Bombardier announced today a letter of intent for up to 50 additional Q400s for SpiceJet. This includes 25 Q400s with a purchase option for an additional 25 aircraft.
Fred Cromer, President of Bombardier Commercial Aircraft, said “we are proud to sign this agreement as it is another demonstration of the Q400’s superiority in the turboprop market. When finalized, the repeat order will increase the Q400 aircraft fleet in the fast-growing market in the Asia-Pacific region and will launch the high density 86 passenger model of the Q400 in India. This is also compelling evidence that the demand for turboprop aircraft is healthy in short-to medium haul market that can’t economically support jets that are more expensive to operate.”
“The Q400 is the largest turboprop aircraft available on the market and the 86 seat configuration will support SpiceJet to develop its domestic operations from Tier-2 and Tier-3 cities across India,” said Francois Cognard, VP of Sales for South-Asia and Australasia. “Our continued partnership sets the stage for a brighter future, and years of profitable and efficient operations for SpiceJet.” SpiceJet currently operates 20 Q400 aircraft in a 78 seat configuration.
Ajay Singh, Chairman and Managing Director of SpiceJet said “I am delighted that we will be acquiring 50 Q400 planes. SpiceJet operates India’s largest regional fleet and is the only organized operator in this space. The acquisition will help us further increase connectivity to smaller towns and cities and help realise Prime Minister Narendra Modi’s vision of ensuring that every Indian can fly. Our passengers will be able to fly to more cities and help expand India’s already booming aviation market.”
RN Choubey, Secretary of the Ministry of Civil Aviation in India congratulated SpiceJet on the announcement. “This latest announcement by SpiceJet, which has been an enthusiastic supporter and participant of India’s regional connectivity scheme, will help further take forward the government’s vision to provide air connectivity to the common man. It is also a testament to the huge demand for air travel in the smaller towns and cities of India.”
Based on list prices, this order could be valued at $1.7 billion, and bring SpiceJet’s Q400 fleet to 70 aircraft.