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Vienna Airport says Vueling aims to deploy up to 8 aircraft from Vienna

VIENNA, Jan 16 (Reuters) - Vienna Airport said on Tuesday IAG, owner of Spanish-based airline Vueling, had promised to deploy up to eight aircraft from Vienna and use the airport as a base for expansion into eastern Europe after taking over insolvent airline Niki.

The agreed sale of failed Air Berlin (LSE: 0GPE.L - news) 's Austrian unit Niki to British Airways parent IAG could unravel after an Austrian court decided that its insolvency proceedings have to move to Austria from Germany and start from scratch.

"We could live well with Vueling," Vienna Airport Co-CEO Julian Jaeger said at a news conference in Vienna. "Vueling said it would deploy seven to eight aircrafts in Vienna (and that) they want to expand to eastern Europe."

(Reporting by Kirsti Knolle; Editing by Shadia Nasralla)