Air India, Jet Airways and Kingfisher Airlines post €1.76 billion losses
The Indian subcontinent’s three biggest carriers – Air India, Jet Airways and Kingfisher Airlines – have found themselves in deep water with combined losses exceeding the equivalent of €1.76 billion in 2011, despite 18% passenger growth. The Indian newspaper The Telegraph reports that “the huge losses are a result of bets gone wrong and an environment characterised by rising fuel prices.”
Air India, for example, was hit by “a lethal mix” of a hasty merger, the decision to buy more aircraft, plus a series of forced “route rationalisations” that lost it 32 profitable routes. And, of course, there was the high cost of fuel.
The Telegraph India
[pictured: Air India One; photo by José Luis Celada Euba]