AI to spell out plan to use bailout funds

Mumbai: National Aviation Company of India (Nacil), the company that operates Air India, will table a blueprint to the civil aviation ministry this week to utilise the Rs 14,000-crore bailout package, if it is granted. The meeting assumes importance, as it is going to be the last interaction of Nacil with the ministry before the finance minister announces the Union budget next month.
In addition, the meeting will also look at the issues, such as the setting up of the National Passengers’ Advisory Board to address passengers’ needs, ways to optimise capacity and prepare a viable business model for the next five years.
The revised Rs 14,000-crore proposal was finalised by Air India recently and submitted to the civil aviation ministry last week. Earlier, Air India has asked for Rs 7,000 crore as a soft loan and Rs 5,000 crore as equity infusion.
“We have submitted a proposal to the ministry recently asking for a bailout package,” said the Nacil spokesperson without divulging the package. He further confirmed that Air India is setting up a National Passengers’ Advisory Board to address passengers’ needs and comfort.
However, he chose not to comment on the proposed meeting. Under its new chairman Arvind Jadhav, Air India has been taking measures not just to sort out differences on the ground handling policy, but also initiating customer outreach programmes, said a senior Air India official. This will include creating a system where passengers can send their feedback.
However, he chose not to comment on the proposed meeting. Under its new chairman Arvind Jadhav, Air India has been taking measures not just to sort out differences on the ground handling policy, but also initiating customer outreach programmes, said a senior Air India official. This will include creating a system where passengers can send their feedback.
08/06/09 Mithun Roy/Economic Times

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

Categories: NACIL Jun 2009