SpiceJet (SG, Delhi Int'l) is planning to lease in up to ten unspecified aircraft as part of its plans to participate in the Indian government's Regional Connectivity Scheme (RCS).

Chairman Ajay Singh told India's Live Mint news in an interview that the aircraft would be phased in over the next one-and-a-half years.

Flights under the RCS, aimed at stimulating traffic to India's underserved Tier II and III airports through a system of financial and operating incentives, should begin by June or July, Singh added.

While he did not identify which RCS routes SpiceJet had applied for, the paper quoted a government source as saying they are in the northern Indian states of Punjab and Uttar Pradesh.

An LCC, Spicejet currently operates an in-house fleet of twenty-four B737-800s, two B737-700s, four B737-900(ER)s, and seventeen Dash 8-400s.

As part of its revenue diversification plans, SpiceJet is reportedly in the final stages of establishing a separate subsidiary called SpiceJet Merchandise which was incorporated last year. Majority owned by SpiceJet with 99% of the shares and Singh with the remaining 1%, the firm will specialize in the sale of apparel and electronic products through retail outlets.