GE partners Air India, eyes $ 1 B revenue by 2010
Tuesday, 20 February 2007, 18:30 IST
Printer Print Email Email
New Delhi: Global major General Electric (GE) will deliver its eco-friendly engines to Air India for its new Boeing 777 and 787 fleets. GE is also eyeing revenues of $1 billion annually in India by 2010. Both the companies signed a memorandum of understanding at a press conference here for the purchase of GE engines, which valued at more than $2.2 billion. According to GE officials, this partnership is a significant step towards its aim of achieving $8 billion revenue target by 2010. "With nearly $2 billion in revenues in India today and a target of $8 billion by 2010, GE's commitment to India is deeper and stronger than ever before," John Rice, GE vice chairman and president of GE Infrastructure said. "This deal is going to be beneficial for our stocks and our shareholders and investors in the long run," Rice added. The aircraft engines - GE90-115B and GEnx engines - are being bought by Air India to power its 15 777-300Ers and eight 787-800Lrs that the company will soon acquire. In addition, Air India has placed orders for GEnx engines to power 27 787-800 aircrafts to be delivered under its fleet acquisition deal with Boeing. "We have selected GE in delivering us the aircraft engines as we have evaluated their lifecycle potential, our expected revenues and maintenance costs, the total of which was favourable to us," said V. Thulasidas, chairman and managing director of Air India. Apart from aircraft engines, GE would also help Air India in transforming the Air India's office complex into environment-friendly, in-flight content creation and co-branding.
Source: IANS
siliconindia