Boeing offers Air India compensation for B787s delays
Boeing has reportedly offered an interim compensation of USD45 million in cash to Air India for delays in delivery of the B787 (Financial Express, 12-Jul-2011). This reportedly represents 5% of the USD900 million the carrier had demanded from Boeing. Air India has reportedly communicated the Boeing proposal to the Indian government. Air India is reportedly receiving B787 equipment on the contracted price of USD90 million. The list price for the B787-8 is USD185.2 million, according to Boeing. Air India has reportedly decided to deploy B787 equipment on short and medium-haul routes and is deciding on international sectors it could deploy them. The airline is expected to take delivery of four B787s by the end of the current year.