NEW DELHI, Jan 13 (Reuters) - Indian budget carrier SpiceJet
said on Friday it had agreed to buy 100 new MAX 737
aircraft from Boeing, with an option for 50 more, ramping
up its fleet as it targets expansion in the world's fastest
growing aviation market.
SpiceJet said it had signed a deal for buying up to 205
planes from Boeing - worth up to $22 billion at list prices -
but the announcement includes 55 jets already announced in a
2014 deal and the possible follow-on order of 50 more.
"As part of this transaction have they (Boeing) not only
been kind enough to give us good commercial terms but have
worked hard to reduce the maintenance cost of the aircraft going
forward," Ajay Singh, SpiceJet's chairman, told a news
conference in New Delhi.
A source told Reuters on Thursday that SpiceJet was set to
announce an order for as many as 100 new planes.
Singh said the purchase rights include an option to buy
wide-body aircraft for long haul journeys as the airline
considers launching low-cost flights over long distances.
The deal is a welcome boost for Boeing in India, where
SpiceJet is the U.S. company's only major customer among the
budget carriers now dominating the country's air industry.
Indian airlines such as the biggest, InterGlobe Aviation's
IndiGo, as well as GoAir and SpiceJet have ordered
hundreds of new planes as they rush to win a slice of the boom
in demand for air travel.
SpiceJet has about 13 percent of the Indian air passenger
market, behind market leader IndiGo, Jet Airways and
state-run Air India.
(Reporting by Aditi Shah; Writing by Tommy Wilkes; Editing by