GoAir managing director, Jeh Wadia in a press conference today announced the USD 7.2 billion (translating to INR 32,000 crores) worth transaction which has been signed with Airbus. The delivery for the 72 A320 neo aircraft will begin in 2015. “We are one of the launch customers for the aircraft,” Wadia said at the press conference.
From 2015, he expects 15 aircraft to be delivered every year. “International routes are not our focus at the moment,” he underlines naming stiff competition and high risks as his reasons for sticking with domestic operations. However he isn’t ruling out cargo operations in the future.
Meanwhile, GoAir’s previous order for 20 A320’s in 2006 has seen half its delivery and according to Wadia, the remaining 10 deliveries are expected over the next 18-24 months.
Expansion is on the cards in the months to come and he says he focus will be “Tier II and III cities and in terms of segments, business travellers from SMEs and pretty much anyone who can afford the ticket.”
