2014 proved to be quite an eventful year for the aviation sector, with two new airlines getting licences to fly, another one almost shutting down, a fare war, the sector's safety downgrade and Tatas' re-entry into the Indian skies - it was quite the mixed bag for Indian skies.
The Downgrade
The year started off on a not so great note for the sector, when the US Federal Aviation Administration (FAA) downgraded India's aviation safety ratings from the top to second category in January.
New Airlines
Malaysian budget carrier AirAsia made its debut in Indian skies through its Indian arm in June and become the fourth no-frills airline after IndiGo, SpiceJet and GoAir. AirAsia India, a three-way venture between Malaysia-based AirAsia Berhad, Tata Group and Delhi-based investment firm Telestra Tradeplace launched its maiden flight on June 12 from Bangalore to Goa.
Vistara - a joint venture between Tata Sons and Singapore Airlines - on December 15 received the Air Operator Permit (AOP) or flying permit from aviation regulator Directorate General of Civil Aviation (DGCA).
SpiceJet Crisis
Billionaire Kalanithi Maran's Sun group controlled SpiceJet came close to shutting down, but managed to buy more time from the government and the regulator after its co-founder Ajay Singh got involved in talks with the authorities. SpiceJet has bank loans of Rs 300 crore.
Fare War
Ever since AirAsia entered the Indian skies, airline companies were locked in fare war for most parts of the year. IndiGo, SpiceJet, Jet Airways and the AirAsia all tried to pip each other with one promotional offer after the other with fares going to three-figure numbers.
Jet-Etihad Deal
Jet Airways and Etihad on November 20 announced closure of a Rs 2,069-crore deal for the Abu Dhabi- based carrier to pick up 24 per cent equity in the Indian airline, marking the first FDI infusion by an airline in the Indian aviation sector.
31/12/14 Ramarko Sengupta/NDTV
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The Downgrade
The year started off on a not so great note for the sector, when the US Federal Aviation Administration (FAA) downgraded India's aviation safety ratings from the top to second category in January.
New Airlines
Malaysian budget carrier AirAsia made its debut in Indian skies through its Indian arm in June and become the fourth no-frills airline after IndiGo, SpiceJet and GoAir. AirAsia India, a three-way venture between Malaysia-based AirAsia Berhad, Tata Group and Delhi-based investment firm Telestra Tradeplace launched its maiden flight on June 12 from Bangalore to Goa.
Vistara - a joint venture between Tata Sons and Singapore Airlines - on December 15 received the Air Operator Permit (AOP) or flying permit from aviation regulator Directorate General of Civil Aviation (DGCA).
SpiceJet Crisis
Billionaire Kalanithi Maran's Sun group controlled SpiceJet came close to shutting down, but managed to buy more time from the government and the regulator after its co-founder Ajay Singh got involved in talks with the authorities. SpiceJet has bank loans of Rs 300 crore.
Fare War
Ever since AirAsia entered the Indian skies, airline companies were locked in fare war for most parts of the year. IndiGo, SpiceJet, Jet Airways and the AirAsia all tried to pip each other with one promotional offer after the other with fares going to three-figure numbers.
Jet-Etihad Deal
Jet Airways and Etihad on November 20 announced closure of a Rs 2,069-crore deal for the Abu Dhabi- based carrier to pick up 24 per cent equity in the Indian airline, marking the first FDI infusion by an airline in the Indian aviation sector.
31/12/14 Ramarko Sengupta/NDTV
