Air India Project1
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“ANALYSIS ON REVENUE AND EXPENDITURE
OF AIR INDIA LTD.”
Submitted in partia !u!iment "! t#e re$uirement !"r
P"%t &raduate Dip"ma in 'ana(ement )P&D'*
+,
Tui-a Sria%taa
/a%% "! 0122
+#arati,a Vid,a +#aan3%U%#a and La-%#mi 'itta In%titute "! 'ana(ement )+UL'I'*
/"perni4u% Lane5 6a%turba &and#i 'ar( Ne7 De#i
8u, 0120
ACKNOWLEDGEMENT
2
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9it# pr"!"und %entiment% "! #eart!et (ratitude5 I a4-n"7ed(e m, %in4ere t#an-% t" at#"%e 7#" #ae 4"ntributed "ne 7a, "r t#e "t#er !"r t#e %u44e%%!u 4"mpeti"n "! t#i%7"r-.I e:pre%% m, immen%e (ratitude t" ("d Ami(#t, !"r #i% (ra4e and 7i%d"m be%t"7edup"n me.It i% m, pea%ure t" e:tend m, (ratitude t" Air India Ltd; Finan4e Department.', %in4ere t#an-% and (ratitude t" re%pe4ted Finan4e <ead5 'r. L"ei%# Ar"ra !"r (iin( me an "pp"rtunit, t" d" m, pr"=e4t %tud, in t#eir e%teemed "r(ani>ati"n. <e a%"(uided me in m, pr"=e4t. I e:tend m, #eart!et t#an-% t" #im 7it#"ut t#eir 4"ntinu"u% ba4- up %upp"rt and en4"ura(ement t#i% pr"=e4t 7"ud n"t #ae materiai>ed.', %pe4ia t#an-% t" a t#e emp",ee% "! Air India !"r t#eir time, #ep and (uidan4e ateer, %ta(e "! t#e %tud,. I am a%" t#an-!u t" t#e Dire4t"r; Dr. Rattan S#arma under 7#"%e e:perien4ed tea4#in(and (uidan4e5 m, -n"7ed(e #a% in4rea%ed re%utin( in a4#iein( better re%ut%.I am immen%e, (rate!u t" m, be"ed Parent% and Friend% !"r t#eir in%pirati"n and%e!e%% %upp"rt. 9it#"ut a "! t#em t#i% %tud, 7"ud n"t #ae %een t#e i(#t "! t#e da,.
Tui-a Sria%taa Si(nature;;;;;;;;;;;;;;;;;;;;;;;;;;;
Date ;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
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DECLARATION
I #ereb, de4are t#at t#i% Pr"=e4t Rep"rt tited Ana,%i% "n Reenue and e:penditure "! Air India Ltd. %ubmitted b, me i% ba%ed "n a4tua 7"r- 4arried "ut b, me under t#e(uidan4e and %uperi%i"n "! 'r. L"ei%# Ar"ra )Indu%tr, ment"r* ? Pr"!. Dr. 6irti Dutta)P&D' Fa4ut,*.An, re!eren4e t" 7"r- d"ne b, an, "t#er per%"n "r in%tituti"n "r an, materia "btained!r"m "t#er %"ur4e% #ae been du, 4ited and re!eren4ed. It i% !urt#er t" %tate t#at t#i%7"r- i% n"t %ubmitted an, 7#ere e%e !"r an, e:aminati"n.
Bharatiya Vidya Bhavan’sUsha & Lakshi Mitta! Instit"t# $% Mana##nt
C$'#rni("s Lan#) Kast"r*a Gandhi Mar
N#+ D#!hi
Si(nature "! t#e Student
C#rti%i(at# $% Oriina!ity
@
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I R" N" /a%% "! 01225 a !u time
b"ne!ide %tudent "! !ir%t ,ear "! P"%t &raduate Dip"ma in 'ana(ement )P&D'*
Pr"(ramme "! +#arati,a Vid,a +#aan3% U%#a and La-%#mi 'itta In%titute "!
'ana(ement5 Ne7 De#i #ereb, 4erti!, t#at t#i% pr"=e4t 7"r- 4arried "ut b, me at
and t#e rep"rt %ubmitted in partia !u!iment "!
t#e pr"(ramme i% an "ri(ina 7"r- "! mine under t#e (uidan4e "! t#e indu%tr, ment"r
and !a4ut, ment"r
5 and i% n"t ba%ed "r repr"du4ed !r"m an,
e:i%tin( 7"r- "! an, "t#er per%"n "r "n an, earier 7"r- underta-en at an, "t#er time "r
!"r an, "t#er purp"%e5 and #a% n"t been %ubmitted an,7#ere e%e at an, time.
)Student3% Si(nature*
)Fa4ut, 'ent"r3% Si(nature*
E,ECUTIVE -UMMAR.
B
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T#e "b=e4tie "! t#i% %tud, i% t" ana,%i% reenue and e:penditure "! !"ur ,ear%. T#i%
pr"=e4t rep"rt i% di%tra4tie, !"4u%ed "n t#e reenue and e:penditure ana,%i% "! Air
India Limited "n t#e ba%e% "! pr"!it and "%% a44"unt and ari"u% "t#er !inan4ia
in!"rmati"n.
T#e "b=e4tie "! t#i% rep"rt i% t" -n"7 t#e reenue and e:penditure #eat# "! t#e
4"mpan, and 4"mpari%"n "n t#e ba%i% "! per!"rman4e "! pa%t ,ear%.
T#e initia part intr"du4e t#e reader t#e "erie7 "! Air India Limited and it%
a4#ieement "er t#e ,ear and !inan4ia department5 t#en m"re "n it% in4"me %tatement
per!"rman4e t#r"u(# rati" ana,%i% and 4"mparatie ana,%i% and !"4u%in( "n t#e m"%t
reeant rati" 7#i4# #i(#i(#t% t#e S9OT ana,%i% "! t#e "r(ani>ati"n.
T#i% indu%tr, a%" #ae %tr"n( &"ernment %upp"rt a% Aiati"n %e4t"r determine t#e
4"untrie% (r"7t#.
In t#e end 4"n4u%i"n5 re4"mmendati"n% and imitati"n% #ae been pr"ided "! t#i% %tud,.
<"7 Air India 4an in4rea%e t#eir reenue and de4rea%e t#eir e:pen%e%.
List $% ($nt#nts
C
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O*/#(tiv#s $% th# 'r$/#(t
Cha't#r I0 1!an $% th# -t"dy )/#apteri>ati"n*.• 2.2 Intr"du4ti"n t" t"pi4.
