Pay more for flight meals, check-in bags

New Delhi: Airfare may get costlier for those seeking preferential seats and other add-ons over the basic minimum services provided by an airline. The government on Monday decided to “unbundle” certain services and also airlines to charge fees for each of them separately.
The services for which airline can charge passengers separately include meals, snacks, drinks other than water, check-in baggage, use of airline lounges, carriage of sports equipment and musical instruments and valuable baggage, an official statement said.
No-frill carriers charge for meals and drinks and regular full service airlines give meal free with travel.
The statement said the decision by Civil Aviation Minister Ajit Singh will facilitate airlines to offer low base fare for price sensitive travellers and at the same time offer choice to service seekers at a price.
29/04/13 Deccan Herald

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Foreign players keen on SpiceJet; AirAsia no threat: CEO

Post the Jet -Etihad deal, all eyes are set on Delhi-based SpiceJet    for a possible stake sale deal. Despite strong rumours that the carrier is in talks with Qatar Airways for the purpose, Neil Mills, the firm’s CEO has clarified that though foreign players have evinced interest in the airline, he cannot confirm any name as of now.
In an interview with CNBC-TV18, Mills said that the airline is not in active discussion with any global carrier currently and is also not in a hurry to offload stake.
He further said, if SpiceJet gets into any deal, it will be multi-faceted and that the firm is mostly looking at strategic investment, which can boost its global and domestic network
Mills does not see any threat from the proposed entry of Malaysia’s AirAsia in domestic skies. But certainly, he expects competition to get stiffer and he welcomes such an entry as it will boost efficiency of other carriers alike.
30/04/13 moneycontrol.com

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Routes, time-slots issue: COPU slams Civil Aviation Ministry

New Delhi: A parliamentary panel on Tuesday slammed the Civil Aviation Ministry for taking a "contradictory" stand on allocation of routes and flight time- slots to ensure that private airlines were not favoured at the expense of Air India.
The Committee on Public Undertakings (COPU), which had recommended a "transparent review" of route and slot allocations, said the ministry had first said such an analysis had been carried out but later held that it had no role in selection of routes by airlines.
In its report tabled in Parliament today, the COPU said it expected the ministry "to clarify their aforesaid contradictory views and apprise the Committee of the outcome of the analysis and review undertaken regarding route and slot allocations".
The report came days after the enhancement of bilateral air traffic rights with the Gulf and other nations.
30/04/13 PTI/ZeeNews

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Following Jet-Etihad deal Qatar Airways and Air Arabia may be next to invest

New Delhi: Gulf carriers Qatar Airways and Air Arabia are learnt to be next in line to invest in India after Etihad decided to pick up a 24% stake in Jet Airways for Rs 2,058 crore last week.
Qatar is learnt to be looking at investing in an existing Indian carrier with SpiceJet and GoAir being the frontrunners. IndiGo continues to tease investors with its most eligible and sought after status but has so far not shown any interest in selling stake to them.
Highly-placed sources said grounded Kingfisher Airlines also tried to woo Qatar Airways . Sharjah-based LCC (low-cost-carrier ) Air Arabia is learnt to be looking at tying up with an Indian partner for investing in a start-up like AirAsia India JV between the Malaysian budget carrier and the Tata Group.
30/04/13  Saurabh Sinha/Economic Times

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Malindo Air eyes network growth in India, China

Kuala Lumpur: Malindo Air will roll out more destinations in India following the launch of its first international route between Kuala Lumpur and New Delhi in June.
 CEO, Chandran Ramamuthy, told TTG Asia e-Daily that the airline would commence flights between Kuala Lumpur and Bengaluru, Chennai and Kolkata in the second half of 2013, subject to regulatory approval.
 He added: “We see India is a big and growing market. In terms of tourism arrivals, it is the second largest medium-haul market after China.”
 Besides ramping up seat capacity, Malindo Air’s new Indian services might pave the way for lower airfares and new outbound destinations for Indian tourists, said Grandlotus Travel Agencies managing director, K Thangavelu.
29/04/13 S Puvaneswary/TTG Asia

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Nigerian held at airport for not declaring USD

Mumbai: A Nigerian was arrested from Mumbai international airport for allegedly not declaring that he was carrying USD 80,000 with him, a customs official said today.
As per rule, passengers carrying above USD 5,000 have to give declaration before the authorities.
The man, identified as Bello Almou, was frisked on Thursday after he passed through the green channel at the Chhattrapati Shivaji Terminus airport, the official said.
29/04/13 PTI/ZeeNews

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What made Tata group return to aviation?

A good partner and untapped potential in the low-cost sector made the Tata group re-enter the aviation space, although the industry remains tough, and the competition cut-throat, according to a company official.
"If you look at the low-cost carrier space, it is huge and it has not been adequately tapped. So, the opportunity is there," Tata group brand custodian and spokesperson Mukund Rajan said, when asked what made the group change its stand on re-entering the sector.
There are many people from many cities wanting to travel but are not receiving the services, and that offers immense potential, he said.
The Tata group, which pioneered civil aviation in India, is making a comeback to the sector with Malaysian low-cost carrier AirAsia and Telestra Tradeplace of Arun Bhatia in a 49:30:21 joint venture AirAsia India, a no-frills airline.
29/04/13 PTI/NDTV.com

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Salman Khurshid behind US airport detention: Azam Khan

New York: Uttar Pradesh Urban Development Minister Azam Khan, who was briefly detained on Wednesday at a US airport, on Sunday accused External Affairs Minister Salman Khurshid of hatching a "conspiracy" to defame him outside India.
He even claimed that a call on continuation of Samajwadi Party's support to the UPA government will be taken by party leader Mulayam Singh Yadav after hearing his version and that of Chief Minister Akhilesh Yadav on their return to India. "Our leader knows exactly what had happened and who is behind this and he will take a decision soon on the continuation of support to the UPA government," he said.
On Akhilesh meeting Tamil Nadu Chief Minister J Jayalalithaa in Chennai, Khan said formation of a third front with the AIADMK and Pattali Makkal Katchi could not be ruled out. Mulayam Singh, he said, would lead the front, if and when it is formed, and would become the next prime minister.
29/04/13 PTI/Indian Express

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Former Qantas CFO tipped for top Jet Airways job

The former chief financial officer of Qantas Airways is being tipped to take over as CEO of India's Jet Airways following a deal that saw Etihad Airways take a 24 percent stake last week.
According to LiveMint.com with cited sources close to the companies, Gary Toomey, an Australian, is slated to replace Greek-American Nikos Kardassis at the helm of India’s second largest airline.
The change at the top follows the announcement by Etihad Airways that it has agreed to buy the stake in Jet Airways for $379m.
29/04/13  Andy Sambidge/Arabian Business.com

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DLA Piper advises Etihad Airways on $600m investment in Jet Airways

DLA Piper has advised Etihad Airways on its investment of $379m in a 24% stake in Jet Airways as part of an extensive strategic alliance between the two airlines. This is the first investment by a foreign airline in an Indian airline since the Indian government liberalised its rules for the Indian aviation sector in September 2012.
The balance of Etihad's $600m overall strategic investment in Jet comprises a $70m purchase and leaseback of Jet Airways' three pairs of Heathrow Airport landing and take-off slots which was announced in February and, subject to appropriate regulatory and corporate approvals, Etihad will invest $150m in a significant equity investment in Jet Airways' frequent flyer program "Jet Privilege".
28/04/13 AME Info

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Yet to appoint CEO for India foray: AirAsia

Mumbai: AirAsia today said the low-cost airline group is yet to appoint CEO for its India foray, more than a month after AirAsia Group Chief Tony Fernandes tweeted that he had selected a person for the top job.
Meanwhile, it is also learnt that the Malaysian carrier has not yet applied for the flying licence to the sector regulator, even though it has already received the FIPB approval.
“AirAsia India has not appointed a CEO,” AirAsia spokesperson said in an e-mail statement to PTI from Airline’s headquarters in Sepang, Malaysia.
The e-mail came in response to a PTI query seeking confirmation of the name of CEO doing rounds in the industry.
21/04/13 PTI/Business Line

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Good partner made Tata group return to aviation

Mumbai: A good partner and untapped potential in the low-cost sector made Tatas re-enter the aviation space although the industry remains tough, and the competition cut-throat, according to a company official.
"If you look at the low-cost carrier space, it is huge and it has not been adequately tapped. So, the opportunity is there," Tata Group Brand Custodian and Spokesperson Mukund Rajan said, when asked what made the group change its stand on re-entering the sector.
There are many people from many cities wanting to travel but are not receiving the services, and that offers immense potential, he said.
The Tata group, which pioneered civil aviation in India, is making a come-back to the sector with Malaysian low-cost carrier AirAsia and Telestra Tradeplace of Arun Bhatia in a 49:30:21 joint venture 'AirAsia India', a no-frills airline.
28/04/13 PTI/Indian Express

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Jet-Etihad deal: How James Hogan’s strategy worked for the UAE carrier

James Hogan had spent over three decades working with airlines like Ansett and Gulf Air, hotel and restaurant chain Forte and car rental firm Hertz before he joined Abu Dhabi-based Etihad Airways in October 2006. But the Australian will be remembered more for what he unleashed at the UAE national carrier, where he is president and CEO, than for any of his achievements in all those years. In 2008, he placed a $43-billion order for 205 aircraft. That was just the start.
Three years later, Hogan turned industry conventions on their head by kicking off what Etihad calls 'equity alliances'. Instead of joining an airline alliance like Star Alliance or OneWorld, Etihad bought just under 3% in Air Berlin, and later raised it to nearly 30%. Etihad also lent the ailing German airline $255 million.
Etihad has since picked up equity stakes in four other airlines, the most recent and largest being 24% in Jet Airways for $379 million earlier this week. (It has invested another $220 million in Jet, including $150 million in its frequent-flyer programme and $70 million to buy its three slots at Heathrow airport.) Etihad, with these acquisitions — all minority ones — has now strengthened its presence in Asia, Australia, Europe and Africa.
28/04/13 G Seetharaman/Economic Times

