Air India prepares for Dream flight

May 27, 2012:  

Air India and India will keep their date with the latest civil aircraft — the Boeing 787.

Popularly known as the Dreamliner, the first of the 27 aircraft ordered by Air India will join its fleet either towards the end of this month or early next month. The addition of the new aircraft to Air India's fleet comes after a delay of about four years. The reasons for the delay include production issues and strikes by pilots of both Air India and the erstwhile Indian on who should be allowed to fly the plane.

The Boeing 787 has been built to fly on long-haul international routes. An aircraft can seat 210-250 passengers and fly 14,200-15,200 km. On its part, Air India will seat 238 passengers in economy and 18 in business class in the planes that it has ordered. The Air India aircraft can fly between 9,500 km and 14,000 km, sources said.

LONG-HAUL ROUTES

To begin with, Air India will use the two aircraft that will join the fleet to operate flights between metro cities. Officials said these won't be special flights but revenue flights. The idea is to operate the Dreamliner on one of the daily frequencies that operate between metros.

For example, between Delhi and Mumbai where the airline offers 17 flights a day, it will use the Dreamliner according to its current schedule.

The use of Dreamliner between metros will ensure enough of a crew resource so that eventually the aircraft can be deployed on international long-haul flights. The large number of flights that the airline operates between metros will ensure quick training for its pilots.

Senior airline executives explained that if the new aircraft are deployed on international long-haul routes such as operating flights to the US, Europe and Canada, it will take much longer to build the crew resource.

The plan is to deploy the Boeing 787 aircraft on metro routes for 6-12 weeks from mid-June. The international long-haul debut for Air India's Boeing 787 is expected in August, possibly on August 15 with flights to Australia.

LOWER FUEL USE

Orders for the 27 aircraft were placed by Air India in January 2006 as a part of the 68 aircraft that the airline ordered at a combined list price of $11 billion. The second Dreamliner which is expected to join the fleet soon after the first will be flown to Mumbai. In preparation for the induction of the new aircraft, Air India has already sent 38 pilots to train to fly the new aircraft.

The pilots sent for training abroad will take care of cockpit crew requirements for the first five aircraft of which Air India will take delivery this year. Air India will become the third airline globally after All Nippon Airways and Japan Airlines to operate this aircraft. And both the airline and the manufacturer, the US-based Boeing are promising a new flying experience on the aircraft.

Wider seats and aisles, bigger windows and quieter cabins are all being touted as the hallmarks of the aircraft. The Boeing India President, Dr Dinesh Keskar, also told Business Line that the aircraft recycles air inside the cabin every hour, thereby ensuring that flyers do not catch any bugs from their co-flyers.

But on a more serious note for the airlines that operate the Boeing 787, the aircraft promises 20 per cent lower fuel consumption per passenger than the other same-size planes that operate worldwide today. In addition, it is also said to offer more cargo capacity thereby opening a new revenue stream for airlines.

Further, since the aircraft is largely built with composites it leads to, among other things, a reduction in its weight and resistance to fatigue and corrosion, thus cutting down its operating and maintenance costs.

The savings in operations probably explains why Japan Airlines is using this aircraft on four of the five weekly flights that it operates to Delhi. This despite the Boeing 787 seating almost 60 passengers less than the Boeing 777 that the Japanese carrier operated to Delhi earlier.

http://www.thehindubusinessline.com/industry-and-economy/logistics/article3462407.ece

Air India board to meet today; pilots' strike enters 21st day

Air India board will meet in Mumbai on Monday to discuss the nearly three-week-old strike by over 200 pilots and a host of financial issues. Airline sources said the board is likely to consider the next steps to be taken to deal with the strike, spearheaded by the now derecognised Indian Pilots Guild.

The airline has sacked 101 pilots and is mulling hiring new pilots to restore normalcy its flight schedules, particularly international operations which have been curtailed due to the agitation.

Appeals by Civil Aviation minister Ajit Singh asking the pilots to get back to work have not yielded results with the protestors insisting that the airline first reinstate all the sacked pilots before they resume duty.

