AI to deploy larger aircraft to cut losses on India-US route

New Delhi: At present, the airline operates non-stop flights to New York from New Delhi and Mumbai daily, and also flies to Chicago. It makes losses of Rs 250 crore annually on these routes. The airline had also started flights to Washington and Los Angeles, but stopped operating on these routes, as they proved to be loss-making.
“We have tried various other ways in terms of hiring contract staff and offices at international destinations to make the India-US routes profitable. We have now decided to operate Boeing 777-300 ER (Extended Range) aircraft, which will give us 100 more seats a flight and increase our operating revenue,” said a senior Air India official, who did not want to be identified. We have applied for the necessary approvals for the same, the official added.
The national carrier operates on these routes with Boeing 777-200LR (Long Range) aircraft, which gives it a total of 238 seats — 195 seats in economy class, 35 in business and eight in first class. With 300 ER, the airline will get 342 seats — 303 in the economy class, 35 in business and four in first class.
The airline has a share of over 18 per cent in the domestic market, and carries over 33 per cent of the international passengers from India. But the airline is losing its market in the international sector to private Indian airlines.
21/11/10 Mihir Mishra/Business Standard

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Categories: Air India - International Nov 2010, Air India Nov 2010