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Old June 21st, 2006, 12:24 PM   #381
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BRITISH AIRWAYS PROFT

BA profits, thanks to India, China

BY A CORRESPONDENT
May 24, 2006

British Airways is seeing a profit in its short-haul business for the first time in ten years, thanks to the traffic on the new India and China sectors, which have led to a profit increase of 21 per cent, with an operating profit of 705 million pounds on March 31, a substantial increase from last year's 556 million pounds. This despite spiralling oil prices and a series of strikes last year. The announcement was followed by the news that BA employees would be paid a bonus of 48 million pounds. The profit news has seen BA shares rise by seven per cent. In addition, it has led BA to revise its forecasts for the coming year, with an estimation of a rise in total revenues by 5 to 6 per cent, as against its previous estimation of 4 to 5 per cent.

According to industry experts, the profit can be attributed to traffic in first and business class which has offset rising oil prices of over $75 per barrel, new routes to India and China as well as strong demand for trans-Atlantic flights. Added chief executive William Walsh, "These are good results with revenue performance driven by improvements in seat factors and yield."

Meanwhile, BA"s fuel bill had soared to £1,632-billion last year, an increase of 44.7 per cent. In addition, the carrier had seen a strike triggered by the sacking of several employees by BA's in-flight caterer Gate Gourmet, that saw several BA employees at London's Heathrow Airport joining in, last August. This resulted in a grounding of all flights from the airport for 24 hours. However, last year also saw the doubling of all flights to India from London.

BA cannot afford to relax however. Its estimated fuel bill for March 2007 is in the region of an additional £600-million or higher. Walsh is also planning several cost-cutting programs that include the laying off of one-third of BA's managers, 400 workers at the direct sales operations level, as well as slashing of fares on flights between London and European destinations. In addition, it is looking to tackle its pension deficit issue by raising the retirement age by 5 years, to 65 years, a move that is likely to see severe resistance. Walsh is hoping, though, that the employees will not go on strike. He optimistically summed it up, saying, "There is nothing on our agenda to signal there will be any difficulties this summer."
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Old June 22nd, 2006, 02:21 AM   #382
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Jet-Sahara deal caught in political crossfire
Girish Kuber
22 June 2006
The Economic Times

MUMBAI: The Jet Airways-Air Sahara deal, while ostensibly a commercial one, has always had strong political undertones because of the Sahara Group's perceived closeness to UP CM Mulayam Singh Yadav and his close aide Amar Singh. The ruling Congress, sources say, may not be all that unhappy about the deal falling through.

According to a senior Congress minister in the Manmohan Singh cabinet, the party was never in favour of the Rs 2,300-crore deal that would have provided crucial financial support to the Sahara group. "Helping Sahara is like strengthening our enemy just ahead of the crucial battle in Uttar Pradesh," he said.

The largest state in the country is expected to go to polls in a few mo nths from now. The state assembly polls in UP are likely to see the end of the Congress-SP alliance at the state level which has been floundering for a while. Both the parties are trying to cut into each others' base for political supremacy.

A large section of Congressmen argued against strengthening Sahara. "We should not be helping this group," a section of this disgruntled Congressmen said. "Their opinion seems to have weighed in the government's final decision," this minister said.

Congressmen hope that Jet Airways chief Mr Goyal will "reciprocate" the party for helping him "wriggle" out of a deal that's gone sour. "Mr Goyal will be thankful to the Congress as it is becoming increasingly clear that Sahara was over-valued," another minister said, who claims to have advised Mr Goyal even before he signed a pact with Sahara.

On the other hand, civil aviation minister Praful Patel, who belongs to NCP, tried to wash his hands of the entire controversy. "My ministry has nothing to do with this issue," he told ET on Wednesday.

According to him, this is a tussle between two private companies in which the government has no role to play. "None of them has approached my ministry or me directly or indirectly. So where is the question of me intervening in the matter?" he asked.
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Old June 22nd, 2006, 02:25 AM   #383
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Federal inquiry into botched Air India bombing trial gets under way
21 June 2006

OTTAWA (AP) - Declaring that a tragedy such as the Air India terror bombing that killed 329 people must never be repeated, a retired Canadian Supreme justice on Wednesday officially opened his federal inquiry into the botched investigation and subsequent trial.

