Air India posts Rs 4,600 cr operating loss in 2018-19; aims profit this fiscal

Agencies
September 16, 2019

New Delhi, Sept 16: Air India posted an operating loss of around Rs 4,600 crore in the last financial year mainly due to higher oil prices and foreign exchange losses but the debt-laden carrier expects to turn operationally profitable in 2019-20, according to senior officials.

Reflecting tough business conditions, the airline's net loss stood at about Rs 8,400 crore while total revenues touched around Rs 26,400 crore in 2018-19, one of the senior officials told news agency.

Another senior official said the airline is projected to post an operating profit of Rs 700 to 800 crore in 2019-20, provided oil prices do not shoot up significantly and there is no steep fluctuation in foreign exchange rates.

However, the airline incurred an operating loss of Rs 175 to 200 crore in the three months ended June as closure of Pakistan airspace for Indian carriers resulted in higher costs and caused a daily loss of Rs 3 to 4 crore when the restrictions were in place, the official said.

Air India had a loss of Rs 430 crore in the four-month period when Pakistan closed its airspace after the Balakot air strikes.

The official noted that load factor and yields are improving for Air India, which currently flies to 41 international and 72 domestic destinations. Load factor is a measure of seat occupancy and yield refers to average fare paid per passenger.

The situation is anticipated to improve further as more wide-body planes would be available for operations in the coming months, the official added. Air India had grounded several of its wide-body aircraft for maintenance and most of them are in the process of being re-inducted into the fleet.

Air India is to start flying to Toronto from September 27 and to Nairobi in November.

The airline has a debt burden of more than Rs 58,000 crore and servicing the loans is a major challenge as the annual outgo is more than Rs 4,000 crore.

The official who was quoted first said the carrier is facing a financial crisis and disinvestment is the option.

Aviation consultancy CAPA South Asia CEO and Director Kapil Kaul said Air India's financial position is likely to "significantly improve" in the current financial year.

"CAPA expects a closer to break-even in FY 20 excluding increased costs incurred due to closure of Pakistan airspace. With oil prices expected to stay below USD 60, expect a closer to break-even for Air India in FY 20, he told news agency.

Noting that improved financial performance would be a positive for divestment, Kaul said a fully divested Air India that is well capitalised and with improved governance and management would ensure that the airline has a relevant future.

India needs a stronger Air India which is viable without taxpayers' support, he added.

The government has decided on disinvestment of Air India as part of efforts to revive its fortunes. Air India, which has been in the red for long, was sanctioned a nearly Rs 30,000 crore bailout package for a 10-year period by the UPA regime in 2012.

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Well Wisher
 - 
Monday, 16 Sep 2019

Be careful passensgers, especially Gulf passengers, chances of mid-air fuel run-out is more. LOL

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Agencies
June 4,2020

New Delhi, Jun 4: CSIR Director-General Shekhar Mande said on Thursday that the World Health Organisation's (WHO) decision to halt hydroxychloroquine (HCQ) drug trial was taken in haste and the global body should have actually analysed the data before making the decision.

"I firmly believe that WHO decision was taken in haste it was a kind of knee jerk reaction they should have actually analyse the data on their own before temporarily suspend the trials that is my personal opinion," Mande said.

India's nodal government agency ICMR (Indian Council of Medical Research) overseeing the country's response to the coronavirus pandemic last month wrote to the WHO citing differences in dosage standards between Indian and international trials that could explain the efficacy issues of HCQ in treating COVID-19 patients.

In addition, Dr Sheela Godbole, National Coordinator of the WHO-India Solidarity Trial and Head of the Division of Epidemiology, ICMR-National AIDS Research Institute also wrote a letter via an email to Dr Soumya Swaminathan, Chief Scientist at World Health Organisation.

In a letter, Dr Godbole stated: "There was no reason to suspend the trial for safety concern," attributing it to the current RECOVERY data which differs significantly from the non-randomised assessment by Mehra et al, a scientific paper.

Referring to the letter, the CSIR head said, "We don't know what actually happened behind the scenes but the hypothesis is that because of the paper published in Lancet. It is a very well known journal and if Lancet has done due vigilance in publishing the paper. 

