Monday, July 21, 2008

Air India has to reduce flights to cut down losses: Patel

Mumbai: National air carrier Air India will have to take harsh decisions including reduction in flights to cut down the mounting losses and reduce expenditure, Union Civil Aviation Minister Praful Patel today said.
"Some harsh steps are required by Air India. They have to cut down loss-making routes. They could also reduce the expenditures," Patel told reporters on the sidelines of a function here.
All airlines are cutting down on routes, and Air India is also planning similar measures, he said, adding, "there are no directions from his Ministry on this issue".
The airlines can look at the excess capacity. But there will be no reduction in connectivity, Patel said.On the issue of a bail-out package to the airline industry in the country, the Civil Aviation Minister said that the Government does not give any subsidy or money to any airline.
"Airlines don't get any subsidy or money from the government. They bear the expenses only through their income. As long as these airlines can do so, fine, but if they can't, then they will have to cut down the routes," he said.
20/07/08 Press Trust of India
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