John Major opened the probe after meeting with family members who lost loved ones in the 1985 Air India bombing, which was Canada's worst case of mass murder. After Canada's longest and costliest investigation ever, a two-year trial ended in acquittals.

Relatives of the victims were devastated and demanded an inquiry.

In a statement launching the public inquiry, Major said the probe was the "only route left" to find out what happened, why it wasn't prevented and how to head off future terrorist attacks.

He candidly conceded the justice system had failed those aboard Air India Flight 182, downed by a bomb off the coast of Ireland on June 23, 1985. The dead included 280 Canadians, most of them of Indian origin or descent. More than 80 of the victims were children.

"This massive murder was the most insidious episode of cowardice and inhumanity in our history," said Major.

Major said he would examine the turf wars between the Royal Canadian Mounted Police and the Canadian Security Intelligence Service, the country's spy agency, which hampered the initial investigation of the bombing.

He will also consider whether three-judge panels should preside at high-profile terrorist trials, rather than the usual single judge. He will examine broader issues still relevant today, such as airline security and terrorist financing.

While the commission has wide powers of subpoena, it cannot find guilt nor make any award.

Witnesses will start testifying in late September and continue through next April. Major hopes to deliver a report in September 2007.

Air India Flight 182 from Toronto to London, originating in Vancouver, exploded and crashed off Ireland. An hour earlier, a bomb in baggage intended for another Air India flight exploded in Tokyo's Narita airport, killing two baggage handlers.

The prosecution claimed the bombings were acts of revenge by Sikh separatists in retaliation for a deadly 1984 raid by Indian forces on the Golden Temple at Amritsar, the holiest site of their religion.

Two Indian-born Sikhs, Ripudaman Singh Malik and Ajaib Singh Bagri, were acquitted in March 2005 when Supreme Court Justice Ian Josephson ruled there was not enough evidence against them.

A third man in the case, alleged bomb-maker Inderjit Singh Reyat, pleaded guilty to one count of manslaughter and was sentenced to five years in jail in 2003 after a plea bargain in which he was supposed to testify against Malik and Bagri.

Instead, he infuriated the court when he took the stand and claimed to know nothing about anyone or anything. He now faces a perjury charge in a trial to begin Aug. 2.
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Old June 22nd, 2006, 07:27 AM   #384
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SPICEJET RS 99 TICKETS

SpiceJet offers tickets at Rs 99

BY A CORRESPONDENT


Indian low-cost airline SpiceJet has announced heavily discounted airfares as part of its first anniversary promotions. SpiceJet, which has 49 flights to 11 Indian cities announced that 21,000 seats will be available for Rs 99 only. The offer available only for ticket bookings made on the internet, from the airline's website. The special fare scheme opens today (May 23, 2006), and closes on September 6, 2006.

Said Siddhanta Sharma, CEO of Spicejet: "Last one year has been a great experience for us and we would like to share this excitement with our valued patrons."

SpiceJet claimed that in the one year of its operation, it has carried 1.6 million passengers. It also claims 99.5 dispatch reliability and over 90% on-time performance. SpiceJet also said that it has over 86% load factor since March.

SpiceJet is an Ahmedabad-based low-cost airline, which was launched last year. Spicejet is a reincarnation of ModiLuft, a private airline which shut down in the late 1990s. Besides Jet Airways, SpiceJet is the only listed airline company in India.

SpiceJet tickets on Indiatimes
Indiatimes.com and SpiceJet have tied up to hawk SpiceJet tickets on Indiatimes travel section. Customers can book SpiceJet tickets through Indiatimes' real-time integration with SpiceJet's bookings system. SpiceJet already has a similar tieup with Makemytrip.com to hawk its tickets online.
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Old June 22nd, 2006, 07:28 AM   #385
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Frequent Flyer

Jet, Lufthansa in frequent flyer deal

BY A CORRESPONDENT


Jet Airways and Lufthansa German Airlines have entered into a reciprocal agreement that will benefit passengers of both airlines, who can earn and redeem frequent flyer miles by flying on either Jet or Lufthansa.

