Press Esc to close
Saturday 01 August 2015
News updated at 1:07 PM IST
Weather
Max: 29.9°C
Min : 21°C
In Bengaluru
Generally 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
A farmer plants saplings in a paddy field on the outskirts of in Agartala...

A farmer plants saplings in a paddy field on the outskirts of in Agartala...

Leopard caught in forest department cage at CSIR premises, Manadavadi Road in Mysuru on Friday...

Leopard caught in forest department cage at CSIR premises, Manadavadi Road in Mysuru on Friday...

Actress Chitrangada Singh during the inauguration of a diamond showroom in Bengaluru on Friday...

Actress Chitrangada Singh during the inauguration of a diamond showroom in Bengaluru on Friday...

Artists from Gujarat perform a dance at the Travel and Tourism Fair at Netaji Indoor Stadium...

Artists from Gujarat perform a dance at the Travel and Tourism Fair at Netaji Indoor Stadium...

A woman prays as others take holy dips at Sangam, the confluence of the Rivers Ganges...

A woman prays as others take holy dips at Sangam, the confluence of the Rivers Ganges...

School children pay tribute to former President APJ Abdul Kalam in Gurgaon on Friday...

School children pay tribute to former President APJ Abdul Kalam in Gurgaon on Friday...

Securitymen guard parliament house during the monsoon session in New Delhi on Friday...

Securitymen guard parliament house during the monsoon session in New Delhi on Friday...

Congress Vice President Rahul Gandhi meeting agitating students of FTII...

Congress Vice President Rahul Gandhi meeting agitating students of FTII...

Dukhtaran-e-Millat activists holding placards during their protest against the hanging of Yakub...

Dukhtaran-e-Millat activists holding placards during their protest against the hanging of Yakub...

Policemen in action after a clash between BJP workers and AIIMS coordination committee members...

Policemen in action after a clash between BJP workers and AIIMS coordination committee members...

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