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The losses came down from Rs 7,200 crore the airline suffered in 2007-08 to Rs 5,548.26 crore in 2008-09. Total revenue fell to Rs 13,479 crore in FY'09 from Rs 15,252 crore during the previous fiscal.
The Air India board, which met in Chennai today, approved the annual accounts for the last fiscal, with the losses and fall in revenue resulting out of the global financial meltdown, low passenger load factors and falling yields.
The airline is facing a strike threat by pilots from November 24 after it proposed to slash incentives and allowances for them and other sections of employees as part of the cost-cutting measures.
A Group of Ministers (GoM), headed by Finance Minister Pranab Mukherjee, would be meeting tomorrow to discuss the financial state of affairs and its restructuring and turnaround plan to take a call on government assistance to the ailing national carrier by way of equity infusion and soft loan.
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more than 800 personal per aircraft was once the ratio of Employees/aircraft, I do not know what is it now. Government PSUs are milked by bureaucrats and political leaders for self interest. Compare this with suicide of farmers who sacrifice their lives for unable to repay loan of few thousands - What Mr. Prafulla Patel has decided to do after this?
50% back door entries,lowest qualifications,experiences, recruited surplus IV empoloyees,administrative staff,mostly from the reserve categories. Free tickets, free travelling, kith and kins of Air India bureacrates,fake and bogus high ups far flung friends and realtives.TOILETEED EXTRA EARNINGS. Flight delayed not on account of any technical fault,but friends and relatives of bureacrates, air india employees reached late for over 2-3 hours,on one pretext or others, passengers already paid for their tickets,had to face so much harrasment from the air staff,LIED,LIED,LIED,LIED technical flaw,in fact delayed arrivals of families, especially the very low class bureacrates...mayawati clans
Immediately they should work on optimising costs ,since its a PSU the loss is actually to the people of India.I also appeal to people in US and EUROPE to please bring down their consuption of petrol and diesel by at least 20%so that ,the cost of oil comes down. The amount of the loss could have been used to feed over 5million orphans an year.
What else do you expect, with everyone connected with the airline and govt milking it not just dry but to bleeding? As long as it is with the govt, it will continue to lose. But, we all know, the officials and politicians will keep it alive and within govt control whatever be the cost.
Over a period of time (i.e.after Communists Parties are cleansed out of the Indian Political System), dis-investment / privatisation seems inevitable. Or else, Air India might get into a self winding-up mode.
Govt. should immediately close the damn thing. It will drain India dry.
I wonder what is the net worth of the company. I have a feeling the value of the company is less than the loss it has incurred!
Mismanagement 'FOR' absolute corruption, selling the airline business secretely to foreign airlines/private airlines IS the reason for this missery. Prime minister should expel civil aviation minister.RAW,IB and CBI should independently investigate AI actvities of last 10 years, minimum.
Indian government spends $3.5b on health and $8b (approximately) on education. If AI by itself loses more than $1b then it shows to what direction India is going and speaks volume about Indian establishment (babus and netas combined)
Government is meant for governing, not for flying aeroplanes! AI should be allowed to close down instead of being misused by politicians and officials. The huge amounts which go down the drain in trying to bail out AI will be better utilised in helping poor farmers.
Congrate Praful for bringing AI close to bankruptcy.Only issue to be discussed is not bailout but winding up AI.They must lease out their idle jets to competitors.Bringing Ratan at helms of affairs will not solve solvency issue since his own managed companies are posting huge losses. With indiscipline at its peak among workers no purpose will be served.Full sympathy for workers who are obviously upset at dagger being used against them.They have their own budget to maintain and overnight you can not snatch away those extra income sources.You are fuelling indiscipline.
Do the tax payers a favor and dont fly AI. THis airline should be forced to close. It is tool in the hands to corrupt polititions and beaurocrats to misuse. People who fly it are encouraging corruption.
You are very wrong there. If you have a sick at home, treat and get him well, not throw out.
Be it known to all that the CORRUPT politician,has siphoned off thousands of crores & left Air India dry.This is common knowledge & known to all in the Airline industry-However newspapers do not have the will or courage to take on our corrupt politicians.Almost 90% of our politicians are the likes of Koda.The country is sinking-because the MEDIA is INTENTIONALLY overlooking corruption.Fifty years from now-history will record India as a banana republic because of media's irresponsible actions & a peaceful hindu population.We will be the IRRESPONSIBLE generation that sank the country.Everyone in the media must THINK.Corrupt politicians must be chased & shamed in front of their constituency - this is the media's moral responsibility.