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The dogfight begins

It sounded too good to be true — Etihad paying a huge premium of 32 per cent over the market price to pick up just 24 per cent equity in Jet Airways. Large premiums are usually associated with a transfer of control but Etihad was not getting into the pilot’s seat of Jet Airways. The equity stake was also not big enough to make a difference as an investor as Etihad would still be unable to block special resolutions at shareholder meetings.
Throw in the fact that Jet is not exactly in the pink of health. With accumulated losses of over Rs.1,900 crore and borrowings of over Rs.13,000 crore, the airline is hardly an attractive investment candidate. So, how was Etihad persuaded to part with such a large premium for a small stake?
The answer came immediately after the deal was made public. The government announced an increase in the bilateral weekly seats between India and Abu Dhabi to 36,670 seats a week from 13,330 at present. That’s almost a three-fold rise and is a huge shot in the arm for the small emirate of Abu Dhabi whose national carrier is Etihad.
In the airline industry, seat capacities between two countries are decided through bilateral agreements with each country then apportioning its share to different airlines registered there. In the case of Etihad, it is the national carrier for Abu Dhabi and will enjoy the whole share of the emirate’s bilateral seats.
28/04/13 Raghuvir Srinivasan/The Hindu

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Boeing team arriving next week to fix Dreamliner battery fault

Mumbai: A team of engineers from US aerospace giant Boeing is arriving here on Tuesday to reset the batteries of six Dreamliner aircraft of Air India which are grounded since January after battery fire incidents, sources in the national carrier said.
The Government-run airline plans to put back at least two of the six grounded planes into operations by May 10.
“A team of around 30 engineers is coming to India to reset the batteries of the grounded planes (Boeing-787s) to enable them to fly again,” the sources told PTI here on Sunday.
The team, after its arrival, is expected to work on these planes round-the-clock as the airline plans to make all six Dreamliner aircraft operational by the May-end, they said.
“As of now we plan to put into service the first aircraft on May 5 and the second by May 9 once the batteries are reset,” the sources said.
28/04/13 PTI/The Hindu

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Indian dish makes it to international airline’s menu

Vandana Sethi was declared the winner of the Lufthansa Star Chef Contest at a zesty grand finale at The Leela, Mumbai, in which 12 aspiring chefs, selected from among thousands of contestants from across India, vied for top honours in a live cook-out contest.
Vandana won the battle of taste with her recipe for Khoye ki Subzi, which will now feature in the celebrated Star Chef menu onboard Lufthansa flights from India, and at select restaurants of the hotel chain.
The contest began as a unique talent hunt on the airline's India Facebook page to find the best original Indian recipe. The 12 finalists emerged through a poll of the best recipes, selected by the celebrated jury comprising master chefs Kunal Kapur, Surender Mohan and Thomas Brockenauer, all known for their culinary excellence and innovation.
28/04/13 Times of India

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Dreamliner flies passengers for 1st time since grounding

Kampala: A Boeing 787 operated by Ethiopian Airlines flew from Ethiopia to Kenya's capital Saturday, the first commercial flight since air safety authorities grounded the Dreamliners after incidents with smoldering batteries on two different planes in January.
The Boeing 787 passenger jet arrived in Nairobi on Saturday afternoon after a two-hour trip from Ethiopia's capital, Addis Ababa, according to the Kenya airport website. The Dreamliner arrived at Nairobi's Jomo Kenyatta International Airport at 12:40 p.m. local time, according to the Kenya Airports Authority.
The U.S. Federal Aviation Administration has approved Boeing's redesigned battery system, which the company says sharply reduces the risk of fire.
Richard J. Horigan, a Boeing engineer, told reporters in Nairobi this week that all potential causes of battery fire have been eliminated with the new system. But he noted that the root cause of smoldering batteries experienced by the two different 787s may never be known because the evidence was destroyed by heat.
27/04/13 Rodney Muhumuza/Associated Press/USA Today

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SP condemns Azam Khan’s detention at Boston airport

Washington: The Samajwadi Party has reacted strongly to the frisking and detention of senior leader and Urban Development Minister Mohammad Azam Khan at Boston’s Logan International Airport in the United States on Thursday.
Mr. Khan, who was accompanying Uttar Pradesh Chief Minister Akhilesh Yadav for a lecture at Harvard University on the successful logistics of the Mahakumbh event organised in Allahabad this year, has threatened to curtail his visit in protest against what he described as misbehaviour by the American officials.
In a statement released here through his information officer after midnight on Thursday, Mr. Khan alleged that he had been humiliated by the American authorities because he was a Muslim.
26/04/13 The Hindu

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Azam Khan's detention issue: MEA asks Indian Embassy

New Delhi: The Ministry of External Affairs has taken seriously the matter of detention of Uttar Pradesh Minister Azam Khan in Boston, United States. Accordiing to Syed Akbaruddin, the spokesperson of MEA, "The ministry has asked our embassy in Washington DC to take up this matter with the appropriate authorities. We have received reports from our consulate in NYC on this incident.? Samajwadi party has also lodged a formal protest with the Indian government over the issue. Senior SP leader Ram Asrey Kushwaha said that he was not at all surprised by the incident, as this has happened in the past with several Indian leaders, film stars and citizens. Kushwaha said, "We get to see the culture of America through this. Whatever happened with Azam Khan is condemnable. The whole of India is angry."
26/04/13 News Track India

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Miffed Akhilesh Yadav, Azam skip Harvard lecture

Washington: Miffed over the brief detention of his Urban Development Minister Azam Khan at Boston airport, Uttar Pradesh Chief Minister Akhilesh Yadav skipped a Harvard University event they had come to participate in.
Instead, UP Chief Secretary Jawed Usmani took the duo's place in a panel discussion on "Harvard without Borders: Mapping the Kumbh Mela" - a Harvard study of the pilgrimage at an annual symposium on South Asia hosted by the university's South Asia Institute (SAI).
An announcement posted on the SAI website Friday said "Due to unforeseen circumstances, today's panel speaker will be Shri Jawed Usmani (Chief Secretary, Uttar Pradesh Government-India)" in place of Yadav and Khan. It made no reference to the incident at Boston's Logan International Airport Wednesday that led India to formally lodge a protest with the US Thursday. Khan was detained for about 10 minutes for "further questioning" on arrival Wednesday.
27/04/13 Business Stanard

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AirAsia seeks Ministry nod to launch operations

New Delhi: AirAsia India, the newly formed no frills airline by the Tata group, Malaysia-based AirAsia and another Indian investor, is understood to have filed an application with the Civil Aviation Ministry seeking permission to formally start operations later this year.
The joint venture company is likely to have at least six members on its board, comprising two nominees each from AirAsia and Tata Sons and one representative from Telestra Tradeplace, the third partner. There would be an independent director on the board, who would also be the non-executive Chairman.
Tata Sons has nominated R. Venkatraman, former executive assistant to Ratan Tata, and Bharat Vasani, chief legal counsel of the Tata group, on the board. AirAsia would be represented by Tony Fernandes and Kamarudin Bin Meranun, who are among the largest shareholders in AirAsia Bhd, while Arun Bhatia would represent Telstra Tradeplace.
25/04/13 The Hindu

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MiG Still Hopes for Indian MiG-35 Order

Russia has approached India again with an offer for MiG-35 fighters. The move comes as negotiations drag on to finalize a contract for the Dassault Rafale, which was declared the winner of the medium multirole combat aircraft (MMRCA) competition in January last year. Explaining the move, Sergei Korotkov, general director at Russian Aircraft Corporation MiG (RAC MiG), told Russian media, “Although we lost the [MMRCA] tender, we nonetheless met all the requirements set by the tender committee.” He noted that MiG has been a partner with the Indian aerospace industry and air force for 50 years; India signed for its first MiG-21 fighters in 1962.
Although RAC MiG has failed so far to clinch a firm domestic order for the MiG-35, Korotkov said that negotiations with the Russian MoD continue, with an award expected in this year’s second half. Korotkov said that deliveries of the 24 MiG-29K/KUB carrier-capable fighters for the Russian navy will start later this year. For the first time in recent Russian procurement history, they will come equipped with foreign avionics, including Sagem navigation systems and Thales helmet-mounted sights. The Russian navy is the second customer for the ship-borne MiGs after India, which has already received 20 such aircraft out of 45 on order (worth nearly $2 billion), and expects four more later this year.
26/04/13 Valdimir Karnozov/AINonline

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Role of senior police officials omitted: HC

Kochi: The police investigation into the alleged human trafficking through Nedumbassery international airport failed to bring out the role of senior police officials deputed to emigration duty there, the Kerala high court observed on Friday.
The observation by justice P D Rajan came in the judgment denying bail to Abdul Hameed Savad, a visa translator and former employee of Saudi Airlines, who is accused in the case.
A P Ajeeb, a police officer who was on deputation in the emigration wing at the airport, is the prime accused in the case in which police officials allegedly helped racketeers send many people, including women, abroad illegally and in violation of emigration rules.
27/04/13 Times of India

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Jet-Etihad deal is a game changer

Jet Airways’ sale of 24 per cent stake to Abu-Dhabi-based Etihad Airways for $379 million (about Rs 2,050 crore) is a win-win situation for both parties and for Indian passengers. Travellers will now have a choice of flying from smaller cities directly to Abu Dhabi and thereon to any of the carrier’s global destinations. There is also expected to be a price war between Etihad and its Gulf competitor, Emirates, as both will be competing for the Indian passenger who will be the ultimate beneficiary.
In the next three years the number of Indians travelling abroad is expected to touch 44 million so the stakes for airlines are tremendous. Etihad is in keen competition with Emirates, which flies out of 10 cities and currently has a 13 per cent market share of international travellers from India.
The government has agreed to give Etihad permission to fly to 11 more cities in India in addition to the nine it already flies to and both Etihad and Jet will get an additional 37,000 seats a week from the present 13,000. This generous enhancement of flights by the government has, as expected, caused serious worry among Indian domestic carriers, including Air India, who feel they would be deprived of air traffic.
26/04/13 Deccan Chronicle

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Jet may have to offload 9.8% stake to public

After the mega deal with Etihad, the promoter group of Jet Airways is likely to offload 9.8 per cent of their stake to meet the SEBI’s minimum public shareholding norms of 25 per cent.
According to Thursday’s closing price of Rs 635.20, this 9.8 per cent stake in Jet Airways will be valued at Rs 707.2 crore.
The deadline to meet the minimum public shareholding norms is June this year.
Currently, promoter shareholding in Jet Airways stands at 80 per cent. The preferential allotment to Etihad would result in an increase in the equity base of the company.
Subsequently, the shareholding of existing promoters would fall to 60.8 per cent.
This combined with its strategic partner Etihad’s stake of 24 per cent would take the promoter group holding to 84.8 per cent.
According to SEBI’s minimum public shareholding norms, the promoter group holding is capped at 75 per cent. This necessitates the offloading of 9.8 per cent stake by Jet Airways’ promoter group through either offer-for-sale (OFS) or through Institutional Placement Programme.
25/04/13 The Hindu

