Airlines rules out any impact

New Delhi: Even as government-run oil companies reduced the price for aviation turbine fuel (ATF) by 4.3 per cent today, airline operators said that it would not make much difference to losses suffered by them.
They maintained that all airline operators were in very bad financial health and if something drastic was not done to help their case, some operators might even turn bankrupt. The airline operators have reported a combined loss of Rs 4,000 crore for 2006-07 and they fear it might double during this financial year.
Speaking to reporters, Jet Airways’ chief executive officer (CEO), Mr Wolfgang Prock-Schauer, said that an increasing number of bankruptcies of airlines were being reported across the world and the same might happen in India as well. He said in the last couple of months, 24 global carriers had gone bankrupt, as they could not sustain because of rising ATF prices. Making the case for reduction in basic price of ATF, Mr Schauer said ATF prices in India were much higher than most other countries, primarily due to high taxes.
05/06/08 The Statesman

To Read the News in full at Source, Click the Headline

Categories: Indian Aviation- In General Jun 2008