AI's 787 dreams grounded yet again

Plans of acquiring the long-delayed Dreamliner jets deferred again, as sources claim Boeing is unwilling to pay the compensation of $840 million for a two-year delay as demanded by Air India

India's hope of travelling in comfort by the Boeing 787 Dreamliner, the super-efficient jumbo jet made by the US-based Boeing Commercial Airplanes will have to wait as plans have been delayed yet again.



The national carrier's plans of buying the passengers jets will have to brave further storms, as there is a delay in the delivery owing to disagreements over payment between the two parties, claimed inside sources.

In the year 2006, Air India ordered 27 Dreamliners as part of a plan to buy 68 passenger jets worth about $8.1 billion from Boeing. The aircrafts were scheduled to be delivered in 2009, but later shifted to 2010 and now the delivery date has been shifted to the fourth quarter of 2011.
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Owing to the delay in the process of delivery Air India authorities are asking for a compensation of about $840 million.

"Air India and Boeing are disagreeing on the terms of compensation. Boeing officials are not comfortable with coughing up $840 million as the compensation amount," said a civil aviation ministry official, on condition of anonymity.

Sources claim that till the time Boeing and Air India do not reach common ground, travelling by the jets will be a distant dream. Speaking to MiD DAY, an Air India spokesperson said, "The government of India and the Civil Aviation Minister including top management at Air India are holding talks with Boeing to finalise the amount of compensation."

Meanwhile, Boeing's India president Dinesh Keskar refused to reveal the compensation amount and the date of delivery of the Dreamliners. "We understand that there has been a delay in the delivery of the jets. We are working on the same but at this time I cannot tell you the exact amount of the compensation asked."

Hasan Ali Link
According to the Enforcement Directorate (ED), Hasan Ali Khan who is in the custody of the CBI for money laundering allegedly earned a commission of US $ 11.5 million for a Boeing deal with Air India in 1986-87.

787 Dreamliners
Boeing 787 Dreamliners are very fuel-efficient jets using 20 per cent less fuel for comparable missions than today's similarly sized airplane. The jets will also travel at similar speeds that of the Mach 0.85. The aircraft also has the highest cargo capacity.

AiR India's Strength
Air India employees more than 42,000 people with a huge fleet of more than 100 aircrafts with about 4,400 cabin crewmembers and about 2,000 pilots.

Rs 40,000 crore
Total loss the national carrier has incurred till date

Rs 13,300 crore
Losses the airline has incurred since its merger with Indian Airlines in 2007