Tata Group-Led Air India To Buy 500 Jets From Boeing, Airbus.

Tata Group-led Air India is reportedly on the verge of making historic orders for as many as 500 aircraft. These 500 aircraft are being purchased from both Airbus and Boeing, according to a report, as Air India gets ready to rebrand under the Tata Group.

A report claims that Air India has placed an order for up to 400 narrow-body aircraft and 100 or more wide-body aircraft, including numerous Airbus A350s and Boeing 787 and 777s.

This contract, one of the largest in recent memory, "may reach $100 billion at list prices, including any options, and rank among the greatest by a single airline in volume terms, overshadowing a combined order for 460 Airbus and Boeing jets from American Airlines over a decade ago," the report said.

The blue-chip company Tata Group reportedly placed an order to purchase Boeing and Airbus aircraft for Air India at the same time as Air India and Vistara announced their merger. The purpose of the merger was to expand the full-service airline to increase its visibility in the aviation industry.

According to Report, Air India may easily be hailed as the nation's largest international carrier and second-largest domestic carrier as a result of the entire merger and historic deal. Before Air India and Vistara merged, there were also rumours that Vistara as a name may be completely dropped and the entire fleet of aircraft would rebrand as Air India.

According to the report, Air India's 500-jet order would replace and increase fleets in the airline industry, which is the fastest expanding in the globe. Additionally, it would help the government achieve Prime Minister Narendra Modi's $5 trillion economic growth target.

Source: REUTERS