Gulf Air will buy or lease four new Airbus aircraft by early 2008 and eight others by the beginning of 2010, the airline's chief executive said on April 17.

"It is our goal to terminate (complete) that by 2009, early 2010 ... We're looking at the best solution in terms of cost. Both options are on the table," Andre Dose told reporters.

Gulf Air has said it plans to sell its nine Boeing aircraft to create a streamlined, all-Airbus fleet of 28 planes, as part of a plan to cut costs at the loss-making airline.

The first four new planes will be A321 aircraft, which seat 170 people, and the eight others will be A330 aircraft, two seating 215 people and the others 293 people, Dose said.

He did not say how much money he expected to make from the Boeing sale.

Gulf Air said part of a 310 million dinar (US$822 million) cash injection would be used to improve the fleet.

The airline, jointly owned by Oman and Bahrain, is cutting 25 percent of its workforce, or about 1,500 jobs, to save money. Dose said Gulf Air was losing more than US$1 million a day.

"Including other costs such as financing, the figure would even be substantially higher," he said in a statement.