Jet Airways, SpiceJet also may bid for debt-ridden Air India

News Network
November 30, 2017

Jet Airways and SpiceJet, the two leading private airlines of India, are likely to join the race to bid for debt-ridden Air India, along with Tata Group and IndiGo.

A top government source: "The economics of the game will change completely for whichever airline gets Air India. With its 14% domestic and 17-18% international market share, getting AI will be a paradigm shift for the successful bidder. Other airlines like Jet and possibly even SpiceJet will have no option but to bid for AI".

However, a SpiceJet official said that the airline is "too small" to bid for AI. Decision will be taken on the bidding once the terms are known, the official added. A top Jet honcho acknowledged to the newspaper that the thinking is on.

Jet Airways on Wednesday announced a major partnership with Air France, KLM and Delta and could get their backing to take over Air India. Abu Dhabi-based Etihad is also a 24 percent stakeholder in Jet.

IndiGo and Tata Group's interest

In July, IndiGo had openly expressed interest in buying the ailing national carrier's international routes and the Air India Express arm.

In a conference call, IndiGo's management had said that they do not have a desire to take all of Air India's debt and that acquiring all of Air India's subsidiaries is an "impossible task".

Earlier in June, Tata Group chairman N Chandrasekaran had informal talks with the government. Media reports also suggested that the Tatas could get Singapore Airlines on board for a minority stake. Tata Group currently operates two airlines in the country, AirAsia India (a joint venture with Malaysia's Air Asia) and Vistara (joint venture with Singapore Airlines).

The divestment process

The Union Cabinet on June 28 had given an in-principle approval for disinvestment of debt-laden state-run carrier Air India.

Stretched thin by competition from leaner and budget airlines, Air India is reeling under a debt of over Rs 52,000 crore, with about Rs 28,000 crore in working capital debt and about Rs 4,000 crore in interest burden alone. The national carrier has not turned profit in 10 years.

On August 8, the parliamentary panel set up to the divestment process heard views of various stakeholders on the disinvestment of national carrier Air India and Pawan Hans Ltd. The government is yet to announce the final terms for sale of AI.

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News Network
July 6,2020

Mangaluru, Jul 6: Two fresh deaths in last 24 hours have taken the total number of covid-19 deaths in Dakshina Kannada district to 24.

The deceased are a 52-year-old woman from Ullal and a 52-year-old man from Thokkottu.

The man was suffering from cardovascular disease and pneumonia, sources said.

The woman passed away in Wenlock hospital.

More details are awaited.

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coastaldigest.com news network
July 7,2020

Puttur, Jul 7: A woman died after a wall of compound collapsed on her in Dakshina Kannada district on Tuesday, July 7. 

The victim was identified as Vasanti.

The wall got weakened due to heavy rain at Golithottu area in Puttur. Her body was sent to the post-mortem.

According to the police, the incident took place around 12.30pm when Vasanti was working in the backyard of her house.

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News Network
April 9,2020

Apr 9: A panel of experts in the Karnataka state has suggested that the ongoing lockdown should be continued in districts identified as Covid-19 hotspots, including Bengaluru, to limit the spread of the pandemic.

IT companies and government offices providing essential services should be allowed to function with 50% staff, according to the committee headed by Narayana Health chairman Dr Devi Shetty, which submitted its report to chief minister BS Yediyurappa on Wednesday.

It has also asked the government to ease restrictions gradually and take adequate care over the next six months to contain the outbreak. The committee urged the government not to permit AC buses and metro services till April 30 and allow private vehicles only on alternate days (even-odd number-wise) for two weeks after April 15.

The government must close schools and colleges till May 31 and allow only inter-state movement of goods transport. The government could allow non-AC shops to open. It has suggested that the ban on inter-state train and flight services should continue.

Education minister S Suresh Kumar, who is the state Covid-19 spokesperson, said the Cabinet, which is meeting on Thursday, may discuss the recommendations and take a view on de-escalation of the lockdown.

Prime Minister Narendra Modi will interact with chief ministers through videoconference on April 11, after which the government will get an idea about the Centre’s thinking, he said.

While some states including Kerala, Maharashtra and Telangana have favoured continuation of the lockdown, Yediyurappa has not taken any stand publicly and has instead been implementing the Centre’s decision.

Six new cases

Karnataka on Wednesday reported six new Covid-19 positive cases, including that of a 65-year-old person in Kalaburagi, who died due to severe acute respiratory infection.

The health authorities have issued a notice to the private hospital -- where the deceased was initially admitted before being taken to a government hospital -- for not reporting the case to the government. The government has locked down the hospital, kept its entire medical team under quarantine, and police have registered a case of criminal negligence against the hospital authorities.

Of the other five positive cases, two had a travel history to Delhi, one had contact with a Dubai returnee and two others had close contacts with infected people.

This takes the total number of positive cases in the state to 181. Five people have died, while 28 have been discharged so far.

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