Jet Privilege programme members will be able to accumulate JPMiles when they travel on any of Lufthansa's 42 weekly flights to Frankfurt/Munich from Mumbai, Delhi, Chennai, Bangalore and Hyderabad. According to Wolfgang Prock-Schauer, CEO, Jet Airways and Werner Heesen, director, Lufthansa South Asia, said, "Frequent fliers of both Jet and Lufthansa will benefit by way of earning and redeeming frequent flier miles while travelling across the network of the two airlines."

The partnership benefits will extend to Lufthansa's entire network of 13,200 weekly flights across 188 destinations spanning 78 countries.

Meanwhile, members of Miles and More, Lufthansa's frequent flyer program, will be able to earn miles by flying Jet. Heesen added, "India is a strategic market for Lufthansa and we see tremendous growth coming from this region."

Calling the move a market-responsive one, Jet CEO Wolfgang Prock-Schauer said, "Growth trends being witnessed in frequent flyer programmes, both in India and abroad, and the resulting increase in the consumer demand are guiding our frequent flyer strategy." The high growth in the Indian aviation industry has seen an exponential increase in Jet's scheme.
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Old June 22nd, 2006, 07:30 AM   #386
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Jetstar

Jetstar Asia bids Kolkata goodbye
Singapore-Kolkata flights to be suspended from May

BY A CORRESPONDENT


Jetstar Asia, a Singapore-based low-cost airline is discontinuing services to Kolkata from May 1. Low passenger load factor, which still remains much below the break-even target of 75% has been named as the reason for the withdrawal.

Two other international airlines - Malaysian Airlines and Royal Jordanian Airways had recently withdrawn their Kolkata flights due to unavailability.

Jetstar will continue to operate schedules to Bangalore as usual. According to Jetstar, the affected passengers will be contacted and offered a refund, or a travel on Jetstar Asia's better-performing Bangalore-Singapore sector.

Jetstar is a Singapore-based airline with a majority Qantas holding. Chong Pit Lian, CEO of Jetstar also heads the twin airline Valuair.
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Old June 22nd, 2006, 07:32 AM   #387
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SriLankan Airlines, Air Deccan Lanka heat up Palk straits

More convenient timings, new flights from Colombo to Chennai, Coimbatore, Cochin

BY A CORRESPONDENT


SriLankan Airlines has stepped up its operations in India on several fronts. It is upgrading its planes on the Calicut (Kozhikode) route to increase capacity, besides introducing a new low-cost airline to three Indian destinations. In addition, SriLankan Airlines has brought forward flight timings for passengers from the Middle East headed for Indian destinations and arriving at Colombo for transit.

SriLankan Airlines has also gone for an upgrade on its A330 planes on the Colomobo-Calicut route that will allow an increase in capacity on the wide-bodied aircraft. Seats will increase from 140 to 295 on the A320 flights, including 12 Business Class seats and 283 Economy Class seats. Currently, the airlines operates eight flights a week on this route.

According to N Prabaharan, Regional Manager of Sri Lanka & the Indian Subcontinent, "The increase in capacity will provide greater convenience for both transit passengers from the Middle East, and those traveling between Calicut and Colombo. The A330s also have a much larger baggage capacity than the A320s, which will allow the aircraft to accommodate all paid excess luggage."

Meanwhile, the Colombo-based new low-cost airline Air Deccan Lanka is expected to take off within the next three months, according to a Business Line report. The airline has submitted the business and route plans as also the statutory manuals to the Sri Lankan authorities to operate flights between the two countries. Following this, it will request clearance from the Indian authorities as well. It will be flying from Colombo to three Indian destinations, Chennai, Coimbatore and Cochin.

A 180-seater Airbus A-320 has already been assigned for the launch of the India-Lanka flights. The company, in which Air Deccan has a 48 per cent stake, is also looking to operate two daily flights from Colombo to Thiruvananthapuram and Tiruchi. Air Deccan cannot yet operate on international flights from India as under Government regulations it will become eligible to do so only after five years of domestic flights.

