Times
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