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The first aircraft will arrive by April, 2018

AirbusNepal Airlines Corporation (NAC) on Friday signed an agreement with US-based AAR Corp to procure two Airbus A330-200 aircraft.

As per the agreement, NAC will take delivery of the first aircraft by April 2018.

NAC Managing Director Sugat Ranta Kansakar and Deepak Sharma of AAR Corp signed the agreements on behalf of their respective institutions in Kathmandu.

The two aircraft will cost NAC US$ 209.6 million (around Rs 21.9 billion).

NAC and AAR Corp had signed a preliminary MoU for aircraft procurement on January 27. As per the MoU, NAC had sent advance payment of US$ 1 million to AAR Corp on February 15. The board of directors of NAC had approved a proposal to procure two wide-body aircraft on January 15. NAC had already signed an agreement with Employees’ Provident Fund to finance aircraft procurement.

Ten international companies had participated in international bidding to supply two wide-body aircraft to the NAC. AAR Corp had quoted the lowest price.

AAR Corp is delivering the aircraft produced by Airbus for Portuguese aircraft charter company Hi Fly. The US company bought the aircraft before they were delivered after Hi Fly faced financial problems. Both the aircraft are still at the Airbus factory in Tolouse, France.

Both the aircraft have 280 seats with 16 seats designated for business class passengers.
NAC plans operate the aircraft to Dammam of Saudi Arabia, Seoul of South Korea, Tokyo of Japan and Sydney of Australia, among others.

Earlier in June 2013, NAC had signed agreement with Airbus to procure Airbus A320-300 aircraft. The first aircraft landed in Kathmandu on February 8, 2015, while the second aircraft joined NAC’s fleet three months later.

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