Tuesday June 5, 01:30 PM

Paramount to place $2 bln Embraer order

MUMBAI (Reuters) - Paramount Airways is likely to place an order for 40 Embraer planes valued at about $2 billion as it scales up operations in the fast-expanding market, a senior company official said on Tuesday.

"We are looking at ordering 40 aircraft fairly soon, with delivery starting in end-2008 and going up to 2011," Managing Director M. Thiagarajan said.

Paramount operates five aircrafts and is awaiting delivery of 15 more, he said.

Some newspapers said the premium service carrier, which operates in south India, was likely to sign a deal with Brazil's Embraer on Tuesday or Wednesday, to coincide with trade talks between India and Brazil.

The domestic aviation market is forecast to grow at more than 20 percent annually over the next four years.