Air India to operate in new routes

Hyderabad: Air India (AI) is proposing to start operations in new routes in which it is not operating. It also plans to complete the process of establishing strategic business units (SBUs) for ground handling, MRO (maintenance, repair and overhaul), and training verticals by mid-2009.
Giving details to press persons here on Tuesday, Chairman and Managing Director of Air India Raghu Menon said AI was exploring launching flights to the West Coast of the U.S., South Africa and Australia, as it was not operating in these routes. The company was the first airline from India to become part of the 21-member Star Alliance, which operated 18,100 flights a day to various destinations across the globe.
“If the fuel prices stabilise below $80 a barrel, the company will have a double-digit growth. Then we will look at some more new routes,” said Mr. Menon.
Due to the cost escalation of aviation turbine fuel (ATF), AI was reducing its capacity in terms of number of flights and also routes by 12-15 per cent.
Asked if the company was contemplating any reduction in ticket charges, he replied in the negative.
The current occupancy ratio was 62-64 per cent against the ideal 74-75 per cent.
Air India, which was inducting A-319 into its fleet this month, received 38 out of the 111 aircraft it had ordered. Another eight aircraft would come by this year-end.
08/10/08 The Hindu

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Categories: Air India - International Oct 2007, Foreign Oct 2008, NACIL Oct 2008