BusinessLine also quoted sources as saying, "The fares for the new airline will be firmed up in the next few days. The new entity will follow a model similar to the low-cost model followed here by Air Deccan."
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Old June 22nd, 2006, 03:54 PM   #388
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India Jet shares rally on Sahara deal pullout talk

MUMBAI, June 22 (Reuters) - Shares in India's largest private airline, Jet Airways Ltd. <JET.BO>, rose as much as 9.1 percent on Thursday on news reports it may pull out from a deal to buy smaller rival Air Sahara.

Analysts said if the $500 million cash deal fell through Jet would be able to use the money to boost its operations, amid stiff competition from discount airlines such as Deccan Aviation Ltd. <DECA.BO> and rising fuel costs. "Pullout is a good idea for Jet which is already under pressure from low-cost airlines," said Gurunath Mudlapur, managing director at Artherstone Research Institute Ltd. "They should be looking at improving Jet."

On Wednesday, a senior Jet official told Reuters: "The deal, if we do not extend it past midnight today, expires, and we are unlikely to extend the deadline."

A Jet spokesman declined comment on Thursday. "I don't want to talk about it now. We may issue a statement in the afternoon."

Sahara officials could not be reached for comment.

A banking source told Reuters on Thursday discussions between the two companies were still going on and the deal could go through possibly at a lower value.

Jet had struck the deal to buy Sahara in January, in what was seen as a consolidation in the industry, giving the merged airline about half of India's domestic market, with a fleet of about 70 aircraft that also fly routes to other parts of Asia and London.

But delays in regulatory approval and concerns about the valuation after a due diligence soured the deal, local media reported.

Jet had extended the deal deadline by three months in March when it did not get regulatory approval for the purchase.

Its shares had dived nearly 42 percent since the deal between January and Tuesday, before pulling back 5.1 percent on Wednesday. By 12:25 p.m. (0655 GMT), the stock was up 6 percent at 748.25 rupees after rising as high as 770 in a firm Mumbai market.

Sahara, which began operations just months after Jet in 1993, is part of a $12-billion group owned by flamboyant tycoon Subroto Roy, with interests spanning financing, housing, power generation and media.

Last September Sahara had said it was exploring alliances and partnerships to fund expansion and that adviser Ernst & Young had put its enterprise value at $750 million to $1 billion.

India's domestic airline market is forecast to grow by more than 20 percent a year over the next five years, boosted by higher incomes and lower fares.

But competition is hotting up. Besides state-owned Indian [IA.UL], there are Kingfisher, backed by United Breweries <UBBW.BO>, and Paramount as well as discount carriers SpiceJet Ltd. <SPJT.BO>, Air Deccan and GoAir. ($1 = 46 rupees)
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Old June 23rd, 2006, 06:45 PM   #389
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Remember the Indian airline that placed orders for a 100 aircraft last year? Its about to start operations in 2 months.

Indigo Airlines to take off in August

Quote:
Low cost start-up carrier Indigo is set to take off with its maiden flight in August and is aiming to break even within 18 months of its flights being operational.

“By last week of July our first plane will arrive and we expect to start our maiden flight by the first week of August,” said Bruce Ashby, president and CEO, Indigo.

He said the airline would add one aircraft every month and by December end, it would have six planes.

He said the airlines had not yet finalised the flight routes to be operated but is looking at “serving Delhi, Mumbai, Guwahati, Imphal, Pune, Hyderabad, Srinagar and Jammu” with its first four aircraft.

Explaining the airline’s aircraft acquisition plans, he said Indigo will have 15 aircraft by 2007, which will go up to 23 by the end of 2008, adding all the aircraft will be from the Airbus A320 family.

The airline had stunned the aviation industry by placing orders for 100 aircraft at a list price of over $6 billion last year.

“Normally, airlines like us take 18 months to break even. So when we have 15-20 aircraft operating within the time frame, we should be able to break even,” he said, adding the airlines had so far put in Rs 80-100 crore on the venture.

Ashby said the average fare of a flight on Indigo will be around Rs 3000.