• 2.0 Ob=e4tie "! t#e %tud,.2.@ Literature reie7 And"r T#e"reti4a +a4-(r"und
/<APTER 2 Intr"du4ti"n
2.2 Indu%tr, Pr"!ie
2.0 /"n%"idati"n "! Indian Aiati"n Indu%tr,
/<APTER 0 /"mpan, Pr"!ie
0.2 NA/IL )Air India*
0.0 Air India "n t#e up%7in(;ar(e !eet ? e:pended net7"r-
0.@ Ama(amati"n "! Air India and Indian Airine%
0.B Ne7 T#ru%t
0.C N"n St"p Fi(#t%
0. Net7"r-
0. D"me%ti4 Operati"n%
0.G De#i H T#e Ne7 <ub 0. Dinin(
0.21 In H Fi(#t Entertainment
0.22 Air India E:pre%%
0.20 Fa4iitie% "n t#e (r"und
0.2@ Speed, 'e%%a(e Seri4e)S'S*
0.2B Adan4e 4#e4-;In
0.2C Onine +""-in(
0.2 E;ti4-etin(
/<APTER @ Finan4e Department
@.2 Area Reenue Dii%i"n
@.0 E:penditure Dii%i"n
/<APTER B Re%ear4# 'et#"d""(,
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B.2 Re%ear4# Ob=e4tie
B.0 Re%ear4# Pr"bem
B.@ Re%ear4# De%i(n
/<APTER C Rati" Ana,%i% and Trend Ana,%i%
C.2 E:pen%e Rati"
C.0 Intere%t /"era(e Rati"
C.@ Net Pr"!it 'ar(in
C.B Pa%%en(er Reenue
C.C /ar(" Reenue
C. /#arter Reenue
C. E:4e%% +a((a(e
C.G T"ta Reenue
C. Pa,ment% t" and pr"i%i"n% !"r emp",ee% in4udin( 4re7 a"7an4e
C.21 Air4ra!t Fue and Oi
C.22 Nai(ati"n5 Landin(5 <"u%in( and Pa4-in(
C.20 T"ta E:pen%e
C.2@ Reenue ? E:pen%e%
/<APTER S9OT Ana,%i% "! Air India
.2 Stren(t#
.0 9ea-ne%%e%
.@ Opp"rtunit,
.B T#reat%
/<APTER /"n4u%i"n5 Re4"mmendati"n% and Limitati"n%
/<APTER G +ibi"(rap#, ? Anne:ure
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List $% Ta*!# and Chart
-2NO21ARTICULAR
1a#
N"*#r
2 Finan4e Department @B
0 E:pen%e% Rati" BC
@ Intere%t /"era(e Rati" B
B Net Pr"!it Rati" B
C Pa%%en(er Reenue BG
/ar(" Reenue B
/#arter Reenue C1
G E:4e%% +a((a(e C2
T"ta Reenue C0
21 Pa,ment% t" and pr"i%i"n% !"r emp",ee% in4udin( 4re7a"7an4e%
C@
22 Air4ra!t Fue and Oi CB
20 Nai(ati"n5 Landin(5 <"u%in( and Pa4-in( CC
2@ T"ta E:pen%e C
2B Reenue and E:pen%e C
G
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C3A1TER 4
INTRODUCTION
424 INDU-TR. 1RO5ILE
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Air tran%p"rt i% t#e m"%t m"dern5 t#e $ui4-e%t and t#e ate%t additi"n t" t#e m"de% "!
tran%p"rt. +e4au%e "! %peed 7it# 7#i4# aer" pane% 4an !,5 trae b, air i% be4"min(
in4rea%in(, p"puar. A% !ar a
% t#e 7"rd trade i% 4"n4erned it i% %ti d"minated b, %ea tran%p"rt be4au%e air tran%p"rt i%
er, e:pen%ie and i% a%" un%uitabe !"r 4arr,in( #ea,5 bu-, (""d%. <"7eer5
tran%p"rtati"n "! #i(# aue i(#t (""d% and peri%#abe (""d% i% in4rea%in(, bein( d"ne
b, air tran%p"rt.
In 205 Neie Vin4ent5 a !"rmer RAF pi"t 4ame t" India !r"m +ritain5 ="ined TATA
S"n% and made a %ure, "! a p"%%ibe air r"ute%. <e pre%ented t#e %4#eme t" Dire4t"r "!
TATA S"n%. In "4t 2@ TATA S"n% Ltd. 9#i4# ater be4"me Air India Internati"na5
4"mmen4ed 7ee-, airmai %eri4e% bet7een 6ara4#i and 'adra% ia Aa#abad and
'umbai.
Later t7" m"re airine% 4ame; T#e Indian Nati"na Air7a,% 4ame int" e:i%ten4e in 2@@
and Air Seri4e% "! India int" 2@. A!ter t#e 0nd 9"rd 7ar. T#e &"ernment "! India
ann"un4ed a ne7 p"i4, !"r t#e Dee"pment "! Air Tran%p"rt Seri4e%. In t#e !ir%t t7"
,ear%5 it 4ame int" e:i%ten4eJ t#e &"ernment (ae i4en%e t" 22 4"mpanie% t" "perate air
%eri4e% in di!!erent re(i"n%.
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At t#e time "! independen4e t#ere 7ere airine% "peratin( 7it# and be,"nd t#e !r"ntier%
"! t#e 4"untr, 4arr,in( b"t# air 4ar(" and pa%%en(er%. It 7a% redu4ed t" ? 7it# Orient
Air7a,% %#i!tin( t" Pa-i%#tan. T#e%e 7ereK
2. Air7a,% India Ltd.
0. Air Seri4e% India Ltd.
@. +#arat Air7a,% Ltd.
B. De44an Air7a,% Ltd.
C. <imaa,an Air7a,% Ltd.
. Indian Nati"na Air7a,% Ltd.
. 6ain(a Airine%
Ta-in( int" 4"n%iderati"n t" Deteri"ratin( !inan4ia p"%iti"n "! t#e 4"n("merati"n "!
priate airine%5 t#e ("t. nati"nai>ed t#e Airine% Indu%tr, in 2C@ t#r"u(# Air
/"rp"rati"n A4e 2C@. Nati"nai>ati"n re%uted in 4reati"n "! t7" 4"mpanie% H Indian
Airine% /"rp"rati"n ) "peratin( d"me%ti4 %eri4e% and %#"rt ran(e Internati"na %eri4e%
t" ad=a4ent 4"untrie% * ? Air India Internati"na )"perate !"r "er%ea% %eri4e%* ? a%%et%
"! t#en e:i%tin( 4"mpanie% tran%!erred t" t#"%e 4"mpanie%.
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F"rei(n airine% 4arr,in( internati"na pa%%en(er% tra!!i4 t" and !r"m India e:i%ted "n(
be!"re Independen4e. T#eir "perati"n% are ("erned b, biatera a(reement% %i(ned !r"m
time t" time bet7een t#e &"ernment "! re%pe4tie 4"untrie%. In 2G1;G25 t#e number "!
%u4# airine% 7a% @C. It r"%e t" B in 2; .
