Air India reports losses of over Rs5,500cr for 2009-10
04 August 2011
New Delhi: Having accumulated a mountain of debt over the previous seven years, flag carrier Air India has now reported losses of over Rs5,500 crore for fiscal 2009-10, the government said Wednesday. Interestingly, the only airlines to report profits for this fiscal are low cost service providers from the private sector.
While Air India's losses are estimated at Rs5,552.44 crore, Kingfisher Airlines and Jet Airways have reported losses of Rs1,239.30 crore and Rs467.60 crore respectively for the same fiscal, minister of civil aviation Vayalar Ravi said in a written reply in the Lok Sabha.
The parliament is currently in monsoon session.
Low cost carrier IndiGo reported the largest profits of Rs484.70 crore for the fiscal, followed by rivals SpiceJet with Rs67 crore and JetLite with Rs46.20 crore.
However, private LCC, GoAir, reported a loss of Rs65.50 crore for the same period.
Various measures, like equity infusion for Air India, persuading state governments to reduce sales tax on Aviation Turbine Fuel (ATF) have been taken to stem losses in the sector, Ravi said.