Monday 21 April 2014
News updated at 1:04 PM IST
Weather
Max: 35.5°C
Min : 23.4°C
In Bangalore
Partially cloudy

Air India losing Rs.404 crore per month

New Delhi, Dec 20 , 2012 (IANS)

 National carrier Air India suffered an average net loss of Rs.404 crore per month for the March-October period of 2012.

This was found out when Civil Aviation Minister Ajit Singh Thursday reviewed the functioning of the national carrier.

An audit of the airline's books showed that the company had a cash inflow of Rs.1,348 crore per month, while the outflow due to high fuel cost was Rs.1,752 crore, leading to the cash deficit.


"Though there is an overall improvement in the performance of Air India, it is important that the revenue generated should meet the costs incurred," the minister said in a statement.

The minister asked Air India to go into minute operational details to cut the costs, including those incurred on overseas offices, salaries, fuel and office expenses.

"The minister directed to examine the necessity of deputing staff abroad for assisting Air India, embassies for ticketing, since now-a-days these facilities are available online," the statement said.

The minister asked Air India to negotiate with public sector oil marketing companies (OMCs) for the same discount as they are providing to international and domestic carriers.

He directed the airline's management that of the Rs.2,000 crore which Air India is to receive next month in the form of equity under budgetary support, Rs.500 crore must be utilised to clear all arrears of the employees.

The airline's management was told to explore possibility of operating to Bali and Istanbul on the newly acquired Boeing 787 Dreamliner aircraft.

Air India, which has three Dreamliners, is expecting five more by the end of the current fiscal and plans to deploy them to Sydney, Melbourne and Singapore.

Go to Top

Photo Gallery
Spanish bullfighter Curro Diaz performs with a Gavira ranch fighting bull during a bullfight ...

Spanish bullfighter Curro Diaz performs with a Gavira ranch fighting bull during a bullfight ...

Dressed for the occasion, Michelle White poses for photographs as she makes her way along ...

Dressed for the occasion, Michelle White poses for photographs as she makes her way along ...

Dressed for the occasion, a dance group from Rolling Meadows High School in Rolling Meadows ...

Dressed for the occasion, a dance group from Rolling Meadows High School in Rolling Meadows ...

Dressed for the occasion, Ella Morton, right, and others pose for photographs along New York's ...

Dressed for the occasion, Ella Morton, right, and others pose for photographs along New York's ...

Trent Morrow of Sydney, Australia, also know as “Marathon Man” laughs as Andrea Olivo ...

Trent Morrow of Sydney, Australia, also know as “Marathon Man” laughs as Andrea Olivo ...

Ron McCracken of Dallas pays his respects at a makeshift memorial honoring to the victims ...

Ron McCracken of Dallas pays his respects at a makeshift memorial honoring to the victims ...

A relative of a passenger aboard the sunken ferry Sewol prays as she waita for her missing loved ...

A relative of a passenger aboard the sunken ferry Sewol prays as she waita for her missing loved ...

In this April 12, 2014 photo, a man walks past a building that collapsed due to the heavy ...

In this April 12, 2014 photo, a man walks past a building that collapsed due to the heavy ...

In this April 12, 2014 photo, children play soccer near a colonial building in Havana, Cuba.

In this April 12, 2014 photo, children play soccer near a colonial building in Havana, Cuba.

Relatives of passengers aboard the sunken ferry Sewol wait for news on their missing loved ones ...

Relatives of passengers aboard the sunken ferry Sewol wait for news on their missing loved ones ...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bangalore - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523