Wel ComeWel Come

Wel ComeWel Come

AIR INDIA’S TROUBLE FIGHT

Presented by :- Abhay Kumar Singh

IB/04/01

Outline-

Origin of Air India Current Situation of AIR INDIA Graphical Representation of

Market Share AIR INDIA’S FLIGHT PLAN THE REVIVAL Plan of AIR INDIA Things to Look Farward Challeges for future Latest News/Updates

Origin of AIR INDIA

J.R.D. TATA uses his fleet for commercial purpose. Later he granted his fleet to government resulting into formation of NACIL –National Aviation

Company of India Ltd.

CMD, AIR INDIA – Arvind JadhavNumber of Aircraft –62 (+14 on order)

Flights a Day - 300

Current Situation of AIR INDIA Full service airlines have lost share market

Airlines PLF

(in % for September 2009)

AIR INDIA JET AIRWAYS KINGFISHER SPICEJET Go Air IndiGo

67.9687277.381.581.6Passenger Load Factor (PLF)

The airline carried 4.44[million passengers during 2007-2008

Current Situation of AIR INDIA(on basis of % market share)

THE REVIVAL LOG

To make Airlines profitable in 24 to 36 months.

54 Domestic flights of AIR INDIA to become lower cost services by December.

Hive off four business units into joint ventures or subsidiaries.

Restructure Rs 16,000 crore high-cost debt into low cost debt.

Things to Look Forward By AIR INDIAThings to Look Forward By AIR INDIA

Technology Vision 20-20Technology Vision 20-20 Global airlines traffic to increase in lieu of the Global airlines traffic to increase in lieu of the

good performancegood performance Allowing of Private Participation & FDIs in Allowing of Private Participation & FDIs in

construction & maintenance of air traffic construction & maintenance of air traffic infrastructure. infrastructure.

Challenges for AIR INDIAChallenges for AIR INDIA InfrastructureInfrastructure With the advent of LCC, other airlines too With the advent of LCC, other airlines too

reducing their price significantlyreducing their price significantly Costs pressures (ATF Prices & Staff Cost)Costs pressures (ATF Prices & Staff Cost)

Path forwardPath forward

Naseem Zaidi DG(DGCA): Forms expert panel to forecast trends in aviation

industry

AI's management has proposed to launch IPO in 2012 to raise fresh capital.

Government is likely to come out with a detailed financial package on August 25. (NC)

AI would launch a low-cost domestic service in December, -CMD Arvind Jadhav

News and Updates :-

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