Boost for ailing Air India, no bailout for Kingfisher

Hyderabad: Drawing the line between the private and public aviation sector, Union civil aviation minister Ajit Singh said on Wednesday that a financial restructure package that includes infusing government equity of Rs 6,500 crore into the ailing Air India will be placed before the Union cabinet this week and ruled out bailing out the beleaguered Kingfisher Airlines.
Addressing the media after inaugurating the third edition of Indian Aviation 2012 here, the minister said the bailout package that has been drawn up for Air India includes converting part of the short term loan into long term loan, and injecting Rs 6,500 crore as government equity. "But let me make it clear. We cannot bail out Air India indefinitely," Ajit Singh said.
On the ailing private airline Kingfisher , the Union civil aviation minister said as long as the airline maintains its flight schedules, ensures passenger safety and availability of pilots, the Centre has no issues with it.
15/03/12 Times of India

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

Categories: Air India Mar 2012, Kingfisher Mar 2012