T#e %#are "! !"rei(n airine% in India3% %4#edued internati"na tra!!i4 #a% in4rea%ed. In
225 t#eir %#are 7a% CC.CG per 4ent 7#i4# 7ent up t" C per 4ent and de4ined t" CG per
4ent durin( 20;C. It !e t" CC.0 per 4ent in 2 and !urt#er t" CC.10 per 4ent in
2. +et7een 2G and 21 it (radua, in4rea%ed and r"%e t" C.@ per 4ent. In 25
t#e %#are 7a% near, 0 per 4ent.
T#e a4t pr"#ibited an, "t#er t#an t7" 4"mpanie% t" "perate an, %4#edue air tran%p"rt t"
"r a4r"%% Indian. T#e repea "! Air /"rp"rati"n A4t !r"m 2%t mar4# 2B enabe priate
"perat"r% t" pr"ide air tran%p"rt %eri4e%. Ei(#t "perat"r% ("t t#e n"d t" 4"mmer4e
"perati"n "ut "! 7#i4# "n, t7" #ae %uriedK
2. 8et Air7a,%
0. Sa#ara India
Aiati"n %eri4e% in dee"ped 4"untrie% are 4ate("ri>ed int" t#ree ee%K
a. Trun- R"ute% H 7#i4# 4"nne4t ma="r 4it, pair%
b. Re(i"na Air Seri4e% H 7#i4# 4"nne4t %maer t"7n%5 "er %#"rter di%tan4e 7it#
%ma air4ra!t.
4. N"n;S4#edued Seri4e% H 9#i4# in4ude air ta:i5 4#arter5 4"rp"rate "r priate
aiati"n. In India un!"rtunate, t#e re(i"na and n"n; %4#edued "r tier 0 and tier @
%eri4e% are am"%t n"ne:i%tent. Een t#"u(# %u4# %eri4e% n"rma, 4"n%titute a
%ma per4enta(e "! d"me%ti4 air %eri4e%5 t#e imp"rtan4e "! %u4# %eri4e% %#"ud
n"t be under e%timated5 a% (enera aiati"n !"rm% t#e entr, p"int !"r per%"nne t"
enter t#e indu%tr, and (ain (ra%%r""t% e:perien4e. In 2C@ a ne7 dream t""-
%#ape ; t" air in- t#e a%t S"ut# A%ian %ub4"ntinent b, a %in(e5 m"dern and
e!!i4ient airine. T#e airine% 7a% Indian Airine%. T"da,5 Indian Airine%5 t"(et#er
7it# !u, "7ned %ub%idiar, Aian4e Air5 i% "ne "! t#e ar(e%t re(i"na Airine%
%,%tem in A%ia 7it# a !eet "! C air4ra!t5 G 7ide b"die% Airbu% A@11%5 @B !,;b,;
7ire Airbu% A@01%5 22+"ein( @% and @ D"rnier D;0GG air4ra!t%.
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Indian Airine% #a% been %ettin( t#e %tandard% !"r 4ii aiati"n in India %in4e it%
in4epti"n in 2C@. It #a% man, !ir%t% t" it% 4redit%5 in4udin( intr"du4ti"n "! t#e 7ide
b"die% A@11 air4ra!t in t#e d"me%ti4 net7"r-5 t#e !, H b, ; 7ire A@015 D"me%ti4 %#utte
%eri4e and 7a- ; in H !i(#t%. It% uni$ue "ran(e and 7#ite "(" emba>"ned "n t#e tai%
"! a it% air4ra!t% i% per#ap% t#e m"%t 7ide, re4"(ni>ed Indian %,mb" t#at5 "er t#e
,ear% #a% be4"me% %,n"n,m"u% 7it# %eri4e%5 e!!i4ient and reiabiit,.
Sin4e t#e pa%t t7" ,ear%5 4ii Aiati"n in India #a% made (iant %tride% and i% t"da, a
ma="r 4"ntributi"n t" t#e (r"7t# "! t#e nati"na e4"n"m,. Apart !r"m pr"idin(
4"nne4tiit, in a ar(e and dier%e 4"untr, i-e India and %erin( t#e tran%p"rtati"n need%
"! t#e pe"pe in a %peed,5 4"%t e!!e4tie and e!!i4ient manner5 t#e aiati"n %e4t"r #a% a%"
(reat, !a4iitated t#e dee"pment "! d"me%ti4 and internati"na t"uri%m5 bu%ine%%
4"mmer4e and trade. Durin( t#e a%t t7" ,ear%5 Indian /ii Aiati"n Indu%tr, 7itne%%e%
%i(ni!i4ant "penin( up "! Indian %-ie%5 pain( t#e 7a, !"r in4rea%ed internati"na and
d"me%ti4 4"nne4tiit,. In !a4t5 air trae5 !"r t#e !ir%t time5 #a% be4"me a!!"rdabe !"r t#e
4"mm"n man.
426 CON-OLIDATION O5 INDIAN AVIATION INDU-TR.
T#e ,ear 011 7a% pr"bab, be be%t remembered a% t#e ,ear 7#en 4"n%"idati"n t#r"u(#
mer(er% and a4$ui%iti"n% 7a% 7itne%%ed in t#e Indian Aiati"n Indu%tr,.
T#e ,ear be(an 7it# t#e mer(er "! Air India and Indian Airine% (ettin( under 7a,. S""n
t#erea!ter5 t#e bu,"ut "! Air Sa#ara b, 8et Air7a,%5 7#i4# #ad been 4au(#t in iti(ati"n
!"r m"re t#an a ,ear5 7a% a%" 4"mpeted. A !e7 m"nt#% ater5 6in(!i%#er Airine%
a4$uired a 0 per 4ent %ta-e in t#e "7;4"%t airine% Air De44an and ater5 t#r"u(# an "pen
"!!er5 in4rea%ed it% %ta-e t" B per 4ent.
T#e ,ear a%" %a7 Air India a4$uire t#e !ir%t +"ein( ;011 L"n( Ran(e )LR* air4ra!t
7#i4# 7a% dep",ed t" aun4# n"n;%t"p %eri4e bet7een 'umbai and Ne7 Y"r-. 9it#
t#i% aun4#5 Air India be4ame t#e !ir%t Indian 4arrier t" !, n"n;%t"p bet7een India and t#e
2@
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US. T#e a4$ui%iti"n "! t#e +"ein( ;011 LR 7a% part "! t#e G air4ra!t !eet a4$ui%iti"n
pr"p"%a 7#i4# #ad been appr"ed b, t#e &"ernment in 011C.
At t#e %ame time5 =et Air7a,% 7a% %u44e%%!u in (ettin( t#e re$uired permi%%i"n !r"m t#e
US &"ernment t" aun4# !i(#t% !r"m ari"u% 4itie% in India t" t#e US. 8et Air7a,% a%"
"pened a #ub in +ru%%e% t#r"u(# 7#i4# t#e !i(#t% t" t#e US and /anada are r"uted. T#e
airine3% appi4ati"n !"r "peratin( !i(#t% t" t#e (u! re(i"n 7a% a%" appr"ed5 t#ereb,
endin( t#e m"n"p", t#at Air India en=",ed a% it 7a% t#e "n, 4arrier 7#i4# 7a% a"7ed
t" "perate !i(#t% t" t#e re(i"n !r"m India.
