A team from Lisbon-based airline Hi Fly, which has ordered two Airbus A330-200s on behalf of Nepal Airlines Corporation (NAC), is scheduled to arrive in Kathmandu on October 16 to discuss technical and other issues.

The delegation will discuss aircraft specifications including seating capacity and other technical aspects, said NAC Managing Director Sugat Ratna Kansakar. Besides holding technical discussions, Hi Fly officials will hand over the bill of warranties, a full warranty bill of sale covering the aircraft, said Kansakar. 

According to NAC, the first of the two wide-body planes is expected to arrive in Nepal in May 2018, and the second one by June. The visiting officials will finalize the exact delivery date, he said. Meanwhile, a Nepali official is slated to visit Airbus headquarters in Toulouse, France to inspect the aircraft ordered by NAC. The date has not been finalized. The Airbus A320, A350, A330 and A380 are manufactured in Toulouse.

NAC has selected a consortium led by US-based AAR Corp to supply the planes. AAR Corp has formed a special purpose vehicle led by Hi Fly. The national flag carrier has signed a $209.6-million contract with the consortium. 

Last June, NAC transferred $79 million into the escrow account held by Norton Rose Fulbright in Europe as advance payment for the two wide-body aircraft. The total payment is 35 percent of the cost of the jets.

NAC has borrowed Rs24 billion from the Citizen Investment Trust (CIT) and the Employees Provident Fund (EPF) to buy the planes. 

Sales negotiations of Boeing slated for tomorrow

Nepal Airlines Corporation (NAC) is scheduled to hold negotiations to sell its vintage Boeing 757 on Wednesday. It has slashed the asking price for the plane to $1.4 million after receiving no offers.

Once the negotiation price is finalized, it will be tabled at the NAC board for its approval, said Managing Director Sugat Ratna Kansakar.

Last April, the carrier put one of its two Boeing 757s up for sale with a minimum price of $1.71 million. However, there were no takers even after publishing two consecutive auction notices. 

NAC then issued a notice in June for direct negotiations for the sale of the 757 named Karnali bearing registration number 9N-ACA. Still nobody came, and the airline was forced to extend the last date.

Eventually, five companies (US-based Avion Systems, Himalaya Aviation Consultant, TBI Group Nepal, BB Airways and Israel-based APS Airparts, Services and Supplies) and two individuals (Janardan Man Dangol and Anu Manandhar) showed interest to hold negotiations.

The Boeing 757 has been sitting outside the NAC hangar at Tribhuvan International Airport since April 2016 following the corporation’s move to phase out its Boeing fleet.