The airline would target passengers from cities with about a million population, he added.
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Old June 27th, 2006, 06:15 PM   #390
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India's Jet: dropped Sahara on commercial grounds

MUMBAI, June 27 (Reuters) - India's top private airline Jet Airways Ltd. said on Tuesday it had decided for commercial reasons not to go ahead with a $500-million deal to acquire smaller rival Air Sahara.

Jet struck a deal in January to buy Air Sahara from privately owned conglomerate the Sahara group and extended the deal deadline by three months in March when it did not get regulatory approval for the purchase.

The extended deadline fell on June 21. Jet did not say at the time the deal was officially off although its shares gained as much as 9 percent on June 22 as media reports said it had fallen through.

Jet said in a statement on Tuesday the deal had been subject to conditions, including some related to government permissions and policies on mergers and acquisitions of airlines.

It said the extended deadline had expired before the conditions had been met.

"For commercial reasons, and in the interest of Jet Airways and its family of shareholders, the management decided not to extend the time," it said.

Sahara officials could not be reached for comment.

The proposed deal would have given the merged airline about half of India's domestic market, with a fleet of about 70 aircraft that also fly routes to other parts of Asia and London.

Sahara, which began operations just months after Jet in 1993, is part of the $12-billion Sahara group owned by flamboyant tycoon Subroto Roy, with interests spanning financing, housing, power generation and media.
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Old July 4th, 2006, 06:51 PM   #391
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Qantas seeks code share with Indian carrier
5 July 2006
Australian Financial Review

Qantas Airways has lodged an application to code share with leading Indian airline Jet Airways as it seeks greater access to India's rapidly expanding economy and increasingly mobile population of more than 1 billion people.

Qantas, which will continue to fly three services a week of its own into Mumbai, has applied to the International Air Services Commission to code share with Jet Airways on daily services between Australia and India via Singapore.

The low-cost airline commands a 35 per cent share of the Indian domestic aviation market and flies to 43 Indian cities and international destinations. These include Singapore, Kuala Lumpur and London.

Qantas group general manager of sales and distribution Rob Gurney said India was an important market for Qantas "and this will help us to expand our presence there".

The airline would give details of the plan once approvals were obtained.

Qantas hopes to launch the arrangement on August 21.

The news comes as Qantas tries to increase revenue and cut costs in an attempt to offset the impact of soaring prices for jet fuel and increasing competition from competitors such as Singapore Airlines and Emirates.

The airline issued a profit warning last month. Its shares have slumped more than 25 per cent in value since late February. They closed above $3 for the first time since the downgrade yesterday, enjoying a 7¢ gain to $3.05.

Jet Airways operates Boeing 737-800 aircraft, which carry 140 passengers, to link Mumbai, New Delhi and Chennai to Singapore. Qantas flies to Singapore from Sydney, Melbourne, Brisbane, Perth and Adelaide.

The IASC will consider the proposal after the time for objections expires next Wednesday.

In its application to the IASC, Qantas said the present bilateral air services agreement between Australia and India allowed airlines to offer unlimited seats under code-share arrangements.

Such a move would not involve the use of Qantas's capacity between Singapore and India, Qantas's general manager of government and international relations, Jane McKeon, said.

However, placing Jet Airways' code on services between Singapore and Australia would affect the present capacity allocation and would therefore require IASC approval, Ms McKeon said.

The proposed code-sharing would operate on a "freesale basis", with no purchase of specific blocks of seats and would not involve co-ordinated pricing or revenue pooling, she said.

It would not cover air freight.

Under the deal, Jet Airways would apply to the Indian authorities to add Adelaide to permitted Australian destinations under the present bilateral agreement.

It has frequent-flyer deals with British Airways, KLM Royal Dutch Airlines, Northwest Airlines, Gulf Air, Thai Airways and Austrian Airlines, as well as Qantas.