4262A Air ($nn#(tivity
T" impr"e air 4"nne4tiit, t" %maer 4itie%5 t#e ("ernment 4reated t#e 4"n4ept "!
re(i"na airine% 7#i4# a"7 pr"m"ter% t" %et up an airine% 7it# %ma air4ra!t and
"perate !i(#t% !r"m an, airp"rt in t#e !"ur de%i(nated re(i"n% t" an, "t#er airp"rt in t#e
4"untr,. '"%t "! t#em are5 #"7eer5 pr"#ibited !r"m "peratin( !i(#t% t" a metr" airp"rt
"ut%ide t#eir re(i"n. T#e e:4epti"n t" t#e rue in t#e S"ut# India 7#ere a re(i"na airine%
i% a"7ed t" "perate am"n( <,derabad5 /#ennai and +an(a"re.
T#e bi((e%t adanta(e t#at t#e "perat"r% "! re(i"n% airine% #ae i% t#at t#e, are n"t
b"und b, r"ute di%per%a (uideine% t#at %tipuate #"7 man, !i(#t% mu%t be "perated "n
7#i4# r"ute%. T#e (uideine%5 !"r e:ampe5 %tipuate t#at a %4#edued "perate at ea%t 21 per 4ent "! 7#at t#e, "perate "n trun- r"ute% i-e De#i;'umbai in t#e n"rt#; ea%tern
re(i"n5 8ammu ? 6a%#mir5 Andaman and Ni4"bar I%and% and La-%#ad7eep.
4262B 5"#! 1ri(#
<"7eer5 t#e ri%e in pri4e "! !ue ("ba, a%" a!!e4ted t#e pr"!itabiit, "! t#e aiati"n
indu%tr, in India. T" "!!%et t#e in4rea%e in aiati"n turbine !ue pri4e%5 d"me%ti4 airine%
rai%ed !ue %ur4#ar(e at ea%t !ie time% durin( t#e ,ear.
+e%ide% a t#e%e dee"pment%5 t#e uni"n /abinet (ae it% appr"a !"r India t" a44ede t"
t#e /ape T"7n /"nenti"n5 7#i4# 4"ud %ee n"t "n, Air India %ae a% mu4# R% 0B
4r"re "n t#e G +"ein( air4ra!t% dea but a%" bene!it "t#er Indian airine% ("in( !"r E:im
!inan4in( t" 4ut t#eir air4ra!t a4$ui%iti"n 4"%t%.
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T#e /ape T"7n /"nenti"n "!!er% a #"%t "! bene!it% t" a%%"er% and t#"%e in t#e bu%ine%%
"! m"rt(a(e "! air4ra!t5 in4udin( pr"idin( additi"na %e4urit, !"r rep"%%e%%i"n "!
air4ra!t in 4a%e "! de!aut e%pe4ia, 7#en pa,ment "bi(ati"n% #ae n"t been met.
T#e &"ernment a%" did it% bit t" tr, and 4#an(e ("ba aiati"n p"i4, b, m"in( a
re%"uti"n at t#e internati"na 4ii aiati"n "r(ani>ati"n %ee-in( a reie7 "! t#e ni(#t
4ur!e7 t#at i% imp"%ed b, airp"rt ar"und t#e ("be5 in4udin( t#"%e in t#e US and %eera
4"untrie% in Eur"pe.
On t#e ee "! p"i4,5 a 21;member &r"up "! 'ini%ter% )&"'* 7a% 4"n%tituted durin(
t#e ,ear t" !inai>e t#e 4ii aiati"n p"i4,5 7#ie a t#ree member &"' 7#i4# in4uded
t#e Finan4e 'in%ter5 'r P. /#idambaram5 t#e deput, /#airman "! t#e pannin(
/"mmi%%i"n5 'r '"nte- Sin(# A#u7aia5 and t#e 'ini%ter !"r /ii Aiati"n5 'r
Pra!u Pate5 !inai>ed a ne7 p"i4, !"r &reen!ied airp"rt )in 011*. T#e &reen!ied
airp"rt p"i4, i% e:pe4ted t" be %ent t" t#e /abinet !"r Fina appr"a %""n.
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426 OB7ECTIVE- O5 T3E 1RO7ECT
♦ T" identi!, t#e %"ur4e% "! reenue and e:penditure "! Air India and t" e:amine
t#e 4riti4a area "! reenue and e:penditure "! t#e 4"mpan,.
♦ Sp"t a trend in !inan4ia item% "! in4"me %tatement and ma-e predi4ti"n% !"r
t#e !uture.
♦ T" app, t#e 4"n4ept "! rati" ana,%i% t" d" a intra 4"mpan, 4"mparatie
ana,%i% "! in4"me and e:pen%e rati".
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C3A1TER 6
COM1AN. 1RO5ILE
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624 NACIL 8AIR INDIA9
T#e Nati"na Aiati"n /"mpan, "! India Limited )NA/IL* 7a% e%tabi%# in 011 and i%
"7ned b, t#e &"ernment "! India #ead$uartered in 'umbai. T#e 4"mpan, 7a% 4reatedt" !a4iitate t#e mer(er "! t#e t7" main %tate;"7ned airine% in IndiaK Air India5 7it# it%
%ub%idiar, Air India E:pre%% and Indian Airine%5 t"(et#er 7it# it% %ub%idiar, Aian4e
Air.
9#i%t t#e mer(er and inte(rati"n pr"4e%% #a% %tarted5 and a !e7 r"ute% #ae been
rati"nai>ed5 a "t remain% t" be d"ne be!"re t#e ari"u% unit% %tart !un4ti"nin( a% a
4"#e%ie airine%. T#e 4urrent %tru4ture i%K
Nati"na Aiati"n /"mpan, "! India Limited
• Air India
Air India E:pre%%
Air India /ar("
• Indian Airine%
Air India Re(i"na )!"rmer, Aian4e Air*
Up"n 4"mpeti"n "! t#e mer(er5 t#ere 7i be "ne primar, airine5 Air India5 7it# t7"
%ub%idiar, 4arrier pr"idin( re(i"na and "7;4"%t5 p"int;t";p"int %eri4e% and a t#ird
%ub%idiar, !"r 4ar(" "perati"n%K
• Air India
Air India E:pre%%
Air India Re(i"na
Air India /ar("
Air India Limited i% t#e nati"na !a( 4arrier airine% "! India5 !,in( a 7"rd7ide net7"r-
"! pa%%en(er and 4ar(" %eri4e%. Air India i% %tate;"7ned5 and admini%tered a% part "! t#e
nati"na Aiati"n /"mpan, "! India Limited H 7#i4# 7a% 4reated in 011 t" !a4iitate Air
India3% mer(er 7it# Indian Airine%. T#e main ba%e% "! "perati"n "! t#e airine% are
'umbai3% /##atrapati S#ia=i Internati"na Airp"rt and De#i3% Indira &and#i
Internati"na Airp"rt.