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Smaller cities get global gateway in Abu Dhabi

The biggest gainers of the deal between Jet Airways and Etihad could well be those living in the mid-sized and smaller cities of India.
Post the deal, Jet plans to connect close to a dozen of these cities to destinations across the world through Etihad’s home base of Abu Dhabi, which will become the new hub for the Indian carrier.
“People in Tier 2 and 3 cities will see enhanced global connect, which may give a fillip to trade and tourism in those locations. They can expect more competition, better regional connectivity, higher efficiency and lower fares,” says Amber Dubey, Partner and Head-Aviation at global consultancy firm KPMG.
In three years from now, Jet Airways has plans to connect 23 cities to the world through Abu Dhabi. The cities include Patna, Baroda, Jaipur, Lucknow, Kozhikode, Amritsar, Baroda, Jaipur and others, including the metro cities. A Jet Airways source said that they have plans to induct 54 aircraft over a period of three to five years to support their expansion plan.
26/04/13 Mihir Mishra/Financial Express

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Etihad Airways can fly only two flights a day

New Delhi: Even as India has almost quadrupled the bilateral entitlements with Abu Dhabi, from 13,300 to 49,970 seats a week, the civil aviation ministry has placed a cap on the number of flights airlines from Abu Dhabi can operate from these cities, to prevent revenue losses for airport operators.
According to the new agreement, Etihad can fly 3,300 passengers a week out of Delhi and Mumbai, subject to a frequency of two flights a day.
“We have made provisions to address the concerns of airlines and airport operators in India. Etihad wanted the limit on the number of flights they can operate between any airport in the country and Abu Dhabi be waived off but we ensured the limit remains on two flights a day from Delhi and Mumbai and one daily flight from any other airport in the country,” said a ministry official.
26/04/13 Sharmistha Mukherjee/Business Standard

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Air India fears shrinking market share post Jet-Etihad deal

New Delhi: As Abu Dhabi carrier Etihad's access to the Indian market multiplies by fourfold as part of its equity deal with Jet Airways, national carrier Air India's worst fears have come true.
The carrier feels that more foreign airlines will use this as a precedent to aggressively lobby for increasing their presence in the Indian market.
According to Air India's chairman and managing director (CMD) Rohit Nandan, Dubai carrier Emirates, which has swept away a lion's share of outbound traffic from India, thanks to a similar increase in access a few years ago, will soon come knocking at the door asking for an increase in the number of flights. "What has happened has happened , but we want to bring it to the government's notice that this should not be repeated. We are apprehensive that Emirates and other foreign carriers may push for more air capacity," Nandan told ET.
In the backdrop of the financial deal between Naresh Goyal-owned Jet Airways and Abu Dhabi's national carrier Etihad, the two regions decided to revise air capacity upwards by 36,670 seats per week from the existing 13,300 seats per week, sparking concerns among the local airlines and private airports.
26/04/13 Anindya Upadhyay/Economic Times

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Aviation Ministry to invite airlines to submit Abu Dhabi flight plans

New Delhi: Close on the heels of India wrapping up the bilateral negotiations with Abu Dhabi, the civil aviation ministry is now set to invite Indian carriers to submit their flight plans to the West Asian destination for the winter schedule starting October.
"In case the demand for seats outstrips the available quota, the demands of the carriers with requisite resources, including aircraft, will be considered first," said a senior ministry official.
In the bilateral negotiations that concluded on Wednesday, both sides have agreed to allocate an additional entitlement of 36,670 seats per week spread over a period of three years. Of the total entitlement, 11,000 weekly seats will be available in 2013, an additional 12,800 seats by up to October 2014 and the remaining 12,870 weekly seats by up to October 2015.
26/04/13 Mihir Mishra/Indian Express

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Japan to allow airlines to resume 787 flights

Tokyo: Japan's transport minister said today the government is poised to allow Japanese airlines to resume flying grounded Boeing 787s once they complete installation of systems to reduce fire risk in problematic lithium ion batteries.
The approval could come as early as this evening following an expected formal safety order from the US federal regulators, Transport Minister Akihiro Ohta said in a statement on the ministry's website.
The 50 Dreamliner jets in service worldwide were grounded in mid-January after incidents with smoldering batteries occurred aboard two different planes.
26/04/13 Economic Times

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Will AirAsia get approvals to begin Indian operations soon?

Malaysia’s Air Asia has plans to launch operations in India as early as this year. The airline is pro-actively trying to complete bureaucracy related formalities so that it can begin operations in smaller towns and cities with an Airbus fleet.
After getting a formal approval from the Foreign Investment Promotion Board (FIPB) to set up an airline in the domestic market, the airline is learnt to have submitted an application to launch low cost airline in India along with Tata Sons and Telestra Tradeplace in a 49:30:21 partnership.
Earlier, there was a talk that the aviation ministry had disapproved AirAsia's India entry on grounds that Tata Sons should have first set up an airline company, obtained a flying permit and then should have offloaded stake to it. But later, the foreign investment proposal panel okayed the venture.
26/04/13 Moneycontrol.com

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SpiceJet to add three India–China routes

SpiceJet, which currently flies to Guangzhou from Delhi, will add three destinations in China this year, CEO Neil Mills has told Bloomberg.
The carrier also plans to shift towards international routes, to triple their contribution to revenue up to 20% over the next 18 months, he said.
SpiceJet may fly to CIS nations and start flights to Thailand, Mills told Bloomberg.
 Despite withdrawing an application to fly to Abu Dhabi, SpiceJet aims to fly more Middle East routes, he added.
 But, as few flights now connect China and India, this market represents a clear opportunity, he added.
 "You’ve got over a third of the world’s population in two countries that sit side by side, but they are almost not connected by air," he told Bloomberg.
 Overseas flights could help pull SpiceJet back into the black through dollar earnings and savings in fuel costs from avoiding heavy taxes in India.
 Although China is India’s second-largest trading partner, only 142,000 Chinese nationals visited India in 2011, according to Indian Ministry of Tourism figures.
26/04/13 Routes News

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Taking off

Jet Airways's sale of a 24 per cent stake to Abu Dhabi's Etihad Airways for approximately Rs 2,050 crore is a win-win for the two airlines. It is also a much-delayed step into the future for India's crisis-hit civil aviation sector. Jet has become the first Indian carrier to utilise the government's change of policy last September to allow foreign airlines to acquire equity in Indian carriers. While Etihad gets access to India's large outbound passenger market, Jet will see a near-tenfold increase in its capacity in addition to strategic expertise, cheap financing and fuel import benefits, apart from a doubling of its market worth. The deal suggests the potential for restoring growth in the cramped and ailing sector.
At a time when global perception of the Indian economy is gloomy, the Jet-Etihad deal underscores the fact that civil aviation is a growing market in India that will continue to invite competition and investment. Having posted a loss of Rs 10,000 crore for FY2011-12 due to adverse circumstances, however, the industry is by no means out of the woods. Instead of throwing good money after bad, such as in providing a sovereign guarantee to Air India's debts and bailing it out, as with the Rs 30,000 crore package last year, the civil aviation ministry should have left AI to fend for itself and given private carriers the leeway to strike the best deals for themselves.
26/04/13 Indian Express

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India protests questioning of UP minister at Boston airport

Washington/New Delhi:  India has formally protested to the US the brief detention of Uttar Pradesh urban development minister Mohammad Azam Khan at Boston airport as he arrived to take part in an event at Harvard University.
Khan, who is accompanying UP chief minister Akhilesh Yadav for the presentation of a Harvard study on the Kumbh Mela pilgrimage, was detained for about 10 minutes for "further questioning" at Boston Logan International Airport Wednesday, according to Indian officials.
The issue was raised in the Parliament by the Samajwadi Party (SP) members who protested the "insult" of their leader.
26/04/13 IANS/Times of India

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Jet-Etihad deal positive for industry: Experts

The sale of 24 percent stake in Jet Airways to the Abu Dhabi-based Etihad Airways for around Rs.2,000 crore ($379 million) is a positive step for the aviation industry, experts watching the sector opined Wednesday.
Experts say that the deal will bring revenue growth and cost savings for both the companies.
"Both companies are going to gain from this strategic deal. Jet will get more financial options and a reliable international partner, while Etihad will get a foothold in India," said Rajiv Chib, associate director, PricewaterhouseCoopers.
According to Chib, the deal also demonstrated the interest international passenger carriers are taking in Indian domestic airlines, as they see future growth in the sector.
"This (deal) shows that foreign airlines are interested, as they see future growth in this sector. I do expect another major deal in this area happening by the year-end," Chib said.
However, the deal, which also entails a $600 million commitment from Etihad Airways, still needs to be ratified at an extraordinary meeting of Jet's shareholders.
25/04/13 SME Times

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Jet-Etihad deal flies on bilateral pact

It is no coincidence that the stake-sale deal between Jet Airways and Etihad was announced on the very day India and the United Arab Emirates signed a bilateral agreement raising the number of weekly seats between the two countries to 50,000 for each – almost four times the current 13,300.
“Its a great deal for Jet Airways and Etihad. Jet will now have adequate capital and a source for future capital needed for expansion at low interest rates. On the other hand, Eithad will get a strong foothold in the Indian market,” said Saroj Datta, aviation expert and ex-Jet Airways official. “However, we will have to wait and watch if the deal actually helps in the growth of passenger traffic and what  impact it has on competition.”
The deal could well help Jet wrest back leadership in the domestic market, which it had surrendered to IndiGo last year. In February, IndiGo continued to be the largest airline with a 27.4% marketshare, followed by Jet Airways group (including Jet Konnect) at 25.4%, SpiceJet at 20.4%, Air India  (18.9%), and GoAir (7.8%), as per data provided by the Directorate General of Civil Aviation.
“With Jet Airways coming into picture, Etihad will have additional 10-15 lakh passengers coming to its Abu Dhabi hub,” said an analyst.
Just ahead of the deal, Jet had sought an additional 41,600 seats a week to Abu Dhabi by the summer of fiscal 2016 from the current 13,300 seats. But it may now have to cut down its international ambitions, said an analyst.
25/04/13 Yuga Chaudhari/Daily News & Analysis

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Etihad deal will provide Jet Airways with a deeppocketed global partner

