Asia > Southern Asia > Sri Lanka > Sri Lanka to receive ten Airbus aircraft

Sri Lanka: Sri Lanka to receive ten Airbus aircraft

2013/04/29

Sri Lanka is set to re-fleet its loss-making national carrier with 10 new Airbus aircraft in a transaction that could be worth over US$2.5 billion, a government official and a media statement said on Sunday. SriLankan Airlines will as well fasten an aircraft maintenance facility at the country's newest international airport in the south of the country as part of the transaction with Airbus, the official said, asking not to be named.

“There would be a financing package that will go along with this re-fleeting,” said the official. “The aircraft would be acquired over the next seven years.”

The privately run Colombo-based Sunday Times newspaper said Sri Lanka's cabinet approved additional than US$2.5 billion for the re-fleeting program of SriLankan Airlines which is set to retire its aging fleet of long-haul aircraft.

The paper said the government approved an initial payment of US$80 million for the re-fleeting of the carrier which made a loss of US$164 million last year.

It will get six new Airbus A330-300 and four new A350-900 aircraft, amount fitted with Rolls Royce engines, the newspaper said.

There was no immediate comment from SriLankan Airlines or the aviation minister Priyankara Jayaratne. Jayaratne is reported to have proposed the re-fleeting transaction with Airbus.

The carrier operates a fleet of 22 aircraft — six A340-300 aircraft, seven A330-200/243, eight A320-200 and one De Havilland Twin Otter.

SriLankan Airlines ended its management arrangement with Emirates of Dubai in 2008 and since again has been making substantial losses.

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