New Delhi: In an attempt to clear its debt early, Air India has decided to expedite the process of monetisation of assets, which is expected to give Rs 5,000 crore to the company, and complete it by the end of 2016 fiscal.
"Monetisation of assets is a part of the financial restructuring plan and was to be completed over a period of ten years at a rate of Rs 500 crore every year. The airline board has decided to complete the process in three years and also decided to use the money raised through asset sale only for clearing the debt," said a senior Air India official.
Air India chairman Rohit Nandan has entrusted joint managing director Nasir Ali to ensure that the asset sale is complete within a three year period.
To start off, the airline plans to raise Rs 1,200 crore in the 2013-14 fiscal. "Of the Rs 1,200 crore, Rs 800 crore will come from the sale of 4 acre land in New Delhi and the rest will come from sale of flats and land in Mumbai, Chennai and Coimbatore and sale of flats in Hong Kong and Nairobi," said the official.
16/02/13 Mihir Mishra/Indian Express
