Monday 28 May 2012

AI likely to reopen international bookings by weekend


The schedules are drawn iin such a manner that 130 executive pilots would be able to "carry on for months together"

Air India, which is operating a curtailed global flight schedule due to the pilots' strike, is likely to reopen international bookings and firm up a fresh operating schedule by this weekend with the help of 130 executive pilots.
The airline said the three-week agitation by over 200 pilots has seen a drop in the number of its international passengers by about 3,000 and that its financial loss had gone up to over Rs 320 crore for this period.
The Air India Board, which met here, considered the next steps to deal with the pilots' strike, spearheaded by the now derecognised Indian Pilots Guild (IPG), official sources said.

Air India is carrying out daily flights on long-haul sectors like Delhi-Paris-New York (JFK), Delhi-Frankfurt- Chicago, Delhi-London, Mumbai-London, Delhi- Tokyo and Delhi- Shanghai. These services can continue for several months, the sources said.

Claiming that the impact of the strike on flight operations has not been substantial, the sources said the flight schedules have been firmed up in such a manner so that 130 executive pilots would be able to "carry on for months together".

The pilots can fly a maximum of 40 hours each week and 1,000 hours each year under the Flight Duty Time Limitation (FDTL) rules for duty timings and rest periods of the cockpit crew.

"It will take several months for the executive pilots to reach 1,000 hour limit," the sources said.

The entire passenger backlog has been cleared several days ago and there are no rollover passengers, they said.

The airline Board also discussed the issue of compensation for delayed delivery of new-generation Boeing 787 Dreamliner from US manufacturer Boeing.

The entire issue of compensation, including the amount to be claimed and how, has been forwarded to the government for approval, sources said. However, they did not disclose the amount to be claimed from Boeing on grounds of confidentiality in negotiations.

The national carrier had placed orders to buy 27 B-787s and 41 B-777s in 2005 and as per the original schedule, the US aircraft maker had to commence delivery of these aircraft from September, 2008. Delivery of the Dreamliners was delayed due to various factors, including labour trouble in Boeing.

Maintaining that the global passengers flown by Air India during the strike period was about 11,000 compared with 14,000 normally, the sources said the number of its daily flights currently stood at 238 compared to 251.

Its entire domestic schedule as well as flights to the nearby foreign destinations like those in the Gulf, Southeast Asia and SAARC countries were operating normally, airline officials said.

Asked whether the national carrier would take delivery of the B-787s before the compensation amount was finalised, the sources indicated that technically all issues should be firmed up before the delivery papers were signed between an airline and the manufacturer.
In 2010, while deposing before the Parliamentary Standing Committee headed by CPI(M) leader Sitaram Yechury, Air India's then CMD Arvind Jadhav had said, "we have slapped a compensation claim of $710 million. Obviously, they have confirmed USD 145 million they will pay as compensation for the delay and so we have tried to push the entire delivery."

However, the sources said this was the estimation as of March 2010 and the figures could vary now.

The issue of monetisation of Air India's assets in India and abroad and appointing a real estate consultant for the purpose was also discussed by the Board, the sources said.

The Board has already decided to monetise Rs 5,000 crore worth of AI assets over a period of ten years. The assets planned to be monetised include those in Mumbai, Chennai, Delhi, Nairobi and Mauritius

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