SpiceJet or­ders big­ger planes to fly con­gested routes

Hindustan Times ST (Jaipur) - - World - Tarun Shukla tarun.s@livemint.com

SpiceJet said on Mon­day it has signed an agree­ment to buy a stretched ver­sion of Boe­ing 737 Max planes called Max 10 that can fly more pas­sen­gers and help over­come slot con­straints at some lo­cal air­ports.

At the on­go­ing Paris Air Show, the air­line said it has signed a mem­o­ran­dum of un­der­stand­ing for 40 737 MAX air­planes which are val­ued at ap­prox­i­mately $4.74 bil­lion at cur­rent list prices. These in­clude 20 new or­ders for the 737 MAX 10 and con­ver­sions of 20 of the low-cost car­rier’s 737 MAX 8 air­planes of its cur­rent or­der to 737 MAX 10s.

Air­lines typ­i­cally pay less than 3% to book these planes and closer to date of de­liv­ery sell these and lease them back for their use.

“We are proud to be a part of the launch of the 737 MAX 10 and to be the first air­line in In­dia to or­der the new­est ver­sion of the 737, which will en­able us to max­i­mize rev­enue on our dense routes while hav­ing a lower unit seat cost,” Ajay Singh, CMD, SpiceJet.

Boe­ing 737 Max 10 is about five­and-a-half feet longer than its cur­rent 737 Max 9 and can seat be­tween 180 and 230 pas­sen­gers com­pared with Max 9’s 178 seats. The plane is likely to be in ser­vice by 2020. It will com­pete with Air­bus’s sim­i­lar plane which can seat 240 pas­sen­gers.

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