NEW DELHI--Boeing Co. (BA) has agreed to compensate Air India
Ltd. for losses incurred by the state-run carrier because it had to
stop flying its 787 Dreamliner jets, India's civil aviation
minister, Ajit Singh, said Friday.
"Air India has held some preliminary discussions with Boeing on
this matter," Mr. Singh told reporters on the sidelines of an
industry event.
He didn't disclose the size of the compensation that was being
discussed, saying "details are still being worked out."
He reiterated that the Indian carrier will start to fly the
Dreamliner planes on domestic routes from the middle of this
month.
Air India--one of Boeing's initial customers for the
Dreamliner--grounded all six of its 787s in the middle of January
after being asked to do so by India's director general of civil
aviation.
The carrier was among eight Dreamliner operators worldwide that
stopped flying a total of 50 787 jets after battery malfunctions on
two of the planes operated by All Nippon Airways Co. and Japan
Airlines Co. (9201.TO) led to safety concerns. On Saturday,
Ethiopian Airlines became the first operator to restart commercial
flights using the Dreamliner.
Write to Santanu Choudhury at santanu.choudhury@dowjones.com
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