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Air India i% t#e 2t# ar(e%t airine% in A%ia5 %erin( 0G de%tinati"n% 7"rd7ide and 7it#
it% a!!iiated 4arrier5 %erer "er 211 4itie%. Air India #a% 4"de %#are a(reement 7it#
t7ee "t#er internati"na airine%.
626 AIR INDIA ON T3E U1-WING: LARGER 5LEET AND
E,1ANDED NETWORK
Air India i% India% !ine%t !,in( Amba%%ad"r. T#e ur(e t" e:4e and t#e ent#u%ia%m5 7#i4#
4#ara4teri>ed Air India% !ir%t !i(#t5 7a, ba4- "n O4t"ber 2C5 2@05 i% $uinte%%entia een
t"da, ; t#an-% t" Air Indian% 7#" #ae -ept aie t#e traditi"n "! !,in( #i(#. T#e mer(er
"! Air India and Indian5 t#e 4"untr,3% eader in t#e d"me%ti4 %e4t"r5 #a% #eped t#e airine
t" emer(e a% a ma="r !"r4e in t#e airine indu%tr,. T#e re;brandin( e:er4i%e i% 4urrent,
under7a, and pa%%en(er% are (ettin( t" %ee t#e uni!ied !a4e "! t#e ne7 ini("rated Air
India. T#e mer(ed entit,5 7#i4# pre%ent, #a% a !eet "! 20B air4ra!t5 "!!er% pa%%en(er%
%eame%% trae a4r"%% d"me%ti4 and internati"na r"ute%.
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Air India %ere% d"me%ti4 de%tinati"n% and 2 internati"na de%tinati"n% in 21 4"untrie%.
T"(et#er 7it# it% %ub%idiarie% t#e (r"up 4"nne4t% @ de%tinati"n% 7"rd7ide in 0B
4"untie% a4r"%% A!ri4a5 A%ia5 Eur"pe and N"rt# Ameri4a
.
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62; AMALGAMATION O5 AIR INDIA & INDIAN AIRLINE-
T#e ("ernment "! India5 "n 2 mar4# 0115 appr"ed t#e mer(er "! Air India and Indian
Airine%. /"n%e$uent t" t#e ab"e5 a ne7 4"mpan, i> Nati"na Aiati"n /"mpan, "! India Limited )NA/IL* 7a% in4"rp"rated under t#e /"mpanie% A4t5 2C "n @1 'ar4#
011 7it# it% re(i%tered "!!i4e at Airine% <"u%e5 22@ &urud7ara Ra-ab(an= R"ad5 Ne7
De#i. T#e 4erti!i4ate t" /"mmer4e +u%ine%% 7a% "btained "n 2B 'a, 011. Pre%ent,5
t#e +"ard "! NA/IL 4"n%i%t% "!K
♦ S#ri Ra(#u 'en"n5 Add Se4retar, ? Finan4ia Adi%"r5 'ini%tr, "! /ii
Aiati"n
♦ S#ri R 6 Sin(#5 8t Se4retar,5 'ini%tr, "! /ii Aiati"n
♦ S#ri Ra=i +an%a5 Dire4t"r5 'ini%tr, "! /ii Aiati"n
T#e m"%t imp"rtant dee"pment 7it# re%pe4t t" t#e 4"mpan, Indian Airine% #a% been
t#e mer(er "! b"t# t#e Pubi4 Se4t"r 4arrier% "! India name, Indian Airine% Ltd. And Air
India Ltd 7it# a ne7 4"mpan, name, Nati"na Aiati"n /"mpan, "! India Ltd.
A!ter t#e appr"a t" t#e %4#eme "! mer(er b, t#e ("ernment "! India5 t#e mini%tr, "!
4"rp"rate A!!air% ide" t#eir "rder dated 00nd Au(u%t 011 #a% appr"ed t#e %4#eme "!
Ama(amati"n "! Air India Limited and Indian Airine% Ltd 7it# t#e Nati"na Aiati"n
/"mpan, "! Indian Ltd )NA/IL* 7it# e!!e4t !r"m 2%t Apri 011.
T#e mer(er "! ne7 4"mpan, 7i enabe t#e ne7 4"mpan, t" (enerate !urt#er
m"mentum5 a% t#e 4"mbined %tren(t# "! t7" 4"mpanie% 7i (ae ari"u% %,ner(,
bene!it% re%utin( int" !inan4ia bene!it% t" NA/IL.
S"me "! t#e bene!it% 7#i4# 7i a44rue t" NA/IL are K
♦ R"ute Rati"nai>ati"n
♦ Fue pr"4urement
♦ En(ineerin(
♦ St"re% ? Inent"r, pur4#a%e b"t# air4ra!t% and n"n air4ra!t%
♦ In%uran4e bene!it%
♦ <andin( "! !i(#t%
♦ Emp",ee pr"du4tiit,
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T#e %4#eme "! Ama(amati"n "! Air India Limited and Indian Airine% Limited 7it#
Nati"na Aiati"n /"mpan, "! India Limited 7a% appr"ed b, t#e +"ard "! Dire4t"r% "!
a t#e t#ree /"mpanie%.
T#erea!ter5 t#e 'eetin(% "! Se4ured and Un%e4ured /redit"r% "! Air India and Indian
Airine% 7ere #ed in Ne7 De#i "n 0Gt# 8une 0115 in 7#i4# t#e %4#eme "!
Ama(amati"n 7a% appr"ed b, t#e 4redit"r%. T#e !ina #earin( "! t#e mer(er petiti"n
7a% #ed "n @2%t 8u, 011 7#ere in t#e a%t date !"r %ubmi%%i"n "! "b=e4ti"n% 7a% !i:ed
"n Gt# Au(u%t 011 and t#e "rder "! t#e 'ini%tr, "! /"rp"rate A!!air% i% a7aited. T#e
Aut#"ri>ed and paid Hup %#are 4apita "! t#e mer(ed entit, 7i be R%. 2C1151C5115111;
and R%. 2BC5115115111; re%pe4tie,.
