Wednesday, March 07, 2007

An official budget airline

The recently merged Air India-Indian entity will soon be promoting a new domestic low-cost carrier (LCC) “to take on competition from other airlines within a years’ time.” An Air India official equated the project to plugging into a large power house and drawing energy from all sources to create a synergy which will galvanise passenger load in favour of the new entity.
Sources say the carrier will adopt the hub-spoke concept, where airport infrastructure at the disposal of the carrier will be leveraged to process passengers at ‘hub’ airports, and then they will be sent on secondary flights to ‘spoke’ airports, near their final destinations. Though the project is in its early stages, it is said that the new service will plug the current international LCC network — Air India Express — to the domestic one in times to come.
06/03/07 Manisha Singhal/Daily News & Analysis
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