Kingfisher may ally with HAL for MRO

Liquor baron Vijay Mallya-promoted Kingfisher Airlines is in talks with public sector aerospace company Hindustan Aeronautics (HAL) for setting up a maintenance, repair and overhaul (MRO) facility for its fleet.

Kingfisher Airlines Chairman and Managing Director Vijay Mallya also hinted that he is interested in participating in the proposed $100 million MRO of European aircraft manufacturer Airbus Industrie.

"We are in talks with HAL for an MRO. In fact, HAL is a potential partner for a maintenance and repair facility. However, nothing has been finalised," Mallya said.

Sources said Kingfisher and HAL are also scouting for an overseas aircraft engineering partner to set up this MRO.

"Kingfisher is in talks with foreign MRO companies, including Lufthansa Technik, Gulf Aircraft Maintenance and SR Technics. But, Kingfisher-HAL duo has not yet finalised the partner," sources said. They pointed out that the proposed MRO would be completed by 2008-end. The location could be either in Bangalore or Hyderabad, they added.

Mallya, who had placed an order for 40 A320s, said Kingfisher is keen on picking up stake in the proposed $100 million Airbus MRO project and ruled out an exclusive repair facility for ATR family aircraft.

Kingfisher had placed an order for 35 ATR 72-500 aircraft for further expansion.