Thursday, October 26, 2006

bmi flies out of India, Lufthansa trims flight

New Delhi: Even as passenger rush to India continues to cruise higher, the low returns on the sector is forcing international airlines to rethink — and even withdraw — some flights from India.
While Britain's low-cost airline bmi has pulled out its daily flight to Mumbai, marking its exit from India, Lufthansa has decided to curtail one flight from Hyderabad. These come on the tails of similar decisions by JetStar Asia and Myanmar Airlines, which withdrew services from Kolkata and Delhi respectively.
Though the airlines blamed these on technical reasons and non-availability of aircraft, industry insiders said the cut-throat competition — which had led to a drastic slash in ticket prices and a resultant dip in yields — is to blame.
26/10/06 Byas Anand/Times of India