New Delhi: Air India’s ambitions for a successful aircraft maintenance, repair and overhaul (MRO) business under its subsidiary Air India Engineering Services or AIES could be grounded due to problems of overstaffing. With an employee-to-hangar ratio of 200, and only 106 aircraft in its fleet, AIES will somehow need to attract a large amount of business from airlines in and around India to justify the large staff strength.
Air India, however, remains optimistic about the prospects of its engineering subsidiary. “Apart from servicing Air India’s fleet of 106 planes, we expect 20-30% business to come from outside India,” said Air India’s director (finance), S Venkat. “As the business grows, we think this should go up to 50%.”
“Although there are only two hangars under AIES, the subsidiary will have the right to use 35 hangars which are with Air India,” Venkat added.
10/06/13 Debabrata Das/Financial Express
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Air India, however, remains optimistic about the prospects of its engineering subsidiary. “Apart from servicing Air India’s fleet of 106 planes, we expect 20-30% business to come from outside India,” said Air India’s director (finance), S Venkat. “As the business grows, we think this should go up to 50%.”
“Although there are only two hangars under AIES, the subsidiary will have the right to use 35 hangars which are with Air India,” Venkat added.
10/06/13 Debabrata Das/Financial Express