Last week its plan to merge with another Indian domestic airline, Air Sahara, and gain about 50 per cent of the domestic market, collapsed after failing to meet conditions, including Indian government approvals, by a June 21 deadline.
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Old July 5th, 2006, 08:10 PM   #392
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An Indian newspaper, The Economic Times, reported that Air India has decided to be a part of the Star Alliance. I googled and could not find another news media that reported it.

the report said Lufthansa is pushing hard on the deal, since they already have a good relationship with the carrier. It goes without saying that Air India will have to spend a lot of money to upgrade itself to international standards first.
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Old July 5th, 2006, 11:00 PM   #393
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Quote:
Originally Posted by kronik
An Indian newspaper, The Economic Times, reported that Air India has decided to be a part of the Star Alliance. I googled and could not find another news media that reported it.

the report said Lufthansa is pushing hard on the deal, since they already have a good relationship with the carrier. It goes without saying that Air India will have to spend a lot of money to upgrade itself to international standards first.
I haven't been able to find the news on the wires either, but here is the article from the paper you mentioned :


Air-India to wing it into Star Alliance
30 June 2006
The Economic Times

MUMBAI: After years of being a standalone carrier in the international aviation industry where airlines are rapidly aligning in various groups, Indian flag carrier Air-India is all set to join the Star Alliance. A top-level Star Alliance team, led by the CEO Jaan Albrecht, is currently at the Air-India headquarters in Mumbai for discussions on the modalities of the inclusion.

All of Star's 18-member airlines have to approve the entry. Air-India's entry is likely to be championed by Star Alliance founder member Lufthansa, which already has a close relationship with the Indian carrier through codesharing.

Air-India's inclusion in the grouping underlines the growing potential of the Indian aviation market. Passenger numbers at domestic and international airports grew by 28% in '05-06, among the highest in the world.

The Star Alliance CEO has earlier said that "India, Russia and China are white spots on the Star alliance network that need to be filled." Star Alliance, the world's largest airline grouping, currently runs 16,930 daily flights to 842 airports in 152 countries around the world.

Elaborating on the major benefits of the alliance for Air-India, airline sources said it would lead to a partnership with member airlines on issues ranging from marketing to joint sourcing of spares and fuel, potentially leading to a huge saving of millions of dollars.

Member airlines have an integration of airline frequent flier programmes, which is a major marketing tool for airlines. Miles can be earned and redeemed on all members of the Alliance at the same level.

Premium customers have access to all members' airport lounges. As the integration among members progress, flight schedules are co-ordinated to permit almost seamless travel which may include several different carriers within the alliance, on a single ticket.

Over the years Air-India's global network has shrunk such that it is now largely focussed on the Gulf, parts of western Europe and four cities in the United States. The entry into the alliance will allow it to offer a much larger choice to its passengers.

Air-India is also scheduled to begin a huge expansion resulting in the induction of 68 aircraft worth over $11bn over the next six years. The airline's marketshare that has gone down to about 19% of the Indian overseas passenger market is expected to improve substantially.

"The merged entity formed after the merger of Indian Airlines and Air-India will eventually find place in the alliance that provides the widest airline network in the world today," a highly placed Air-India source said.

However, the process of integration into the alliance could take up to a year after it is approved. South African Airways was the most recent airline that joined the alliance in April this year. Airlines have to upgrade systems to certain common standards before the entry is permitted.
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Old July 7th, 2006, 08:10 AM   #394
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Thanks hkskyline. While The Economic Times is certainly a big newspaper in India, their credibility is near zero in my eyes. I'll keep my eyes open for further details.

meanwhile, the livery of the first A-320 of India's newest low cost carrier, IndiGo. Notice the missing engines.

http://www.airliners.net/open.file/1065433/M/

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Old July 7th, 2006, 08:12 AM   #395
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Go India!
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Old July 7th, 2006, 10:03 AM   #396
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Quote:
Originally Posted by kronik
Thanks hkskyline. While The Economic Times is certainly a big newspaper in India, their credibility is near zero in my eyes. I'll keep my eyes open for further details.

meanwhile, the livery of the first A-320 of India's newest low cost carrier, IndiGo. Notice the missing engines.

http://www.airliners.net/open.file/1065433/M/


Not bad. It's hard to imagine that this startup airline has already ordered 100 Airbus A320's. This is probably an ignorant statement but how can they find enough people in India that can afford to fly? Maybe flying where live here in the United States is more expensive than the rest of the world. Someone please enlighten me.
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Old July 7th, 2006, 02:15 PM   #397
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Quote:
Originally Posted by FM 2258
Not bad. It's hard to imagine that this startup airline has already ordered 100 Airbus A320's. This is probably an ignorant statement but how can they find enough people in India that can afford to fly? Maybe flying where live here in the United States is more expensive than the rest of the world. Someone please enlighten me.
When I was in India a few months ago on a business trip I had to travel within India quite a bite and almost all the domestic flights I flew on were booked solid. I remember the ticket between Mumbai - Delhi on Jet Airways was around $200(US) for non-residents of India.

