Air India seeks to defer hundreds of jet deliveries, sources say

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June 12 (Reuters) - Air India is looking to defer the delivery of hundreds of jets on order from Airbus and Boeing as it cuts costs, two people familiar with the matter said, confirming a Bloomberg report.

Airbus AIR.PA and Boeing BA.N declined comment and Air India was not immediately available for comment.

In 2023, Air India placed what was then a record order for a total of 470 jets from Airbus and Boeing to accelerate the rebirth of its brand under new majority owners Tata Group. It also leased a further 25 jets.

The airline now faces mounting losses and operational disruptions linked to the Iran conflict, compounding the effects of Pakistan's airspace ban and a crisis of confidence following a fatal Boeing 787 crash a year ago.

Air India last month cut flights on several routes, citing airspace restrictions and record jet fuel prices.

Bloomberg News reported earlier that Air India is looking to defer deliveries, cut flights and postpone expansion plans after Tata Group instructed it to focus on reducing its record losses.

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