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Boeing offers compensation to Air India over repeated B787 grounding

8 Oct 2014 by Clement Huang

Boeing’s B787-8 Dreamliner continues to make headlines for the wrong reasons, as reports have emerged that the US plane manufacturer has offered Air India US$24 million compensation due to repeated grounding of the aircraft.

Air India placed its first order for 27 Dreamliners back in 2006, in order to modernise its fleet, ensure fuel efficiency and lower operating costs. It has currently taken delivery of 14 aircraft.

According to The Hindustan Times, Air India reported 318 cases of B787 delays during the first half of the year and has attributed these to mechanical faults with the aircraft.

Air India's business class product on the B787-8 Dreamliner

According to the minutes taken at an Air India commission meeting: “Boeing has agreed to a compensation of US$24 million, which is approximately half of the compensation asked by Air India”.

The state-run airline believes that it should be compensated US$48 million based on the incurred costs of servicing the aircraft during grounding, as well as the investment that has gone into pilot training and commercial aspects, according to an Air India official.

For more information, visit boeing.com and airindia.in

Clement Huang

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