It #a% been de4ided t#at p"%t mer(er5 t#e ne7 entit, 7i be -n"7n a% “Air India” 7#ie
“'a#ara=a” 7i be retained a% it% ma%4"t. T#e "(" "! t#e ne7 airine 7i be a red
4""red !,in( %7an 7it# t#e “-"nar- /#a-ra” in "ran(e pa4ed in%ide it t#e !,in( %7an
#a% been m"rp#ed !r"m Air India3% 4#ara4teri%ti4 "(" “T#e /entaur” 7#erea% t#e
“6"nar- /#a-ra” 7a% remini%4ent "! Indian3% "(". T#e 4"rp"rate "!!i4e "! NA/IL 7i
be at 'umbai. T#e &"ernment #a% appr"ed t#e app"intment "! %#ri V T#ua%ida% and
Dr V Triedi a% /#airman ? 'ana(in( Dire4t"r and 8"int 'ana(in( Dire4t"r5
re%pe4tie, 5 "! t#e mer(ed entit,5 7it# e!!e4t !r"m t#e date "! mer(er.
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62< N#+ Thr"st
Air India n"7 #a% a ,"un(er !eet 4"mpri%in( ei(#t +;011LR% and 20 +;@11ER%5
01 Airbu% A;@02% and 2 A;@2%. On t#e internati"na net7"r- Air India n"7 "perate% 0G
7ee-, %eri4e% t" t#ree de%tinati"n% in t#e USA ; Ne7 Y"r-5 Ne7ar- and /#i4a("
in4udin( a dai, N"n St"p !i(#t bet7een 'umbai;Ne7 Y"r- and De#i;Ne7 Y"r-
!""7in( t#e indu4ti"n "! brand ne7 +"ein( ;011LR in it% !eet. 9it# a !eet "! 20B
air4ra!t5 Air India #a% been (radua, e:pandin( it% net7"r- t" 4"er ne7 de%tinati"n% in
India and abr"ad.
0.C N"n%t"p Fi(#t%
62=2A2 B>>>:6??LR
T#e di%4ernin( pa%%en(er "! t"da, ""-% !"r %peed and 4"m!"rt. 9it# t#e indu4ti"n "! t#e
%tate;"!;t#e;art +;011LR air4ra!t5 Air India n"7 "!!er% b"t# %peed and 4"m!"rt
t#r"u(# it% n"n%t"p %eri4e% t" Ne7 Y"r-5 Ne7 8er%e,5 /#i4a(" and T"r"nt"5 4"m!"rtabe
%eat%5 0@ in4# %4reen t" 7at4# 0C1 #"ur% "! ide" pr"(rammin(5 m""d i(#tin( and
("urmet !""d. T#e ei(#t;%eat 5irst C!ass 4abin #a% been de%i(ned t" "!!er t#e pa%%en(er
4"m!"rt and u:ur, 7it# e:4u%iit,. Ea4# Fir%t /a%% %eat 4an be tran%!"rmed int" a !u,
#"ri>"nta !at bed5 in4#e% "n( and @2 in4#e% 7ide. A pa%%en(er traein( Fir%t /a%%
#a% t#e !a4iit, "! 4"neni" %eri4e i.e. mea% at time% pre!erred b, a pa%%en(er. T#e @C;
%eat E@#("tiv# C!ass 4abin t"" #a% %pa4i"u% and 4"m!"rtabe %eat%. Ea4# %eat 4an be
tran%!"rmed int" a 0;in4# "n( !at bed. T#e 2C E($n$y C!ass %eat% are
er("n"mi4a, de%i(ned !"r 4"m!"rt durin( t#e "n( #au !i(#t. '""d Li(#tin( H t#e
entire air4ra!t 4abin #a% t#e !a4iit, "! $$d !ihtin in %"!t %#ade% "! maue5 (reen and
pin- t" %""t#e and rea: pa%%en(er%.
0B
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62=2B2 B>>>:;??ER
Air India3% +;@11ER% "perated "n 'umbaiDe#i H L"nd"n %e4t"r% #ae a t"ta "!
@B0 %eat% in t#ree;4a%% 4"n!i(urati"n H !"ur Fir%t /a%%5 @C E:e4utie /a%% and @1@
E4"n"m, /a%% %eat%. T#e 5irst C!ass 7it# 2;0;2 %eatin( i% de%i(ned t" "!!er t#e
premium traeer u:ur,5 4"m!"rt and pria4, and an e:ten%ie ran(e "! !a4iitie%. Ea4#
Fir%t /a%% %eat i% an indiidua 4abin b, it%e!. T#e %eat5 7#i4# i% 0@” 7ide and #a% a %eat
pit4# "! G1 in4#e%5 4"nert% int" @2;in4# 7ide !u !at bed. T#e %eat "!!er% umbar
%upp"rt5 a ma%%a(e %,%tem and a ar(e bi;!"din( mea tabe 7#i4# %ide% and %7ie%5
(iin( t#e pa%%en(er !e:ibiit, t" m"e ea%i, !r"m #i%#er %eat 7#en t#e tabe i%
dep",ed. In E@#("tiv# C!ass t#e 0;@;0 abrea%t 2.C in4#e% 7ide %eat% 7it# a pit4# "!
in4#e%5 tran%!"rm int" 0.C in4# !u !at bed%. T#e %eat% #ae a ar(e ba4- %#e and a
diider bet7een %eat% !"r pria4,. T#e !"ur;7a, m"abe eat#er #eadre%t pr"ide% !"r
(reater 4"m!"rt. In E($n$y C!ass t#e @;@;@ abrea%t %eat% 7it# a pit4# "! @@ in4#e% and a
;in4# re4ine are 2G in4#e% 7ide. A t#e %eat%5 e:4ept t#"%e in t#e !r"nt r"75 #ae a
r"er t,pe t#erapeuti4 e( re%t in%taed in !r"nt !"r added 4"m!"rt.
In:%!iht Ent#rtain#nt ; Pa%%en(er% 4an en=", @C1 #"ur% "! audi" ide" "n demand.
T#ere i% %"met#in( !"r ea4# and eer, pa%%en(er H m"ie%5 (ame%5 ne7% and mu%i4.
State;"!;t#e;art T#ae% iC11 in;!i(#t entertainment %,%tem5 7#i4# pr"ide% #i(# n"i%e
immunit,5 ma-e% traein( "n t#e "n( #au !i(#t% a pea%ure. A US+ p"rt in a 4a%%e%
enabe% pa%%en(er% t" 4"nne4t ee4tr"ni4 dei4e%5 e.(. di(ita 4amera5 -e,b"ard5 'P@
pa,er and m"bie p#"ne.
62=2C R#%"r*ish#d B><>:<??
Air India #a% a%" reamped it% Fir%t /a%% "n a it% "n( #au +"ein( B;B11%5 dep",ed
"n t#e 'umbai;Fran-!urt;Ne7ar- %e4t"r b, retr"!ittin( 2G1;de(ree% !at;bed %eat% in t#e
Fir%t /a%%. T#e pu%#5 ne7 %eat%5 "!!erin( #i(#, inn"atie %tandard% in de%i(n5 %a!et,5
reiabiit, and appearan4e5 are e$uipped !"r 7"r-5 %eep "r re%t in a44"rdan4e 7it# t#e
0C
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pa%%en(er% pre!eren4e. T#e re;4"n!i(ured Fir%t /a%% %eat% "n, 205 in%tead "! 2 earier.