Jet Airways has finally pushed through its 24-per cent stake sale to Abu Dhabi-based airline Etihad Airways for $379 million (approx Rs 2,050 crore) after several months of hectic negotiations. Mumbai-based Jet informed the Bombay Stock Exchange on Wednesday that its Board has approved the allotment of 27.3 million shares at Rs 754.74 ($13.90) a piece on a preferential basis to Etihad.
The price represents a 31.7 per cent premium to Jet's closing share price on Tuesday. "This strategic investment with a $600-million commitment from Etihad will help further strengthen Jet Airways' financial position," Jet said.
Etihad has also committed an investment of another $220 million (Rs 1,197 crore), which will help further strengthen Jet's financial position. $70 million of this investment has already been paid to Jet for its three slots at Heathrow Airport as part of the code-sharing agreement.
An additional $150 million will be invested in the next months by Etihad by way of a majority equity investment in Jet's frequent flyer programme Jet Privilege.
25/04/13 Business Today/Business Today

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Focus shifts to Jet plea for more seats to Abu Dhabi

New Delhi: With the stake sale finally concluded, the Jet-Etihad combine will look forward to the civil aviation ministry’s decision on the proposal to increase bilateral seat entitlements between Abu Dhabi and India.
Before Wednesday’s deal, Jet had sought enhancing seat entitlements to Abu Dhabi to 54,000 seats a week, out of which Jet plans to utilise 42,000 seats a week in the next two years. Currently, Indian carriers have
entitlements of only 13,300 per week. The change will lead to 2.8 million Indian passengers a year flying to Abu Dhabi.
Higher entitlements will be a key positive for the Jet-Etihad combine. Jet plans on utilising ‘fifth flying freedom rights’ that will enable it to open routes like Kochi-Abu Dhabi-Kuwait, which starts from May 16. Sources said that Jet is also looking at similar routes across West Asia and the North African region with destinations like Najaf in Iraq, Cairo in Egypt, Beirut in Lebanon and Amman in Jordan — all connected via Abu Dhabi.
25/04/13 Fianancial Express

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Jet-Etihad traffic rights scare local airlines and private airports

New Delhi: The first-of-its-kind deal between NareshGoyal-owned Jet AirwaysBSE 10.69 % and Abu Dhabi's national carrier Etihad has rattled the Indian aviation industry because it is accompanied by a huge revision of air capacity between India and Abu Dhabi, which could lead to cannibalisation of domestic carriers' and private airports' passenger traffic.
In the backdrop of the financial deal between Jet Airways and Etihad, the two regions decided to revise up air capacity by 36,670 seats per week from the existing 13,300 seats per week sparking concerns among the local airlines and private airports.
National carrier Air India along with other private airlines have been protesting the revision of traffic rights between India and Abu Dhabi, saying that this would serve to create another Emirates, Dubai's national carrier, which through a similar windfall increase in bilateral rights has now cornered the largest share of Indian outbound traffic.
25/04/13 Economic Times

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Etihad-Jet Airways $600 million deal will revolutionise aviation industry

Etihad Airways is betting big on India. The ambitious UAE carrier is throwing indebted Jet Airways, the largest publicly traded airline on the subcontinent, a $600 million lifeline.
The deal buys Etihad a 24 percent stake, control of Jet's loyalty programme, and landing slots at Heathrow. That makes it the first company to take advantage of newly relaxed foreign ownership rules in India, as it seeks to tap one of the fastest growing aviation markets in the world.
Jet is one of India's top airlines but the price paid still looks a bit generous. Etihad is paying $380 million or a 32 percent premium for its minority interest. That's on top of a 63 percent rise in the share price since mid-September when reports of a deal between the pair first surfaced. That type of premium is usually justified by a change of control. In this case, Jet founder Naresh Goyal will remain non-executive chairman, and retain a 51 percent stake.
Goyal has obviously driven a hard bargain even though his company badly needed the funds. The airline has to repay $400 million each year.
25/04/13 Una Galani/Daily News & Analysis

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Jet deal win-win situation; Air India needs to shape up: Ajit Singh

National carrier Air India needs to shape up to stay competitive, Civil Aviation Minister Ajit Singh said today, a day after Jet Airways, India's largest airline by market share, announced the sale of a minority stake to Abu Dhabi-based Etihad Airways.
This is a good time for Air India to strategise, he said, adding that the national carrier has very limited options.
Mr Singh said the Jet deal is a win-win situation as competition is good for any industry and will be beneficial to fliers.
The aviation industry expects passenger traffic to rise 9-10 per cent this year, he said.
"Is Air India equipped to handle the growth in passengers? Why complain about where others can fly," he asked.
25/04/13 NDTV

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Ministry caps number of Eithad flights out of Delhi, Mumbai

New Delhi: Even as India has nearly tripled the bilateral entitlements with Abu Dhabi, the ministry has placed a cap on the number of flights carriers from Abu Dhabi can operate from these cities to prevent revenue losses of airport operators.
According to the new agreement Etihad can fly out 3,300 passenger per week out of Delhi and Mumbai subject to a frequency of two flights a day.
“We have made provisions to address the concerns of airlines and airport operators in India. Etihad wanted the limit on the number of flights they can operate between any airport in the country and Abu Dhabi be waived off, but we ensured that the limit remains on two flights a day from Delhi and Mumbai and one daily flight from any other airport in the country,” said a civil aviation ministry official.
He informed that without the limit on daily frequencies, Etihad would have operated smaller aircrafts, impacting the revenue earnings of Indian airport operators.
25/04/13 Sharmistha Mukherjee /Business Standard

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Jet Airways, national carrier?

In the absence of a national aviation policy, the government has been taking ad hoc decisions from time to time to address the concerns of the aviation sector. Being ad hoc in character, several decisions taken to respond to a particular crisis have often led to the creation of other problems for the industry. This should, however, not come as a surprise to anyone because the ministry of civil aviation, managed by bureaucrats, besides lacking the vision for the industry, does not have the requisite experience and understanding of the sector. If proof were needed to prove this point, one has only to see how the national carrier, Air India, has been systematically harmed through numerous decisions.
A policy decision relating to foreign direct investment (FDI) by foreign airlines in domestic airlines, taken in September 2012, was welcomed by all, even though it came too late for Kingfisher Airlines, the airline that had originally mooted the demand. With the finances of most domestic airlines in disarray, debt on the balance sheet mounting, losses being incurred quarter after quarter, and banks refusing to extend any more loans, investment by foreign airlines was considered imperative for survival.
25/04/13 Jitender Bhargava/Business Standard

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AirAsia applies for operational clearance

The low cost carrier (LCC) filed an application with the civil aviation ministry on April 23 to start its India operations, official sources said yesterday.
The airline started the process of hiring pilots and cabin crew earlier this month.
The company in its application said it proposed to start operations with a few aircraft and eventually operate around 37 in the next five years.
Earlier, the LCC had said that it will operate from Chennai and focus on providing connectivity to tier-II and -III cities. It plans to start operations by the end of this year.
In its proposal to the Foreign Investment Promotion Board (FIPB), AirAsia said it intended to hold 49% stake in the joint venture (JV), while Tata Sons will hold a 30% stake and the Arun Bhatia-promoted Telestra Tradeplace 21%.
25/04/13 IANS/Gulf Times

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Boeing: Cause of 787 battery fires remains mystery

Nairobi: A Boeing engineer said on Thursday that the cause of the battery problems that have grounded the company's 787 Dreamliners may never be known.
The engineering leader for the 787, Richard J Horigan, said the root cause of smoldering batteries experienced by the two different 787s may never be known because the evidence was destroyed by heat.
"When we say a root-cause we want to know exactly what happened, what size particles caused the cell to vent ... and we may never get there because the evidence is destroyed. When these cells vent there's a lot of heat damage on those cells," Horigan said.
25/04/13 AP/Times of India

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Pilot robbed in US hotel, AI orders safety review

A senior Air India pilot from Mumbai was robbed in his hotel room in Chicago, where he had a stopover last week, and was left further traumatised after his repeated pleas for help were ignored by unsympathetic hotel staff.
The incident, which took place on April 15, has prompted the national carrier to review the security at all US hotels where it accommodates its staff. A top Air India official, in fact, is already in US to conduct the audit. Captain Pankul Mathur (pictured right), who flew a Delhi-Chicago flight that day, has said in his complaint that he was robbed of $500 (over Rs 27,000) late at night in room number 1507 of Hotel 71 in downtown Chicago.
He has described the robber as a strongly built “African-American woman”, who frantically knocked on his door shortly before 11 pm, when he was sleeping, before barging in. “I thought it was some kind of emergency and being half asleep, opened the door without peeping through the eyepiece (peephole),” Capt Mathur, who is the joint general manager of operations, stated in his complaint. When he opened the door that had no safety latch, the woman, wearing a black leather jacket and black jeans pushed him aside and rushed inside. “She picked up my wallet lying on the bedside table… took out all the cash and threw the papers from the wallet on the bed,” he said.
25/04/13 Aditya Anand/Mumbai Mirror

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Deal to be a game-changer for Jet Airways

Mumbai: The strategic investment by the Abu Dhabi-based Etihad Airways in Jet Airways could be a game-changer for the latter and its shareholders. According to the deal, Jet will be issuing 27.2 million shares to Etihad for Rs 754.7 apiece totalling Rs 2,060 crore. In the short term, the deal brings much-needed cash and will help Jet improve its debt-laden balance sheet and improve its financial ratios. In the long term, too, the strategic alliance with Etihad will make Jet more competitive in the domestic market as well as on international routes, which now account for 60 per cent of its revenues and operating profits. Jet’s stock, which scaled to its two-year high of Rs 625 levels in December 2012, is thus expected to rule firm on Thursday.
The deal could be a game-changer for Jet. Says Sharan Lillaney of Angel Broking, “The deal is a positive as Jet will be able to refinance its high-cost debt and improve its cash flows. In addition to improving its balance sheet, the company can also look at expansions, both in the domestic as well as international markets.” On the valuations front, the deal implies a market capitalisation to sales of 0.3-0.4 times (and 31 per cent premium to current market price), a decent premium, believe analysts. This could set a benchmark for similar deals in future, says Lillaney.
24/04/13 Krishna Kant & Ram Prasad Sahu/Business Standard

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Deal with Etihad: What it means for Jet Airways

