Air-India Express (AIE), a wholly owned subsidiary of India's flag carrier Air-India, is leasing its first Next-Generation 737-800 from Boullioun Aviation Services. Inc. Air-India Express, a low-cost operator, will initially fly from the southern Indian State of Kerala and the cities of Mumbai and Delhi to destinations in the Gulf from April 2005 and gradually expand services as more airplanes are inducted in the Air-India Express fleet.