62 N#t+$rk
In it% eer;(r"7in( $ue%t !"r pr"idin( dire4t %eri4e% !r"m ari"u% p"int% in India5 Air
India 4urrent, "perate% internati"na !i(#t% !r"m 'umbai and 2B "t#er Indian 4itie%5 i>.
A#medabad5 Amrit%ar5 +an(a"re5 /#ennai5 De#i5 &"a5 <,derabad5 6"4#i5 6"-ata5
6">#i-"de5 Lu4-n"75 Varana%i5 &a,a and T#iruanant#apuram. /"mmen4ement "!
internati"na "perati"n% !r"m t#e%e 4itie% #a% "biated5 t" a er, ar(e e:tent5 t#e need !"r
pa%%en(er% !r"m t#e%e re(i"n% t" ne4e%%ari, trae t" 'umbai and De#i5 t#e traditi"na
(ate7a,%5 !"r ta-in( internati"na !i(#t%. Pa%%en(er% b"ardin( "r depanin( in t#e%e 4itie%
4an n"7 4"mpete t#eir immi(rati"n and 4u%t"m !"rmaitie% at t#eir 4it, airp"rt5 b"t# at
t#e time "! departure and arria. Air India3% ("ba net7"r- 4urrent,5 re(i"n;7i%e5 i%K
E"r$'#0 L"nd"n5 Fran-!urt5 Pari%
Asia 1a(i%i(0 +an(-"-5 <"n( 6"n(5 O%a-a5 Se"u5 S#an(#ai5 Sin(ap"re5 and T"-,".
G"!% & Midd!# East0 Abu D#abi5 Dammam5 Dubai5 8edda#5 6u7ait5 'u%4at5 Ri,ad#
and S#ar=a#.
-$"th Asia0 /""mb"5 6abu5 6at#mandu5 Yan("n and 'ae.U-A & Canada0 /#i4a("5 Ne7 8er%e,5 Ne7 Y"r- and T"r"nt".
0
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0. D"me%ti4 Operati"n%
On t#e d"me%ti4 !r"nt 7e "perate t" 0 %tati"n% "ut "! 7#i4# 2 are 4"nne4ted t" "ur
internati"na de%tinati"n%. T#e 20;%eater Airbu% A@02 air4ra!t 4"nne4t% a ma="r metr"%5
in4udin( a !i(#t% "n t#e De#i;'umbai %e4t"r. Spa4i"u% 4abin5 4"m!"rtabe %eat% and
t#e u:ur, "! in;!i(#t entertainment ma-e t#i% a %uperi"r pr"du4t t#at traeer% ""-
!"r7ard t". A% m"re and m"re A@02% and A@2% ="in t#e !eet5 t#e, 7i (radua, repa4e
t#e A@01% 7#i4# are 4urrent, dep",ed "n man, d"me%ti4 %e4t"r%.
/"nenient 4"nne4tiit, #a% been pr"ided t"!r"m ma="r metr"% i-e /#ennai5 6"-ata5<,derabad and +an(a"re !"r pa%%en(er% b""-ed "n t#e N"n St"p !i(#t%. In4rea%in(
"44upan4, ee% "n t#e N"n St"p !i(#t% i% te%tim"n, t" t#e p"puarit, "! t#i% premium
pr"du4t.
T#e Re(i"na "perati"n% 4"er t#e !""7in( %tati"n%K
N$rth#rn R#i$n0 Amrit%ar5 Aa#abad5 +#"pa5 /#andi(ar#5 De#radun5 De#i5 &7ai"r5
8aipur5 8abapur5 8ammu5 8"d#pur5 6anpur5 6#a=ura#"5 6uu5 Le#5 Lu4-n"75 Lud#iana5
Raipur5 Srina(ar5 Udaipur and Varana%i.
East#rn R#i$n0 A(artaa5 Ai>7a5 +a(d"(ra5 +#ubane%#7ar5 Dibru(ar#5 Dimapur5
&a,a5 &u7a#ati5 Imp#a5 8"r#at5 6"-atta5 Liabari5 Patna5 P"rt +air5 Ran4#i5 S#i"n(5
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Si4#ar and Te>pur.
W#st#rn R#i$n0 A#medabad5 Auran(abad5 &"a5 Ind"re5 8amna(ar5 'umbai5 Na(pur5
Pune5 Ra=-"t5 Surat and Vad"dara.
-$"th#rn R#i$n0 A(ati5 +an(a"re5 /#ennai5 /"imbat"re5 <,derabad5 6"4#i5
6">#i-"de5 'adurai5 'an(a"re5 T#iruanant#apuram5 Tirupati and Vi%#a-apatnam.
62 D#!hi Th# N#+ 3"*
T#e inau(urati"n "! T;@ 7a% a m"ment "! pride and =ubiati"n !"r India a% a nati"n5 but
een m"re %" !"r it% nati"na 4arrier5 Air India. T#e aun4# "! T;@ pr"ide% Air India an
"pp"rtunit, t" be t#e !ir%t m"er t" dee"p a !"rmidabe primar, #ub5 !r"m 7#i4# it 7i
be abe t" 4"nne4t MIndia t" t#e 9"rd3.
9it# t#e panned in4rea%e%5 AI 7"ud be "peratin( 2B@ internati"na %eri4e% per 7ee-
"!!erin( ab"ut @@111 %eat% per 7ee- in ea4# dire4ti"n "n %eri4e% "ut "! De#i5 up !r"m
00C11 %eat% per 7ee- 4urrent, repre%entin( an in4rea%e "! near, C1. T#e in4rea%e in
4apa4it, "!!ered "n internati"na r"ute% #a% been a4#ieed 7it# t#e #ep "! in4rea%e in
!re$uen4ie% "n %eera "! Air India3% e:i%tin( internati"na% %eri4e% !r"m t" De#i %u4#
a% De#i;L"nd"n )up !r"m 217- t" 2B7-*5 De#i;Pari% )up !r"m @7- t" dai,*5 De#i;
T"-," )up !r"m B7- t" dai,* be%ide% t#e ne7 dai, n"n;%t"p %eri4e% panned !"r
'eb"urne5 /#i4a(" and T"r"nt".
Air India 7"ud be 4"nne4tin( D#!hi t$ <> d$#sti( d#stinati$ns b, mean% "! n"n;%t"p
dire4t %eri4e%. T#e t"ta number "! d"me%ti4 %eri4e% i% panned t" be in4rea%ed !r"m 0
per da, 4urrent, t" 2per da, 7it# t#e 4apa4it, "!!ered ("in( up !r"m G11 %eat% per da,
t" 21011 %eat% per da, in ea4# dire4ti"n. /"n%e$uent,5 %eat% "!!ered b, Air India "n a
it% %eri4e% !r"m De#i 7i %tand in4rea%ed !r"m ab"ut G0111 %eat% per 7ee- t" ab"ut
21B111 %eat% per 7ee- in ea4# dire4ti"n5 an in4rea%e "! m"re t#an 0C 7#i4# i% e:pe4ted
t" (ie t#e airine a d"minant p"%iti"n in t#e d"me%ti4 and internati"na mar-et t" !r"m
0G
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De#i.
