Indian, Airbus, Jupitor Aviation sign term sheet for MRO

Mumbai, May 10 (UNI) In a first of its kind in the Indian aviation industry, Indian today signed a tripartite term sheet, leading towards the formation of the proposed joint venture MRO (Maintenance, Repair and Overhaul) with the Airbus and Bangalore-based Jupiter Aviation.

Jupiter Aviation, is the exclusive strategic partner to EADS in India for MRO and life cycle support of commercial aircraft.

''This is first of its kind in Indian aviation industry. This would be a win-win situation for both the Indian and the Airbus, whose ever-growing customer base would be benefited out of this venture,'' Indian CMD V Trivedi said after signing of the document.

Terming the move as another step in the Airbus commitment to India, Airbus Executive Vice President Marketing and Contract said, '' This joint venture would be fully supported by Airbus and this would help Airbus fulfill the MRO obligation arising out of Airbus aircraft to Indian.'' As per the term sheet, the MRO venture would begin its activities in Delhi with two A320 hangers, which will be followed by another hanger.

The MRO facility would cater to major maintenance of A320 fleet of Indian followed by checks, maintenance of ATR and other A320 fleet in India.

The phase two expansion would cater to widebody and other aircraft types. The joint venture will have the facilities to cater to over 200 aircraft of both single aisle and widebody, belonging to various customers from India and abroad.

According to Jupiter Aviation CEO and MD Ravi Narayan, ''We are proceeding on schedule for operating the operations by October this year. This would be the first biggest and the most comprehensive MRO in India in this part of the world.'' A comprehensive business plan has been worked out to meet the goals and the same is agreed by the joint venture partners. The two phases will incur at cost of Rs 150 crore each.

The JV assumes significance in view of the Airbus ambitious plans in India.

The Airbus plans to invest over one billion dollars (Rs 4,100 crore) in the next 10 years in Indian aviation industry.

The investment will be in various domain areas. There will be a training centre for flight and cabin crew training, at an investment of 300 million dollars; an aero-structure 'design and build' centre costing another 300 million dollars; an information system and technical publications centre which will require 150 million dollars; an engineering centre with focus on analysis and design worth 250 million dollars and a research and technology centre to initiate projects with universities and research laboratories for another 5 million dollars.

The training centre will have four simulators to start with.

Four more may be added over the next five years at an additional investment of about 300 million dollars. It will cater to Airbus's requirements for all of Asia.

There will also be an exclusive design centre in Bangalore, where Airbus plans to undertake design analysis, systems avionics and other IT related work.

UNI