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
July 30,2020

Ahead of the grand foundation stone-laying ceremony of the Ram Temple on August 5, Ayodhya priest and 16 police personnel, involved in the mega event on August 5, have tested positive for COVID-19. Priest Pradeep Das is one of the four priests who regularly perform puja at the Ram Temple site in Ayodhya.

Das has been placed under home quarantine and contact tracing is underway, reported.

Meanwhile, Uttar Pradesh police and Sashastra Seema Bal have been put on high alert in the districts bordering Nepal ahead of Prime Minister Narendra Modi's visit to Ayodhya on August 5.

PM Modi likely to launch postal stamps on Ram Temple, Ramayana during Ayodhya visit: Report
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On July 29, Uttar Pradesh reported a record single-day spike of 3,570 COVID-19 cases, taking the infection tally to more than 77,000, while 33 fresh fatalities pushed the death toll to 1,530.

"There are 29,997 active COVID-19 cases in the state and 45,807 patients have been discharged after treatment," Additional Chief Secretary, Medical and Health, Amit Mohan Prasad told reporters. "The death toll due to the disease has reached 1,530," he said.

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News Network
June 2,2020

New Delhi, Jun 2: India on Tuesday reported 8,171 more COVID-19 cases and 204 deaths in the last 24 hours as the country's virus count inches closer to two lakh, according to the Union Ministry of Health and Family Welfare.

The total number of cases in the country now stands at 1,98,706 including 97,581 active cases, 95,527 cured/discharged/migrated and 5,598 deaths.

Cases in Maharashtra have crossed 70,000 including over 30,000 recovered while Tamil Nadu's COVID-19 tally jumped to 23,495.

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News Network
July 25,2020

New Delhi, Jul 25: Congress leader Priyanka Gandhi Vadra on Saturday attacked the Yogi Adityanath government over its handling of the Covid-19 crisis, saying that at a time when there is an "explosive" rise in cases, the state dispensation's "no test is equal to no corona" policy can lead to a "more frightening situation".

In a letter to the Uttar Pradesh chief minister, the Congress general secretary said that the situation is getting serious and the battle against the pandemic cannot be fought just by publicity and managing news.

Priyanka Gandhi said she hopes the chief minister will take "big and effective" steps that will assure people that the government is committed to protect their lives and they will not be left to God for protection.

"By showing the fear of coronavirus, corruption is thriving. If this is not reined in, the battle against coronavirus will turn into a disaster," Priyanka Gandhi said.

Noting that 2,500 cases of coronavirus were reported in UP on Friday, she said almost all the metros were flooded with Covid-19 cases, but now even the villages were not unaffected by its spread.

"Quarantine centres in UP are in a pathetic state. In some places, the situation is so bad, that people are fearing mismanagement more than the coronavirus. Because of such a scenario, they are not stepping out of their homes for getting tested," Priyanka Gandhi said.

"This is a major failure of the government," she asserted.

The state government by believing in the "no test = no corona" mantra has adopted a low testing policy, she alleged in the letter written in Hindi.

"There is an explosive rise in Covid-19 cases. Till testing will not be increased in a transparent manner, the fight against the pandemic will be incomplete and the situation can become more frightening," she said.

"Your government claimed that there is provision for 1.5 lakh beds, but with only about 20,000 active infected cases, there is a scampering for beds," she said.

If there is a huge crowd in front of the hospitals, then why is the UP government not constructing temporary hospitals on the lines of those set up in Mumbai and Delhi, Priyanka Gandhi asked.

Availing medical facility is the fundamental right of every citizen, she asserted.

"The prime minister is a Member of Parliament from Varanasi, the defence minister is from Lucknow, many other Union ministers are from UP. Why can't temporary hospitals be opened in Varanasi, Lucknow, Agra etc." Priyanka Gandhi asked.

She suggested that temporary hospitals can be operated by the Defence Research and Development Organisation (DRDO), the Army and the paramilitary, or if need be, the DRDO hospital can be brought to Lucknow.

Also, central facilities set up in Delhi can also be used for border districts, Priyanka Gandhi said, adding that their utilisation is not being maximised there.

Noting that home isolation was a good step, she said it should not be implemented in haste.

Informed decisions should be taken on key matters related to home isolation like what will be the arrangement for monitoring patients, who needs to be informed if the patient's condition worsens and what will the medical facilities cost in home isolation, she said.

What will be the arrangement for checking the temperature and oxygen level of the patients in home isolation, she further asked in the letter.

The government should do a complete mapping of it and give complete information at the local level to the public, Priyanka Gandhi said.

The Congress general secretary said that she realises, that often the state government feels that the Congress' suggestions are given only from a political point of view.

"This was evident from the response of your government while we were trying to get buses for UP workers who were walking home," she said.

"I want to assure you once again that protecting the health and life of the people of Uttar Pradesh is our biggest sentiment at this time. We are continuously striving with constructive support and a spirit of service," she said in the letter.

At this time when the pandemic is growing rapidly, the Congress stands with the people of UP and is ready to give full support to the state government, she said.

Tightening its grip over Uttar Pradesh, Covid-19 claimed a record 50 lives in the state on Friday as the deadly virus infected 2,667 people more in the largest single-day spike till date.

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