Singh, who met a group of protesting pilots for the first time on Friday since the strike began on May 7, also bluntly told them that the mounting losses due to the agitation may make it difficult for the airline to pay the wage arrears to all employees by June as promised.

The pilots, who started reporting 'sick' and refused to join duty, are also seeking resolution of issues relating to their career progression.

While the Delhi high court has restrained them from going on strike or reporting sick and asked them to return to work, the Bombay high court has also ticked off the IPG for persisting with the strike by defying court orders, thereby inconveniencing passenger

IPG has been at loggerheads with the AI management over its decision to let erstwhile IA pilots to train on advanced Boeing 787 Dreamliner aircraft.

The IPG had protested management's decision and demanded that pilots from IA not be allowed to train on the wide-bodied aircraft until a comprehensive career progression policy was put in place.

The agitation has led to a loss of over Rs.325 crore for the airline, officials said.

"The board will meet on Monday, where it will also take up the payment schedule for Dreamliners, the delivery of which is expected to commence from next month," AI sources told PTI in Mumbai.

US aircraft maker, Boeing is scheduled to deliver the first Boeing 787 Dreamliner to Air India after a delay of over three years.

Air India is slated to recieve the delivery of six Boeing Dreamliner 787 aircraft by March next year.

The state-owned carrier has already invited proposals from banks and financial institutions to raise short-term loans upto $500 million to take delivery of first few Dreamliners by December this year.

The airline plans to repay the loan after selling and leasing back the four planes.

The national carrier had placed order for the purchase of 27 Dreammliners along with 41 Boeing 777 in 2005 and as per the original schedule, the US aircraft maker had to commence the delivery of these aircraft from Septmber, 2008.

However, with Boeing deferring the delivery schedule, the national carrier demanded a compensation of $1 billion which is yet be paid by it.

http://www.hindustantimes.com/BusinessSectionPage/SectorsAviation/Air-India-board-to-meet-today-pilots-strike-enters-21st-day/Article1-862318.aspx

Jet may get A320 neo aircraft along with initial customers

TOULOUSE (FRANCE), MAY 27: 

Aircraft manufacturer Airbus has indicated that it might accommodate Jet Airways in its initial delivery of the brand new A-320 neo aircraft. A leading consultant's report suggests that Jet is understood to be evaluating A-320 neo aircraft as part of its expansion.

The aircraft manufacturer, though, refused to give details about such a development. However, sources said that the two sides did discuss the possibility.

“If Jet Airways places an order now, we may find out ways to deliver the newer aircraft along with other initial customers. It is always our desire to have Jet Airways on board,” a source told Business Line on condition of anonymity.

Jet Airways refused to comment on this development while Mr Justin Doban, Head of Corporate Communication, Airbus, said, “We are always in discussion with our customers. Any contractual information is confidential.”

Jet Airways along with JetKonnect operates 121 aircraft for over 600 domestic and international flights. Most of these aircraft are from Airbus's rival American manufacturer Boeing.

This issue came into the limelight when aviation consultant Centre for Asia Pacific Aviation (CAPA) claimed in its report that it expects Jet Airways could place a “large narrow body order for over 100 aircraft in FY2012/13 to meet both replacement and growth requirements. The airline is understood to be actively evaluating the A-320 neo and it is also likely to lease up to 10 A-330s to support the expansion of its European route network.”

Indian carrier, Indigo has already placed order for 150 A-320 neo, while another low cost carrier GoAir has booked 72. These two are among 24 customers who have placed order for 1,289 A-320 neo aircraft.

The aircraft manufacturer is likely to begin delivery in 2015-16.

A-320 neo is a new narrow bodied aircraft which will come with Sharklets (wing tips shaped like a shark's dorsal fin) just like the ‘winglets' in Boeing planes. A Sharklet is an Airbus designed large wing tip device.

It is an optional replacement of the existing wingtip fence. The aircraft manufacturer claims that it helps in reduction of fuel burn and CO2 emission by at least 3.5 per cent. This is also capable of increasing the range as well as payload capacity.

According to April data released by Directorate General of Civil Aviation (DGCA), Jet Airways along with its low cost arm commands over 28 per cent market share in India.

http://www.thehindubusinessline.com/industry-and-economy/article3462601.ece?ref=wl_industry-and-economy

Pilots' union defends stir, says all attempts made to inform minister

NEW DELHI, MAY 26: 

The logjam in Air India as result of the agitation by a section of pilots continued on Saturday — a day after the pilots' union met the Union Civil Aviation Minister, Mr Ajit Singh.

In a press statement, the Indian Pilots Guild said that after their meeting with Mr Singh, they came back with the impression that the Minister was ‘upset' that the union had not approached him before they went on the the agitation. IPG is leading the stir.

IPG said ‘all attempts' were made to ‘contact and apprise' the Minister and officials of the Ministry of Civil Aviation about the volatile situation.

The Civil Aviation Minister has all along maintained that the Government was willing to talk with any one as long as the agitation was withdrawn. Besides, he has also made it clear that the agitating pilots whose jobs have been terminated will be taken back on a case to case basis.

In fact, at the Friday meeting with pilots, the Minister explained to them how the airline might be forced to hire more crew to operate regular services. The Minister also indicated that the agitation could create a situation where wage arrears — that were to be paid to all airline employees in June — could be in jeopardy.

The agitation has gone on for over a week and has affected long haul operations of the airline. It is causing a daily revenue loss of between Rs 12-15 crore.

http://www.thehindubusinessline.com/industry-and-economy/article3459653.ece

Air India in talks with Air Canada to lease out five Boeing 777s

Cash-strapped Air India is negotiating a deal with Air Canada to dry lease five of its Boeing 777-200 (long range) aircraft, airline sources said.

"We are in discussions with Air Canada to lease out these aircraft," Air India sources told PTI.

A team of officials from Air India would soon visit Canada to discuss modalities like leasing cost, etc in this regard, sources said, adding that the deal may be finalised as early as within next two-three weeks.

A founding-member of the Star Alliance, Air Canada is Canada's largest airline serving over 180 destinations in five continents. Besides, it also operates regional service Air Canada Express.

With a combined fleet of 362 aircraft, a mix of Boeing, Airbus and Embraer aircraft, the Canadian flag carrier is the 15th largest commercial airline in the world, according to its website.

The state-run AI had floated global tenders, offering five of its eight Boeing 777-200 LRs on dry-lease for 8-10 years early this year.

Out of these, four were manufactured in 2007, one in 2008 and three in 2009. The decision to lease out the Boeing 777s came in the backdrop of planned induction of Boeing 787 Dreamliners, the first of which is expected to arrive early next month.

http://www.airlinenewsindia.com/2012/05/air-india-in-talks-with-air-canada-to.html

Air India proposes VRS to cut down staff

Financially stressed Air India has proposed a voluntary retirement scheme (VRS) for its executive cadre employees to bring down manpower costs.

The Air India Board will deliberate on the scheme at a meeting on Monday.

"This is the first time that VRS is being proposed for AI employees. It is a big step for cutting manpower in the best possible way," a senior civil aviation ministry official told IANS.

"If it gets through, the scheme will be put forth for approval of the government as special provisions for funds would have to be made for the same.

VRS or 'golden handshake' is often described as the most humane way to reduce the existing strength of the employees.

The scheme will be meant for the executive cadre of the airline which includes the management. It will not be applicable to the operations arm that has pilots, engineers and cabin crews within its fold.

The scheme is part of the company's turnaround plan which was approved in April by the cabinet.

The airline's current workforce stands at 30,000. Of this, 19,000 will join the hived-off maintenance, repair and overhaul (MRO) and ground handling (GH) business.

The board will also decide on the date of induction of the Boeing 787 Dreamliner into the carrier's fleet and the normalisation of international operations that have been crippled by the 19-day ongoing pilots' strike because of which the airline has lost Rs290 crore in revenue.

http://www.dnaindia.com/india/report_air-india-proposes-vrs-to-cut-down-staff_1694474