India and China are booming which is helping to build a middle class and most of these people don't want to travel via train which can take hours and even days. Think about it, India has over a billion people so potential for airline customers is huge. All India needs to do now is upgrade the major airports (which they're doing) and also create or upgrade exisiting airports in mid sized cities and they should have no problems filling the planes with people.
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Old July 7th, 2006, 07:08 PM   #398
kronik
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You are right, Jaheim.

An important Indian businessman observed during an interview that the success of some of the sectors, like the airline and real estate sectors, had even taken the Government by surprise, which is really tragicomic if you think about it.

That is why we see many quality airlines coming up but the airports still taking their time to upgrade, similar to Indian cities, where there are many quality buildings and townships coming up, but the streets outside still remain chaotic and the power and water supplies are erratic at best. But hopefully things are only looking up from here.

FM 2258, just as an example of the aviation growth, Delhi and Mumbai airports are growing by more than 20% every year. The planned capacity of the first phase of New Delhi Airport upgrade is around 35 million passengers, which will increase to 100 million in 20 to 30 years.
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Old July 8th, 2006, 02:40 AM   #399
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Thanks jaheim & kronik.

I think that India's past problems with poverty are stuck in my head when in reality things are looking better and better for India. Like you guys said there is alot the needs to be improved so it looks like the airlines are right to purchase these planes in order to be ready for current and future growth.
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Old July 27th, 2006, 04:41 PM   #400
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Its been pretty quiet here for a while now, unlike the Indian aviation sector

Wadias, SIA Engg team up for MRO

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The Wadia group, the promoter of low-cost airline GoAir, and Singapore Airlines engineering arm SIA Engineering Company today signed an agreement to float a joint venture company to offer maintenance, repair and overhaul (MRO) services in India.

The initial capital for the MRO would be $30 million. The Wadia gGroup will hold 49 per cent stake in the joint venture, while the SIA Engineering will have 51 per cent and will manage the greenfield facility.

The proposed joint venture, which plans to initially offer line maintenance services at eight major airports and expanding to more airports subsequently, aims to provide engineering services to both narrow and wide body aircraft in India.

This facility would be ready by November while heavy maintenance would be ready in an years time.

There are also plans to develop the joint venture company into a centre of excellence for airframe maintenance of Airbus aircraft A320 and Boeing B737 next generation airliners and the establishment of a leading aerospace training institute.

SIA Engineering president and chief executive officer Tan Seng Koon William said there are over 500 to 600 aircraft would be joining fleet of domestic airlines companies. “This would require the support of modern and world class MRO facilities,” he said.

Wadia said the MRO will have initially 100 engineering personnel and would increase up to 500 by 2010. “The Wadia group and SIA Engineering will proceed to work out the details of the definitive agreement for the transaction in the near future,” Wadia added.
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Air Deccan or Indian: Who's No. 2 of Indian skies?

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They may not be the champs of the Indian skies, but flag carrier Indian and no-frills airline Air Deccan are second to none in laying claim for the number two slot in the crowded civil aviation sector.
While Air Deccan, the country's first low cost carrier, claimed that its market share had jumped to 21.2 per cent as of June-end, Indian (erstwhile Indian Airlines) maintained that its share remained static at 22 per cent and hence there was no merit in the rival's claim for the slot next to the leader - Jet Airways.

"Air Deccan has garnered a market share of 21.2 per cent in June, a rise of 1.8 per cent since May 2005 while the market of Indian dipped to 20.8 per cent in the month of June," Air Deccan claimed in a statement here today and attributed this growth to its constant marketing and low prices.

However, late in the evening, Indian came out with a statement claiming that its market share was constant at 22 per cent and that it continued to be the number two player.
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