New Delhi: Even as Indian airlines went in for a fourth discount war this year, they have been simultaneously pressing the Government for relief in several areas to bring down their expenditure.
Thanks to the fare discounts, SpiceJet and GoAir increased their market share although IndiGo retained the top position in terms of passengers flown. In terms of load factor, GoAir, SpiceJet and Air India were almost on par as was new entrant AirAsia with about 80 per cent of occupied seats.
Analysts say offering of deep discounts is a ploy to corner market share and the figures show the airlines have been successful in luring travellers even in financially distressed times.
But balance-sheets show while SpiceJet and IndiGo lead the discount wars and load factors, they also carry huge debts. As the Civil Aviation Ministry’s answers to questions in Parliament have revealed, most civil airlines have defaulted on a wide variety of taxes. Alarmed by the chronic defaults, the Director General of Civil Aviation has already started examining the books closely, beginning with SpiceJet.
02/08/14 Sandeep Dikshit/The Hindu
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Thanks to the fare discounts, SpiceJet and GoAir increased their market share although IndiGo retained the top position in terms of passengers flown. In terms of load factor, GoAir, SpiceJet and Air India were almost on par as was new entrant AirAsia with about 80 per cent of occupied seats.
Analysts say offering of deep discounts is a ploy to corner market share and the figures show the airlines have been successful in luring travellers even in financially distressed times.
But balance-sheets show while SpiceJet and IndiGo lead the discount wars and load factors, they also carry huge debts. As the Civil Aviation Ministry’s answers to questions in Parliament have revealed, most civil airlines have defaulted on a wide variety of taxes. Alarmed by the chronic defaults, the Director General of Civil Aviation has already started examining the books closely, beginning with SpiceJet.
02/08/14 Sandeep Dikshit/The Hindu