New Delhi: On a day when Jet Airways has managed to get itself a rather good deal from Etihad Airways, at least in terms of valuation, it would be interesting to find out how this deal will alter the very face of Jet Airways.
What may have finally worked in Goyal’s favour is the haste with which the Ministry of Civil Aviation agreed to open negotiations with Abu Dhabi, where Etihad is headquartered, on increasing weekly seat entitlements for the carriers of both countries by four-fold.
A team led by joint secretary Prabhat Kumar Singh is in Abu Dhabi since Monday night and has been conducting these negotiations despite stiff opposition from all stakeholders who fear such massive seat entitlements to Abu Dhabi will make other Indian airlines and expensive airport infrastructure uncompetitive.
But for Jet, these negotiations are a lifeline. Because its very future seems to depend on two things: a profitable deal with Etihad which provides it much needed cash and permission to expand globally by making Abu Dhabi a major hub.
Airline sources told Firstpost that if it does get permission to offer 42,000 seats a week to Abu Dhabi, it will gain immensely:
1) Jet says the market size of traffic to and from countries to the west of India is about 28 million passengers per year. This includes traffic from the Gulf, Middle East, Europe, Africa and the Americas. “We want a share of this traffic. It is already growing a 10% per year and in three years, this traffic will become almost 40 million passengers.”
2) Jet says it is only looking to corner 10 percent of this traffic or four million passengers by 2015-16 but here’s the catch: this traffic will be ensnared by establishing a hub not in any Indian airport but at Abu Dhabi.
3) Jet wants to connect 23 points from India to the Abu Dhabi hub for onward connections so that it expands not only globally but also within the country.
4) For such massive expansion, Jet will obviously also need to buy more aircraft. The sources said it will get back 5 leased B777 aircraft from Thai Airways and Turkish this year.
24/04/13 Sindhu Bhattacharya/First Post.com

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Jet-Etihad deal good for passengers: Captain Gopinath

New Delhi: Stating that the Jet Airways-Etihad deal will prove to be good for passengers, Captain Gopinath, Aviation Expert told ET Now that increased competition will lead to air fares coming down.
The deal will also ensure improved airline facilities, he said. Gopinath does not see Etihad paying the promoters directly. According to him, Jet Airways' cash flow will improve with the deal and that the airline needs to reduce its debt burden.
Gopinath emphasised the need to develop India as an aviation hub. Gopinath said, "Dubai has become an aviation hub, but a similar policy initiative is lacking in India."
24/04/13 Economic Times

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Jet-Etihad stake sale will be base for future deals: Angel

Welcoming the latest development in the Indian aviation space, Sharan Lillaney, analyst, Angel Broking says the Jet-Etihad deal will benefit other aviation players too. The valuations of the deal, according to Lillaney, will become a base for others to follow.
"For that matter, (even) SpiceJet , Indigo, GoAir will all get this kind of valuations if somebody is interested to invest in these companies," adds Lillaney in an interview to CNBC-TV18.
Jet Airways  today finalised the deal with Etihad and will sell a minority stake to the Abu-Dhabi based carrier for Rs 2060 crore. Jet will sell 27.3 million shares at Rs 754.74 each on a preferential basis to Etihad.
For investors interested to allocate their funds in the aviation space, Lillaney recommends SpiceJet as a potential performer stock.
24/04/13 Moneycontrol.com

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Etihad picks up 24% stake in Jet Airways for Rs 2,050 cr

New Delhi: After months of uncertainty, Etihad Airways is set to invest $379 million (Rs 2,050 crore) to acquire a 24 per cent stake in Jet Airways.
This is part of a $600-million commitment to strengthen the partnership between the two airlines. The current deal values Jet at around Rs 8,500 crore. Under the agreement, the Abu Dhabi-based airline will subscribe to 2.72 crore new shares of Jet Airways at Rs 754.74 a share. The share allotment is at a substantial premium to the scrip’s closing price of Rs 573.15 on the NSE on Tuesday.
With the Jet Airways board approving the investment agreement, the company will hold an EGM on May 24 to seek a final nod from shareholders. This deal will not trigger an open offer for other shareholders in Jet since it is below the trigger-limit. However, Jet still has scope to bring in other investors, as the policy allows foreign airlines holding up to 49 per cent in a domestic carrier.
A joint statement put out by the two airlines said: “Etihad Airways’ wider overall commitment includes the injection of $220 million to create and strengthen a wide ranging partnership between the two carriers.”
24/04/13 Business Line

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Etihad to co-pilot Jet Airways

New Delhi: The board of directors of Jet Airways (India) has approved a proposal to allot 24 per cent stake to Etihad Airways PJSC of Abu Dhabi for Rs. 2,058 crore ($379 million).
At a meeting held in Mumbai on Wednesday, the board cleared a proposal for preferential allotment of 2.72 crore equity shares to Etihad at a price of Rs. 754.73 per share (including a premium of Rs. 744.73) of the face value of Rs 10.
The board’s decision was also conveyed to stock exchanges.
The allotment price is at a premium of 32 per cent from Jet Airways’ closing price of Rs. 573.85 on Tuesday .The deal is subject to compliance with applicable laws and regulations, and also shareholders’ approval.
This will be the first time that a foreign airline will be picking up a stake in an Indian airline.
24/04/13 The Hindu

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Lack of standby crew, delays not new in Air India

Mumbai: The muddle that a Muscat-Chennai flight landed in over an unscheduled crew change on Sunday indicates how Air India (AI) operates without proper back-up and coordination.
The AI flight was diverted to the city airport as the flight duty time limit (FDTL) of the crew had expired following a four-hour delay at Muscat, but it took the airline three hours to arrange for another team, leaving 72 passengers fuming.
The incident was another reminder of the lack of a strong standby system in AI because of a shortage of co-pilots—at least 250 more are required—and other crew.
24/04/13 Chinmayi Shalya/Times of India

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Air India Put Disabled Passengers Through Needless Misery

In breach of Indian and European regulations, India's state owned flag carrier Air India puts passengers with disabilities through needless misery.
The sighting of scores of disabled passengers left waiting for assistance after disembarking Air India flights has become part of the daily routine at major airports served by India's flag carrier. The reason why vulnerable passengers are left waiting without assistance for up to one hour is that the airline does not send assistance requests to airports.
However, Air India requires passengers with disabilities to notify the airline of their special needs at the time of booking. "In order to facilitate passengers requiring wheelchair assistance at the airport, Air India ensures that: Wheelchair requests are adequately recorded and confirmed in the SSR (special service request) element for each segment of the Air-India and interline journey," the airline's website says.
24/04/13 Roberto Castiglioni/Reduced Mobility

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End of the road for Kingfisher? Banks to start stripping down airline's assets

Mumbai:  The final end game for cash-strapped Kingfisher Airlines has begun. Lenders to the troubled airline will file the case in the debt recovery tribunal (DRT) and serve the SARFAESI notice this week, according to sources close to the development.
Following this, bankers will start the process of actually stripping down the airline's assets and selling them to recover their dues.
The consortium will now start the process of selling the physical assets of the company which includes the office spaces in Mumbai and a villa in Goa. Banks have already started selling the pledged shares of United Spirits as well as Kingfisher Airlines.
23/04/13 Simran Gill/Economic Times

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Jet Pilots' body against extension of deadline for expats

Mumbai: Expressing concern over the government's reported move to extend the deadline to phase out expat pilots, Jet Airways pilots today said the move would affect the locals who are without jobs for long.
"We are concerned about the extension of the FATA deadline, especially when there is a downturn in the aviation industry and there are fewer job opportunities for the domestic pilots," Jet's pilots body National Aviatiors Guild said in a letter to aviation secretary K N Srivastava.
Expat pilots are issued a Foreign Aircrew Temporary Authorisation (FATA) to work in India. According to the DGCA, there were 340 expat pilots employed by both scheduled and non-scheduled operators till last year.
The government has set a December 2013 deadline for doing away with foreign pilots but it is reportedly mulling to extend it further.
23/04/13 PTI/Business Standard

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Repairs begin to batteries on grounded 787s

Boeing has begun repairs on the 787 Dreamliner to fix a battery fault that grounded the fleet for three months as it enters talks with airlines to resume deliveries and meet a full-year production target.
ANA, the biggest 787 operator, started repairs Monday morning at four airports around Japan, said spokesman Ryosei Nomura. Japan Airlines has also started fixing the batteries, according to a person familiar with the plan, who declined to be identified as the information isn’t public.
The global fleet of 50 Dreamliners was grounded worldwide Jan. 16 after lithium-ion batteries on two separate planes overheated and melted, causing flights to be canceled and cutting revenue to the operators. Boeing has dispatched about 300 personnel on 10 teams to airlines to install the fix over five days while preparing the handover of new 787s.
“We are starting to have detailed conversations with all of our customers about delivery timing,” Larry Loftis, Boeing 787 vice president and general manager, told journalists in London. “We don’t have specific dates right now.”
Boeing engineers will arrive in India on Wednesday, after the work in Japan, to apply the fix for Air India’s six 787s. The airline expects to resume 787 services by May 15 at the latest, Rohit Nandan, the company’s chairman, said today in New Delhi.
22/04/13 Seattle Times/Robert Wall and Chris Cooper/Bloomberg News

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A problematic hub

Abu Dhabi has sought to increase its airline capacity (called bilateral traffic rights) with India from 13,000 seats a week to 25,000 seats. Indian carriers want it to be raised to 55,000 seats; out of this, Naresh Goyal's Jet Airways alone has demanded 42,000 seats. If the civil aviation ministry agrees, several smaller Indian cities will get linked to Abu Dhabi. This will be bad news for the newly modernised airports in Delhi and Mumbai. People from other cities will have the option to fly to Abu Dhabi and thence to Europe, North America and Africa. Instead of Delhi or Mumbai becoming a hub for international air traffic, the business will go to West Asia, questioning the logic of making huge investments in the last few years in both the airports to augment capacity to meet the anticipated rise in traffic in the next decade or so. Delhi airport has serious ambitions to become a hub for the substantial traffic between Africa and China and also between the former Soviet Union countries and Southeast Asia. All its plans will come to nought if the civil aviation ministry increases the bilateral traffic rights. Naturally, the Delhi and Mumbai airports have opposed the move.
23/04/13 Business Standard

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Emirates-CAE Flight Training celebrates certification success

Emirates-CAE Flight Training has announced a number of major certification successes for its unique dual-configuration full-flight simulator for Bombardier Challenger 604 and Challenger 605 business jets.
Certification has been received from the United Arab Emirates General Civil Aviation Authority (UAE GCAA), the General Authority of Civil Aviation of Saudi Arabia (GACA), and the Qatar Civil Aviation Authority (QCAA), as well as from the Hong Kong Civil Aviation Department (HK CAD), the Federal Aviation Administration (FAA), the European Aviation Safety Agency (EASA).
The CAE-built simulator is located at Emirates-CAE Flight Training (ECFT) in Dubai.
“The multiple certifications and proximity to Asia allow us to serve our customers close to where they operate,” said Walter Visser, managing director of Emirates-CAE Flight Training and CAE business leader Middle East & India.
23/04/13 Arabian Aerospace

