Monday, June 19, 2006

AI, Indian see opportunities in merger

As the global civil aviation scenario undergoes rapid changes, Air India and Indian (erstwhile Indian Airlines) strongly believe that their proposed merger by this year-end will endow them with a distinct competitive position but thorny issues of manpower and operational integration may still pose challenges.
Already there is a move to set up at least four joint working groups to prepare a business plan with a combined fleet, a common schedule and a single balance sheet as one organisation. Consultants will be appointed soon to suggest a road map for the merger.
With a combined fleet strength of 160-plus aircraft after merger, AI-IA will be better able to compete with global players like Air France-KLM with 480 aircraft, Lufthansa-Swiss with 401 aircraft, British Airways with 284 aircraft, Singapore Airlines with 126 and Jet-Sahara with a fleet strength of 80 aircraft.
19/06/06 The Hindu

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