Press Esc to close
Thursday 01 September 2016
News updated at 8:15 AM IST
Weather
Max: 21°C
Min : 25°C
In Bengaluru
Cloudy sky

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
Film director Nitya Mehra, actor Sidharth Malhotra and actress Katrina Kaif during promotion...

Film director Nitya Mehra, actor Sidharth Malhotra and actress Katrina Kaif during promotion...

Spectators watch play between Stan Wawrinka, of Switzerland, and Fernando Verdasco, of Spain...

Spectators watch play between Stan Wawrinka, of Switzerland, and Fernando Verdasco, of Spain...

A stagehand gestures after checking lights backstage before the start of a play inside a theatre...

A stagehand gestures after checking lights backstage before the start of a play inside a theatre...

A view of historical ridge reflected in rain water after heavy rainfall in Shimla on Tuesday...

A view of historical ridge reflected in rain water after heavy rainfall in Shimla on Tuesday...

A PAC recruit of 23rd battalion jubilates with his mother after their passing out parade in...

A PAC recruit of 23rd battalion jubilates with his mother after their passing out parade in...

Prime Minister Narendra Modi with US Secretary of State John Kerry at a meeting in New Delhi...

Prime Minister Narendra Modi with US Secretary of State John Kerry at a meeting in New Delhi...

A labourer works at the construction site of a metro rail station in Kolkata...

A labourer works at the construction site of a metro rail station in Kolkata...

Masked protesters shout slogans at a protest march during a strike, after curfew was completely...

Masked protesters shout slogans at a protest march during a strike, after curfew was completely...

An Ambulance passes through a water logged road near AIIMS hospital after rains in New Delhi...

An Ambulance passes through a water logged road near AIIMS hospital after rains in New Delhi...

Children play on pontoons as clouds gather over the banks of the river Ganga in Allahabad...

Children play on pontoons as clouds gather over the banks of the river Ganga in Allahabad...

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