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India-UAE air services bilateral hangs in balance

New Delhi: A question mark hangs over the bilateral air services agreement that India and the United Arab Emirates are hoping to conclude in Abu Dhabi on April 23.
The issue is on how many more seats India should exchange in the bilateral with UAE, so that airlines from both countries can operate more flights. There is no political consensus in the inter-ministerial group, comprising the Prime Minister’s Office and the Ministries of Finance, External Affairs, Commerce and Civil Aviation.
There is renewed interest in the bilateral agreement mainly because UAE’s Etihad Airways is in talks to pick up a significant stake in India’s private carrier Jet Airways.
At the moment India and Abu Dhabi allow their airlines to operate close to 14,000 seats a week between the two countries. The proposal is to increase the allocation of seats three-fold to over 42,000 a week.
Jet Airways is seeking an increase in the number of flights that it is allowed to operate to Abu Dhabi pointing out that it plans to link 23 cities in India to not only Abu Dhabi but also to provide passengers an opportunity to connect to cities in the Gulf region, Africa and the US.
22/04/13 Ashwini Phadnis/Business Line

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Emirates, Etihad, Qatar Airways and Air Arabia seek 1.5 lakh more seats a week to India

Mumbai: The Middle Eastern airlines, in a bid to strengthen their foothold in the Indian market, are likely to seek nearly 1,50,000 additional seats per week from the Indian government, according to the Centre for Asia Pacific Aviation (CAPA), a global aviation consulting firm.
CAPA estimates that the market will open up further and there will be more penetration to the Tier-II cities in India.
"The Middle Eastern airlines will make a very compelling case for this expansion as they have a total of 400 aircraft on order. Of these, 90 are wide-bodied aircraft. These airlines need markets like India to open up for picking up traffic," said Kapil Kaul, CEO, South Asia and Middle East, CAPA.
According to CAPA estimates, the middle eastern carriers - Emirates, Etihad, Qatar Airways and UAE carrier Air Arabia - are likely to ask the government permission for additional seats and also revisit their demand to fly the largest passenger airplane in the world, the A380 to India.
23/04/13 Manisha Singhal/Economic Times

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23,000 Haj pilgrims to fly from IGI's special terminal

New Delhi: Around 23,000 Haj pilgrims are likely to fly to Jeddah later this year from the special terminus at the Indira Gandhi International Airport.
Delhi Urban Development and Revenue Minister Arvinder Singh Lovely said the city government will make arrangement for providing various facilities to the Haj pilgrims.
"23,000 Hajis would fly from Delhi Haj Terminal in the supervision of Delhi Haj Committee," he said, adding 1,700 Hajis would go to Jeddah from Delhi's quota.
Haj pilgrims from various states come to Delhi to take special Haj flight to Jeddah.
Lovely was speaking at a function organised to select Haj pilgrims through draw of lots.
23/04/13 Zee News

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Tourist visa on arrival at airports

Thiruvananthapuram: Infrastructure facilities are in place at the Thiruvananthapuram and Cochin International airport for the issue of tourist visa on arrival (T-VoA) for holidaymakers from 11 countries, making the State a gateway to the country.
Exclusive visa desks, holding area, special enclosure for photographing foreign nationals, foreign exchange counter, proper signage and display, and telephone connections have been put in place by the Airports Authority of India (AAI-) and Cochin International Airport Ltd (CIAL) to kick off T-VoA.
The two airports will join those in New Delhi, Mumbai, Chennai, and Kolkata in issuing T-VoAs.
Citizens of Finland, Japan, Luxembourg, New Zealand, Singapore, Cambodia, Vietnam, the Philippines, Laos, Myanmar, and Indonesia can get T-VoA on landing here.
23/04/13 S Anil Radhakrishnan/The Hindu

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GMR submits documents to bid for Philippines airport

New Delhi: GMR Infrastructure is learnt to have submitted qualification documents for a formal bid for developing 17.5 billion peso (about USD 425 million) Mactan-Cebu International Airport project in Philippines. The request for qualification document has been submitted by GMR in a consortium with local Megawide Construction Corporation ahead of its closing on Monday, sources said.
GMR consortium is competing with 6 other groups, including that of Singapore's Changi Airport International and Switzerland's Zurich Airport International, for qualification. Results of eligible firms for putting final bids are expected in next 15-20 days. GMR spokesperson declined to comment on the matter. Email sent to Megawide Construction remained unanswered.
22/04/13 PTI/Times of India

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Lufthansa union on strike, India flights hit

Mumbai: Lufthansa Airlines operations came to a grinding halt on Monday due to a one-day trade union strike at its German hubs.
As a consequence the airline's flights from Germany to Mumbai, Delhi and Bangalore and their return legs were affected.
The airline said it is making alternate arrangements for passengers in India affected due to flight cancellations.
It said the flights from India will depart as per schedule early Tuesday.
Nearly all Lufthansa flights within Germany and Europe will be cancelled.  In all, only 20 of the 1,650 planned Lufthansa short-haul flights on Monday will operate due to the limited flight schedule, the airline said in a statement. The airline said it was operating only six long haul flights from Frankfurt and seventeen flights from Munich due to the labour trouble.
22/04/13 Aneesh Phadnis/Business Standard

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KFA jet repossession: Airports say local courts higher than int’l law

Paris/ New Delhi: Indian airports have claimed international law must take a back seat to local courts in a row with foreign aircraft leasing firms over the future of grounded Kingfisher Airlines jets, according to government minutes seen by Reuters.
The stance taken by Mumbai and Delhi airports could further complicate the leasing firms’ attempts to recover jets supplied to Kingfisher, as other creditors also try to recoup some of the $2.5 billion of debt left when the airline, set up by liquor baron Vijay Mallya, halted flights in October.
That in turn could affect leasing firms’ willingness to deal with Indian airlines in future, or at least make financing for local carriers more expensive, aviation analysts said.
Aircraft leasing firms like ILFC are at the heart of the $100 billion-a-year passenger jet industry. Their role has grown dramatically as cash-pinched airlines try to contain their capital spending, and experts say lessors now account for about 40 percent of the modern jetliner fleet.
22/04/13 First Post.com

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DRI nab three - one at MIA, and two at Mumbai airport

Mangalore: Sleuths of Directorate Revenue Intelligence (DRI) busted part of a four-member gang of international-domestic gold smugglers arresting three of them and recovered 500 grams of gold worth Rs 12.5 lakh from them on Sunday. While one passenger was arrested at Mangalore International Airport, air intelligence unit personnel at Mumbai nabbed two others based on information given by DRI at Mumbai airport and recovered gold there.
Informed sources in know of the operations of this gang told TOI that they smuggled gold in small quantities on a regular basis from the Gulf. "Gang chose flights that connect domestic stations after an overnight international trip," the sources said. Accordingly, MKP Nazar, 33, resident of Vadakara in Kerala arrived by the Jet Airways flight from Dubai that touched here this morning. This flight later took off for Mumbai by the time DRI sleuths could reach it.
21/04/13 Jaideep Shenoy/Times of India

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TMC MP asks PM to suspend talks on flying rights with Abu Dhabi

Trinamool Congress MP Dinesh Trivedi has written to Prime Minister Manmohan Singh seeking a suspension of talks aimed at increasing bilateral flying rights between India and Abu Dhabi. Discussions on the issue between the two sides are scheduled for next week.
At a meeting of the Parliamentary Standing Committee on Tourism, Transport and Culture headed by Sitaram Yechury on Thursday, some MPs are reported to have voiced their concerns over Abu Dhabi getting more access to India through its proposed equity participation with Jet Airways.
Significantly, Trivedi as railway minister had vigorously pushed for reforms that included partnerships with the private sector and making the sector vibrant.
"I have no issues if Air India is closed down, but as long as as it is state-owned carrier, I need some good reason for this (granting Jet the additional seats). I'm not convinced about the reasons for this. I don't want to see more money being pumped into AI if there is no survivial plans," Trivedi said.
21/04/13 Indian Express

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Jet-Etihad deal will spell disaster for Air India: Dinesh Trivedi

New Delhi: Warning that the proposed deal between Jet Airways and Gulf carrier Etihad to increase number of flights will lead to a "certain demise" of the national carrier Air India, former Railway Minister DineshTrivedi today demanded that a fresh look be taken on it.
Seeking "re-examination" of the process, Trivedi in a letter to Prime Minister Manmohan Singh sought his intervention, asking him to keep the talks related to the deal in "abeyance".
"Instead of giving Air India time it needs to consolidate as well as expand its network to more points, and to develop Delhi as its hub, the proposal of the Government to enhance Abu Dhabi's entitlements will only hasten its demise," he said.
20/04/13 PTI/Economic Times

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Air India to fly Dreamliners again as US gives go-ahead

Mumbai: The Dreamliner will take to the skies again. The Federal Aviation Administration has approved the modification of batteries of the Boeing 787 plane. After a three-month wait, Air India will put the planes into operations from mid-May, on completion of the modification process. Separately, the national carrier is demanding $90-100 million in compensation from Boeing for the loss due to grounding, airline sources said.
Boeing did not respond to an email on the issue of compensation.
Air India has six Boeing 787s, which it flew on domestic routes and to Paris, Frankfurt and Dubai. It will have to wait for Director General of Civil Aviation Arun Mishra's nod to use the planes for global flights. Mishra is of the view Air India use the plane on domestic routes when it starts 787 flights. "We feel initially the plane be flown on two-three-hour domestic routes instead of seven-eight hour global ones,'' he said. It will be easier to respond to an emergency situation if the aircraft is flown in India, he added.
20/04/13 Aneesh Phadnis/Business Standard

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Pardoned by court, US man goes free

Mumbai: The Andheri metropolitian magistrate court pardoned a US citizen Christopher Willis who was arrested and charged for possessing a bullet at the Santa Cruz airport. He can now return to his homeland.
Willis was travelling to India to work with a charity organisation that works on water preservation projects across Maharashtra.
On January 11, 2013, the Santa Cruz Airport police arrested the 28-year-old in the morning after he was found carrying a 0.40 mm live cartridge. Willis was on his way to Pune to work with a charity organisation.
He was found carrying the bullet by the CISF — in charge of the Airport security — when his bag was put in the X-ray machine.
20/04/13 Swathi S Akella/Asian Age

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Plea for exit visa by two Algerian commercial pilots: Karnataka HC orders notice to Union government

Bangalore: The Karnataka high court has ordered notice to Union government (Emigration department) and M/s Volk Airlines, a city based airlines company with regards to a petition filed by two commercial pilots hailing from Algeria.
Justice S Abdul Nazeer also ordered notice to Foreigners Registration office at Bangalore upon a petition filed by Capt. Saad Hadj and Capt Azzeddine Benziani.
The the petitioners have sought for a direction to the authorities for issuing exit visas. They have claimed that they were unable to leave India by getting exit visa as their Indian employer failed to submit Tax Deducted at Source (TDS) certificates. The Bangalore-based airlines had employed them in January- February 2012 as Type Rating Examiners (TRE) for a salary of 14,000 US dollars per month, approximately Rs 7.8 lakhs(at the current exchange rate ) per month .
20/04/13 Times of India

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Bomb threat grounded Amritsar-Toronto flight: Intel

Chandigarh: Amid mounting chorus to resume international flights from Amritsar, an intelligence document sent to the Punjab government and Amritsar airport authorities has now revealed that the Amritsar-Delhi-Toronto flight, that was cancelled last year, could have been discontinued due to a bomb threat by several radical Sikh groups based in Canada.
The intel note, dated August 12, 2012, sent as a routine alert before I-Day, to the airport authorities across India, had cited "the unleashed protests against hanging of Punjab militant Balwant Singh Rajoana by radicals, looking to plan an attack on Air India flights from Amritsar as a cause for concern".
The note said they had alerted the national carrier and intelligence agencies across India, through several messages, on "possible attacks at airports including Amritsar and Hyderabad".
20/04/13 Times of India

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Singapore Airlines Group and Changi Airport to benefit as India-Singapore market opens up further

The Singapore-India market is poised for a modest increase in capacity, driven by further expansion from the Singapore Airlines (SIA) Group made possible by the recent signing of an expanded bilateral between the two countries.
The updated air services agreement only increases the previous capacity allotment for Singapore-based carriers by 10%. But SIA will take whatever it can get as Singapore-India is an important and generally under-served market. Incremental increases are typical with the India-Singapore bilateral, which has been updated several times in recent years, although Singapore would prefer a much bigger and broader agreement.
SIA along with full-service subsidiary SilkAir and low-cost carrier affiliate Tiger Airways already account for over 70% of capacity between India and Singapore. Indian carriers do not require a revised bilateral as they were using less than 40% of the prior allotment. Indian carriers over the last year have seen their share of the market decrease and may see their share drop further by the end of 2013 as the SIA Group again boosts capacity to India.
19/04/13 CAPA

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Delhi, Mumbai airport operators oppose more flights to Etihad

Mumbai/New Delhi: The GMR and GVK groups, which run the Delhi and the Mumbai airports, respectively, have strongly opposed a plan to increase air traffic rights between India and Abu Dhabi, fearing an adverse impact on their hub prospects. The two companies have taken up the issue of opening up the skies to United Arab Emirates (UAE)-based Etihad Airways with the civil aviation ministry, which would negotiate an air service agreement with UAE next week.
Air service agreements dictate the frequency, number of seats and destinations for airlines operating between two countries. Typically, the benefits are reciprocal in nature. The Delhi airport’s opposition comes in the wake of Jet Airways’ plans to seek 40,000 additional seats between India and Abu Dhabi.
Currently, airlines from both sides are allowed 13,000 seats a week. Following Etihad’s acquisition of stake in Jet Airways, the UAE-based airline would tap into the Indian market to feed its global routes. This has led to jitters among Indian airlines and airports. The move, aviation sources said, would impact all other airlines, especially Air India, which flies to Europe and the US. “Not even Emirates has been allowed so many seats at one go. Etihad can demand a similar number of additional seats,” said an executive at a private airline.
Jet Airways flies to Abu Dhabi from Mumbai and Delhi, while Etihad connects 10 UAE cities with India.
19/04/13 Aneesh Phadnis & Disha Kanwar/Business Standard

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Jet Airways to use Abu Dhabi as its gateway for global operations

Mumbai: The proposed Jet-Etihad Airways alliance will cement the position of Abu Dhabi as a major aviation hub and the Naresh Goyal-owned  airline plans to use the Gulf airport  to launch new international flights to the US, Europe and cities in West Asia such as Amman, Beirut and Baghad, airline sources said. The airline will use fifth freedom rights under the air service agreement between India and Abu Dhabi to start the new services.
Fifth freedom rights allow airlines to do one-stop flights and pick up passengers from the transit point to its final destination. The agreement between India and Abu Dhabi signed in 2007 gives Indian carriers fifth freedom rights but this was not utilised till now. Jet Airways is launching  Kochi-Abu Dhabi-Kuwait flight next month making use of that entitlement.
19/04/13 Aneesh Phadnis/Business Standard

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Jet chief Goyal meets Ajit, 'briefs' him on Etihad deal

New Delhi/Mumbai: Ahead of clinching a deal with Etihad, Jet Airways chief Naresh Goyal Thursday met Civil Aviation Minister Ajit Singh and is understood to have briefed him on the ongoing negotiations over the Gulf carrier's investment move.
Singh and Goyal were closeted for about 45 minutes with sources saying that the Jet-Etihad deal was on the agenda.
Since the government relaxed ownership rules and allowed foreign airlines to buy up to 49 percent stake in Indian airlines, the Abu Dhabi-based carrier has been in talks for a 24 percent equity stake in Jet worth around USD 300 million.
A few weeks ago, Etihad paid Jet USD 70 million for the latter's three slots at London's Heathrow Airport.
A major factor for the delay in clinching the deal is the absence of a Bilateral Investment Protection Agreement (BIPA) between the two nations, with Indian negotiators trying to convince UAE government not to hold the deal till BIPA was finalised.
18/04/13 ZeeNews

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2 Air India pilots suspended

 New Delhi: Two pilots of an Air India flight, which landed at Mumbai airport last Friday without air traffic control (ATC) clearance, have been suspended.
"Pending the enquiry, the Air India management had suspended both the pilot and the co-pilot. They will not fly again till they come clean," a senior airline official said.
He said if they are found guilty, then further action would be taken against them.
Air India flight AI-944 from Abu Dhabi had reportedly landed at the Mumbai airport on Friday morning without the requisite clearance from the ATC.
Also, within 60 nautical miles of landing, the aircraft had changed its communication frequency, allegedly flouting laid-down procedures.
19/04/13 PTI/Business Standard

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14 weekly flights to connect India with Tajikistan

Dushanbe: For the first time, over a dozen direct flights will soon operate between India and the mineral-rich Tajikistan, a move aimed to further bilateral trade and people-to-people contacts.
As many as 14 direct flights will be made operational by a Tajik private air carrier to connect both the countries from May this year, an Indian Foreign Ministry official said.
"There will be 14 flights a week between India and Tajikistan. The flights will be operated by Somon Air starting May," the official said.
Somon Air is the first private airline of Tajikistan, and operates flights to over 20 locations. The decision was taken during Vice President Hamid Ansari's visit to Tajikistan, where he held a series of meetings with Tajik leadership.
19/04/13 PTI/Economic Times

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IndiGo urges government to ensure level playing field amid AirAsia's entry in India

Mumbai: Budget carrier IndiGo said that it welcomed AirAsia's entry into Indian aviation space but urged the government to ensure a level playing field, as per an Economic Times report. Aditya Ghosh, President, IndiGo, said any kind of competition is good as it "keeps us on our toes. It also helps policy and customers."
"There should be a level playing field for Indian carriers to do well," said Ghosh. He went on to say, "If an Indian carrier wants to fly overseas, it has to wait for five years. Indian carriers must seek permissions every summer and winter for routes. These things don't apply to a foreign carrier."
Last month, Indian government permitted Malaysia-based AirAsia to establish a passenger airline with Tata Sons Ltd and Arun Bathia of Telestra Tradeplace Pvt. Ltd. It is due to start operations later this year.
19/04/13 TravelBizMonitor

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Air France-KLM appoints Bharati Mongia as Regional Manager – West and South India

New Delhi: Air France-KLM has appointed Bharati Mongia as its Regional Manager – West and South India. She will be responsible for sales in the regions, a press release stated. Prior to this, she was the Marketing Manager – India, followed by Sales Manager – Global and National with the airline company.
Mongia brings with her over 16 years of work experience with Air France-KLM. Holding an MBA degree in marketing, she has experience in handling communication, distribution, customer service, loyalty programmes and sales.
19/04/13 TravelBizMonitor

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FAA ready to send 787 back to the skies

The Federal Aviation Administration (FAA) is expected to approve the Boeing 787 Dreamliner’s return to passenger service as early as Friday afternoon.
Barring unforeseen last-minute hitches, Boeing’s new airplane will finally be allowed back in the air — three months after the fleet was grounded worldwide in the wake of two incidents in January in which the plane’s lithium-ion batteries overheated.
A person familiar with the details said federal officials were preparing late Thursday to issue the go-ahead. That means the FAA approves of the Dreamliner with Boeing’s new safety-enhanced lithium-ion battery system installed.
Since Boeing completed a series of 20 preapproved tests of its new battery system April 5, the aviation business has been buzzing with speculation as to when the FAA would arrive at a decision.
18/04/13  Dominic Gates/Seattle Times

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Etihad to bid for stake in India’s Jet Airways

Dubai: Talks are “still in progress” for Etihad Airways’ potential deal to buy equity in India’s Jet Airways, the Abu Dhabi-based carrier’s chief executive James Hogan yesterday.
Pressed about the time frame on the deal’s progress, Hogan said: “There is never a time frame in business, talks are still in progress. When you’re dealing with governments and bi-laterals, we are in the hands of others. What is important is that talks haven’t stopped. They are still in progress.”
18/04/13 Gulfnews.com

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Nextant Aerospace sees opportunities in Asia

According to Nextant, Asia has lowest penetration of business jets among super rich in the world and the number of billionaires are set to double in the next ten years.
Nextant are focusing on Asia signing deals with China Great Wall Industrial Corporation and Jet Aviation Singapore.
The entry-level business jet market in Asia has grown rapidly over the last decade with the five years to 2012 seeing a 74% increase in deliveries on the previous five year period (2003-2007). Globally, deliveries of business jets grew by just 6% between the same two period.
In spite of this recent growth, the business aviation market in Asia remains relatively underdeveloped compared to the rest of the world and is likely to continue to grow as its economies and high net worth populations continue to expand. It is for these reasons that Asia has been identified as a core part of Nextant’s expansion strategy.
18/04/13 Corporate Jet Investor

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Jet-Etihad deal may be finalized within a month: sources

