Air Transport World

AIR-INDIA STAGGERS ON

Air-India MD Michael Mascrenhas, who completes a year in the job this month, is fighting to keep the airline in the air. Operating losses were halved in the previous fiscal year and are expected to fall an additional $14 million in the current year to $44 million. But Mascrenhas says: "It will he at least two years before we finally turn the corner," and then, only if the airline can survive its present crisis.

Market share has fallen to 20% from 35%, while lower yields, higher promotional expenses and expensive leased capacity combined with high staff costs have brought the airline to its knees. In contrast to the trend across the industry, staff costs have risen 131% since 1992-93. …

Log in to your account to read this article – and millions more.