§ Mr. Edward Lyons
asked the President of the Board of Trade whether he has approved the purchase by the British Overseas Airways Corporation of a Boeing 707 aircraft formerly used by British Eagle International Airlines.
§ Mr. Crosland
Yes. A likely shortage in B.O.A.C.'s passenger capacity over the next few years, on routes for which this type of aircraft is well suited, has recently become apparent; and B.O.A.C. sought my approval to their taking the opportunity to buy, for delivery early next year, a Boeing 707 from a United Kingdom financial institution which had previously leased this aircraft to British Eagle. The cost of about £4 million will be fully offset by reductions to be made elsewhere in B.O.A.C.'s approved investment programmes for this year and next. No additional public expenditure will therefore be involved.