Friday, December 23, 2016

Tata board wants Vistara to stop premium economy if it remains unviable

New Delhi: Is premium economy becoming a trouble for Vistara? The board of Tata Sons, the largest stakeholder in the airline, certainly feels so and have even asked the airline management to discontinue the service if it proves to be unviable.

In a board meeting held in June where Vistara CEO Phee Teik presented the company’s performance to the directors of Tata Sons, the airline was asked to review the viability of a three class configuration something unique to Vistara in Indian skies.

According to the minutes of meeting submitted by ousted chairman Cyrus Mistry to the Company Law Tribunal and reviewed by Business Standard, Nitin Nohria, a non-executive director in the Tata Sons board said that the airline should put down a timeline of one year after which it should be discontinued if it remains unviable. Nohria said that Vistara remains the only airline which continues to believe there is business from three segments.
23/12/16 Arindam Majumdar/Business Standard

0 Comments: