Friday, 18 January 2013

After over two decades, Air India grounds entire class of Boeing-787


New Delhi, Jan. 17:  
After a gap of over two decades, State-owned Air India has grounded an entire class of Boeing-787 in its fleet. Early on Thursday following advice from the Director-General of Civil Aviation (DGCA), it grounded all six 787s in its fleet.
While it is still too early to compute the exact financial impact of the grounding of Boeing 787 aircraft, this move is expected to affect the fortunes of the airline. For each day that the aircraft will remain grounded, the airline could face a revenue loss of at least Rs 2 crore. During the October-December 2012 quarter, Boeing 787 earned the airline Rs 172.7 crore, including Rs 88.3 crore from domestic operations, and Rs 84.4 crore from international operations. Sources indicated that the aircraft are likely to remain grounded for between 3-5 days.
Incidentally in 1990, a few days after the crash of an Airbus A-320 aircraft in Bangalore, Indian Airlines grounded all the 14 Airbus aircraft in the fleet. The grounding lasted for about nine months and cost the airline about Rs 200 crore.
“The Boeing 787 should return to flight in the next few days or possibly weeks. At the moment the aircraft accounts for about 2-2.5 per cent of the flights operated daily. In the domestic sector alone Air India operates 220 flights a day of which only five are operated with the Boeing 787,” a senior airline official said.
The combination of size in terms of number of passengers that each Boeing 787 aircraft can carry and the fuel efficiency it provides, has made the airline believe that the latest civilian aircraft will turn around the fortunes of the company.
The airline has reported losses in the last few years with the Civil Aviation Minister Ajit Singh telling Parliament that the provisional loss incurred by Air India during 2011-12 was about Rs 7,853.94 crore. The cumulative loss suffered by it since April 1, 2007 till March 31, 2012, was about Rs 28,000 crore, he added.

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