Therefore, the WHO thought the paper's findings are right that's why WHO hold based on what is published on Lancet. The WHO shouldn't have accepted it immediately this should have taken their own due vigilance to find out that study is right or not."

DG CSIR said because there is a global outcry it must have put pressure on both Lancet as well as WHO and both of them now retracted from their original position. "WHO has started a trial again and Lancet has put an expression of concern on their website both of these are very welcome development for science," he said.

"So I am pretty sure that Lancet would have published the reports only after seeing somewhere the drug failed to work," Mande said.

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Agencies
January 24,2020

Indore, Jan 24: Around 80 Muslim leaders of the BJP in Madhya Pradesh on Friday resigned from the primary membership of the party in protest over the Citizenship (Amendment) Act, calling it a "divisive" measure.

One of the leaders, Rajik Qureshi Farshiwala, said around 80 Muslim partymen have resigned from the BJP's primary membership after writing to the newly-appointed national president, J P Nadda, on Thursday.

These leaders, who dubbed the CAA "a divisive provision made on religious grounds", include several office- bearers of the BJP's minority cell, he said.

"It was becoming increasingly difficult for us to participate in our community's events after the CAA came into existence (in December 2019).

"At these events, people used to curse us and ask us how long we plan to keep quiet on a divisive law like the CAA?" he said.

"Persecuted refugees of any community should get Indian citizenship. You cannot decide that a particular person is an intruder or a terrorist merely on the basis of religion," Farshiwala added.

In their letter, the Muslim leaders stated, "Citizens have right to equality under Article 14 of the Indian Constitution. But the BJP-led Central Government is implementing the CAA on religious grounds.

"This is an act of dividing the country and against the basic spirit of the Constitution."

Some of the leaders who have resigned are considered close to BJP general secretary Kailash Vijayvargiya.

When asked about the development, Vijayvargiya on Thursday evening said, "I am not aware of the matter. But we will explain (about the CAA) if a person is being misled."

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Agencies
July 23,2020

Gwalior, Jul 23: As India's daily infections of coronavirus keep rising, the country is fighting a pandemic which is getting bigger by the day.

A vaccine, according to the World Health Organization, may not be coming until early 2021 despite good progress on the font. There is also, so far, no definitive cure for the virus, yet.

Madhya Pradesh Assembly Protem Speaker and Bharatiya Janata Party(BJP) leader Rameshwar Sharma, however, feels that the end of the coronavirus pandemic will begin with the start of the construction work for Ram Temple in Ayodhya.

"He (Lord Ram) had reincarnated for the welfare of mankind and to kill demons at that time. As soon as the construction of Ram Temple begins the destruction of the COVID pandemic will begin too," said Sharma, reports ANI.

"Not only India, but the entire world is suffering due to coronavirus. We are not only maintaining social distancing but also remembering our holy figures. The Supreme Court has ordered that Ram Temple will be built," he further added.

The treasurer of Shri Ram Janmabhoomi Tirtha Kshetra Trust, Swami Govind Dev Giri had said that Prime Minister Narendra Modi will lay the foundation stone of Ram Temple on August 5.

He said that social-distancing norms would be ensured at the program, and not more than 200 people will be attending the ceremony.

"The Prime Minister will visit Hanuman Garhi, Ram Lalla Temple, plant a tree and later do the 'bhoomi pujan'," he told ANI.

Ram Mandir trust spokesperson Nritya Gopal Das said five silver bricks will be placed inside the sanctum sanctorum during the ceremony.

The bricks are believed to symbolise five planets as per the Hindu mythology, he said, adding that the design and the architecture of the temple is the same as the one proposed.

According to the trust sources, Home Minister Amit Shah, Defence Minister Rajnath Singh, RSS chief Mohan Bhagwat , Maharashtra Chief Minister Udhav Thackeray and Bihar CM Nitish Kumar are also on the list of invitees.

India so far has recorded 1.19 million coronavirus positive cases, and 28,732 deaths.

Comments

Ahmed Ali Kulai
 - 
Thursday, 23 Jul 2020

Dear Sir,

 

Who stopped the construction... Start quickly and stop the virus

 

SC has already given the judgment in favor of you - then why delay???

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