New Delhi: The stake sale deal of Jet Airways and Abu Dhabi based Etihad Airways may be finalized within a month, said a source in the aviation ministry.
It was earlier expected that the deal would be delayed till August as the Abu Dhabi carrier sought assurances following setbacks for several Gulf investors in India.
Etihad, which is expanding globally, has been in talks over an equity stake in Jet of 24%, valued at around $300 million since September after India relaxed ownership rules and allowed foreign airlines to buy up to 49% in local carriers.
Sources in the aviation ministry said, “The issues related to BIPA with UAE will take its own course. The government is finding ways to assure UAE government on investments into India.The deal could be finalized even before BIPA takes shape.”
17/04/13 Disha Kanwar & Reuters/Business Standard

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India’s inbound arrival to go up in next 6 months

India’s inbound tourism strategy needs to be tailored to the leisure segment, business travel, while medical and adventure tourism and domestic tourism should be targeted at the middle age segment (35-50 years) to cash in on the rising disposal incomes and increased propensity to travel, a quick survey by FICCI reveals.
The survey findings released to the media today by Jyotsna Suri, Vice President and Chairperson of FICCI’s Tourism Committee, show that a bulk of the respondents (37%) saw the potential growth in inbound tourism in the leisure segment.
Business travel and medical tourism came second with adventure tourism, the third. The respondents are of the view that India’s tourism should target the middle age segment (35-50) to accelerate its growth. The strategy, hence, should be to capitalize on the growing disposable incomes on travel and entertainment. The survey received 480 written and telephonic responses from tourism industry professionals in hotels of all categories, tour operators, travel agents, airlines, investors and tourism associations.
16/04/13 eTN

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Man arrested for carrying five venomous snakes in flight

Chennai: Customs officials arrested a man at the airport here with a suitcase containing five venomous snakes on Wednesday.
Airport sources said the arrested Mohammed Azarudin, who arrived by a Thai Airways flight, told the Customs officials that one of his friends in Thaliand gave the suitcase to him with a request to handover it to a person in Chennai.He said he was given Rs 10,000 for carrying the suitcase and was unaware of the contents in it.
17/04/13 PTI/IBN Live

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Branson says possible Indian venture would use existing Virgin model

Virgin Atlantic  founder and magnate, Richard Branson, has revealed that his group is now actively considering launching an Indian subsidiary using the carrier’s Australia, Virgin Australia , and US, Virgin America , operations as a model. The move comes after in 2012, the Indian government revised legislation permitting foreign airlines to hold up to 49% equity in Indian carriers except for Air India.
16/04/13 Ch-Aviation

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Go Air to operate direct flights from Mumbai to Srinagar

Jammu: The Go Air Would operate its direct flights from Mumbai to Srinagar from tomorrow and is also exploring possibilities to operate night flights from several capital cities of the states of the Country to Srinagar to meet the rush of tourists to the Valley and other destinations of the State.
This was disclosed by the Chief Executive Officer of Go Air Company during his meeting with the State Tourism Minister,  Ghulam Ahmad Mir here on Thursday.
The Tourism Minister hailed the steps of the Company and hoped that the Company would soon start its night flights to Srinagar from different Cities for the convenience of tourists.
17/04/13 Scoop News/Ground Report.com

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Jet Airways for trebling of seats between India and Abu Dhabi

New Delhi: In the backdrop of an impending deal with Gulf carrier Etihad, Jet Airways is pushing hard in favour of the Abu Dhabi government's demand to treble the number of seats flown between the two countries to over 40,000 per week from 13,300 at present.
According to government sources, Abu Dhabi has asked for a huge revision in the number of seats used by airlines to fly between the two countries and the negotiations with the Indian government will take place next week in the Emirate.
The ministry of civil aviation, therefore, is preparing an estimate on how many more seats between the two regions would be in the country's interest, for which they sought the views and requirements of domestic airlines.
17/04/13 Anindya Upadhyay/Economic Times

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AirAsia's Tony Fernandes to rely on Kathleen Tan to pilot India take off

New Delhi: Tony Fernandes, founder of Malaysian budget carrier AirAsia, which has six airlines under its fold, will be banking heavily on a woman to ensure the success of his impending India launch. Not surprisingly, months ahead of launching AirAsia India operations, Tony will lean on Kathleen Tan, 52, his decade-old associate at AirAsia, to build the India travel market, just as she did for the airline in China.
Tan, who is known as his 'right hand' in aviation circles and was the airline's former commercial head, has been appointed CEO of AirAsia Expedia (AAE), a JV between AirAsia and travel portal Expedia. It was Tan's original marketing gimmick to offer a million discounted flight seats - a pioneering move which she introduced first in 2005 for AirAsia. This strategy was adopted, this year, by SpiceJet and Jet Airways.
Though, Tan is no more on AirAsia's payroll but she is not too far away either from her previous employer. Tony reads her shift to Expedia as a "gain for AirAsia".
16/04/13 Anindya Upadhyay/Times of India

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AirAsia entry: DGCA will have to pen norms on extra charges

New Delhi:  The debate over airlines raising revenues has been reignited with the impending arrival of ultra low cost airline AirAsia in India. AirAsia charges passengers over and above ticket prices for everything – for every piece of check-in luggage, for preferred seats, for meals and for blankets.
When it begins operations later this year in the domestic market, wouldn’t there be a clamour for similar charges by other LCCs?
A source in DGCA said it was possible that airlines would imitate AirAsia’s model and seek permission to levy these charges.
“But airlines have just been talking about these, no one has made any formal request to the DGCA to look into this issue till now.”
These sources also said airlines such as IndiGo and GoAir already offer preferred seats with meals and this service is chargeable.
16/04/13 Sindhu Bhattacharya/First Post.com

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GMR-Maldives arbitration over Male airport to commence next year

Male/New Delhi: Arbitration proceedings in the airport contract row between Maldives and GMR Group will commence in the middle of next year though an exact date has not been finalised yet.
Maldives' Deputy Solicitor General Ahmed Usham, who represented the government in the preliminary hearing on the arbitration proceedings held in London on April 10, said both parties had agreed to commence proceedings by the middle of 2014 and were now waiting on arbitrators to confirm the exact schedule for when their respective cases would be presented, media reports in Male said today.
Asked about the meeting, a GMR spokesperson said in New Delhi that it was "the first meeting and primarily preliminary in nature. We await the procedural orders from the panel".
Haveeru, a daily newspaper in Maldives, reported that GMR had proposed to commence proceedings next April, while the government had proposed next September.
15/04/13 PTI/NDTV.com

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Mid-flight medical emergency

Kolkata: A Saudi Arabian Airlines flight from Jeddah to Singapore with 297 passengers made a priority landing at Kolkata airport on Monday morning following a medical emergency on board. The flier, 70-year-old Abdul Rehman, died at a private hospital. He had complained of chest pain and uneasiness in flight, requiring the unscheduled touchdown at Kolkata around 10.35am. Special visas were issued to him and two relatives on the flight but Rehman died of a heart attack in hospital. '
16/04/13 Times of India

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Jet Airways enters code share agreement with South African Airways

Mumbai: Private carrier Jet AirwaysBSE 0.85 % today said it has entered into a code share arrangement with South African Airways to offer seamless travel to South Africa-bound passengers.
The code share agreement comes into effect from April 18, a Jet Airways release said here.
Code-sharing allows an airline to book its passengers on its partner carriers and provide seamless transport to multiple destinations where it has no presence.
Under the arrangement, Jet Airways will code share on South African Airways' flights between Mumbai and Johannesburg and beyond to Cape Town and Durban, the release said.
16/04/13 Economic Times

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Danzka becomes pouring vodka on board Air India

Danish brand Danzka has signed a contract with Air India to be the exclusive pouring vodka on board all flights for the next two years, starting in April. The deal was made in cooperation with Belvédère Scandinavia's sister company in India, Sobieski Beverages India.
Danzka was relaunched in Indian domestic and duty-free markets earlier this year and the new contract with Air India aims to increase brand awareness in the country, company executives said.
16/04/13 Nicole Mezzasalma/DFNIonline.com

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Al Bustan Centre and Residence welcomes SpiceJet Crewmembers

Dubai: Al Bustan Centre and Residence, the popular hotel apartment among visiting tourists and businessmen in the heart of Dubai, recently welcomed SpiceJet Crewmembers for a comfortable stay at the hotel.
SpiceJet connects Sharjah with Varanasi and Lucknow and it's one of the most preferred airlines in terms of airfares.
SpiceJet captures 19.3% of market share in the Indian domestic market, delivering the lowest airfares with the highest consumer value. The Airline currently operates more than 300 daily flights to 44 Indian cities and 7 International destinations namely Dubai, Colombo, Kabul, Kathmandu, Riyadh, Guangzhou and Male connected using SpiceJet new generation fleet of 36 Boeing 737-800/900ER aircrafts which are of the highest standard in safety and operating efficiency along with our newly acquired 15 Bombardier Q400 aircraft for enhancing connectivity to Tier II and Tier III cities.
16/04/13 AMEinfo.com

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Air links and visas still an issue for Indian inbound to Philippines

Jaipur: Encouraged by last year's 25 per cent year-on-year growth in Indian arrivals, the Philippines is looking at increasing flight connections between the two countries and easing its visa requirements.
The destination is aiming to increase arrivals from India by an ambitious 43 per cent to a total of 66,000 visitors in 2013, up from last year’s 46,000.
Benito Bengzon, assistant secretary – international tourism promotion, Philippines Department of Tourism (DoT), noted that India was already among the country’s top 15 source markets.
Planning to target MICE groups and Indian filmmakers, the DoT is looking for airlines interested in connecting key Indian cities to Manila in the hopes of doubling the number of such flights. Currently, Philippine Airlines runs a thrice-weekly service between New Delhi and Manila via Bangkok.
16/04/13 Shekhar Niyogi/TTG Asia

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Pilgrims see red at airlines' un'fare' hike

Hyderabad: Around 400 Umrah pilgrims scheduled to fly to Saudi Arabia (SA) by Saudi Arabian Airlines (SAA) were left dazed and confused after airlines officials demanded Rs 5,000 extra over and above the airfare, days after issuing tickets to them.
A software glitch reportedly caused an airfare calculation blunder which has left pilgrims furious. Many of them thronged the airline's office and demanded an explanation.
They were told that the airfare was miscalculated due to a technical error and that the actual fare was around Rs 30,000, some passengers said.
According to travel agents and passengers, the SAA on April 8 and 9 had declared Rs 24,700 as the airfare for a return trip to Jeddah, a city which is a 45-minute drive from the pilgrimage site in Mecca.
16/04/13 Syed Mohammed/Times of India

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