622A2 5r#"#nt 5!y#r 1r$ra#
Air India #a% a Fre$uent F,er Pr"(ramme branded F,in( Return%. F,in( Return%
Pr"(ramme5 t#e m"%t attra4tie Fre$uent F,er Pr"(ramme !"r t#e Indian traeer5 4an
a44rue mie% 7#ie !,in( "n Air India5 Lu!t#an%a5 Sin(ap"re Airine% and !i(#t% "! Air
India% 4"de %#are partner%5 and redeem t#em !"r a7ard ti4-et% "n Air India5 Lu!t#an%a "r
Sin(ap"re Airine%. T#r"u(# tie;up% 7it# "t#er partner% %u4# a% 4redit 4ard%5 #"te% and
tee4"m 4"mpanie%5 member% 4an earn and tran%!er mie% t" F,in( Return% Pr"(ramme.
F,in( Return% #a% a member%#ip "! near, 5115111 member% 7"rd7ide. F"r m"re
detai% "( "n t" #ttpK777.!,in(return%.4".in
62 Dinin
Dinin( ab"ard Air India i% a ("urmet e:perien4e. T#e airine "!!er% a 4#"i4e "! menu% t"
%uit a t,pe% "! paate% ; Indian and /"ntinenta. Apart !r"m t#e%e5 t#ere i% 7e%tern
n"uee 4ui%ine5 an appeti>in( 4#"i4e "! A%ian %pe4iatie%5 and een 8apane%e mea% "n
t#e India;8apan r"ute. +e%ide%5 i! an, pa%%en(er #a% a %pe4ia !""d re$uirement5 #e 4an
4#""%e !r"m an, "! t#e 0@ %pe4ia mea%5 detai% "! 7#i4# are a%" aaiabe "n t#e
7eb%ite #ttpK777.airindia.in. T#e mea pre!eren4e 4an a%" be intimated t#r"u(# t#e
trae a(ent 7#ie ma-in( re%erati"n. T#e menu% are 4"n%tant, reamped and t#e 7ine%4arried "n b"ard ie up t" t#e !""d t#e, 4"mpement 'ea% are %ered t" Fir%t /a%%
pa%%en(er% in b"ne 4#ina 4r"4-er,. A4"#"i4 beera(e% are %ered 4"mpimentar, in a
4a%%e%.
624? In:%!iht Ent#rtain#nt
T#e %ee4ti"n "! mu%i4 "n b"ard Air India air4ra!t 7"ud be t#e en, "! an, radi" %tati"n.
Pa%%en(er% 4an 4#""%e !r"m Indian p"puar mu%i45 Indian /a%%i4a5 &#a>a%5 +",7""d
#it% and !r"m 9e%tern /a%%i4a5 P"p5 8a>>5 /"untr, and N"%ta(ia. A %pe4ia 4#anne !"r
Re(i"na %"n(% #a% been 4"mpied t" %uit a pa%%en(er% 4"min( !r"m di!!erent re(i"n%. A
8apane%e 4#anne i% aaiabe !"r "ur 8apane%e pa%%en(er%.
Air India% ide" pr"(ramme% in4ude a 4#"i4e "! t#e m"%t re4ent En(i%# and <indi
0
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!eature !im%. One;#"ur ide" ma(a>ine repre%ent% t#e !ine%t in 4"med,5 nature ?
7idi!e5 adenture5 a4ti"n and i!e %t,e. T#ere are %pe4ia m"ie% in Tami and
'aa,aam %ee4ted !"r pa%%en(er% traein( !r"m T#iruanant#apuram5 6"4#i5
6">#i-"de and /#ennai t" t#e &u! and Sin(ap"re.
6244 Air India E@'r#ss
Air India3% bud(et internati"na airine5 Air India E:pre%%5 7a% aun4#ed in Apri 011C.
Air India E:pre%% "perate% 011 7ee-, !i(#t% "n it% net7"r- bet7een 2 Indian 4itiei%
i>. A#medabad5 Amrit%ar5 /#ennai5 De#i5 <,derabad5 8aipur5 6"4#i5 6"-ata5
6">#i-"de5 Lu4-n"75 'an(a"re5 'umbai5 Na(pur5 Pune5 Srina(ar5 T#iruanant#apuram
and Tiru4#irapa, and 2B internati"na %tati"n% i>. Abu D#abi5 A Ain5 +a#rain5
+an(-"-5 /""mb"5 D#a-a5 D"#a5 Dubai5 6uaa Lumpur5 6u7ait5 'u%4at5 Saaa#5
S#ar=a# and Sin(ap"re.
Onine b""-in(% 4an be d"ne "n #ttpK777.airindiae:pre%%.in
6246 5a(i!iti#s $n th# Gr$"nd
+e%ide% t#e mu4#;ta-ed ab"ut and appre4iated in;!i(#t %eri4e "n b"ard5 (r"und
!a4iitie% #ae a%" been up(raded. Air India% "un(e !"r tran%it pa%%en(er% at 'umbai
Airp"rt i% e$uipped 7it# %#"7er !a4iitie%5 %pe4ia, de%i(ned %umberette%5 9i;Fi5 a
(,mna%ium and a bu%ine%% 4entre. Fir%t and E:e4utie /a%% pa%%en(er% 4an %ur! t#e net
"r %end e;mai in t#e 4"m!"rt "! "ur bu%ine%% 4entre "4ated in t#e 'a#ara=a# L"un(e
7#ie 7aitin( !"r t#eir !i(#t t" depart. T#ere i% a "un(e !"r una44"mpanied min"r% a%
7e. Air India #a% it% "7n e:4u%ie "un(e% at De#i5 L"nd"n and Ne7 Y"r- in additi"n
t" t#e "ne in 'umbai. At "t#er internati"na airp"rt%5 Air India #a% tie;up% 7it# "t#er
internati"na airine% "r "4a Airp"rt% Aut#"ritie% !"r "un(e !a4iit,.
624; -'##dy M#ssa# -#rvi(# 8-M-9
U%er% "! Indian m"bie teep#"ne% traein( !r"m Indian %tati"n% are re$ue%ted t" pr"ide
t#eir m"bie number% at t#e time "! ma-in( t#eir re%erati"n% t" enabe u% t" in!"rm ,"u
@1
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b, S'S in 4a%e ,"ur !i(#t "ut "! India i% re%4#edued 7it#in !"ur da,% pri"r t" departure.
Fir%t and E:e4utie /a%% pa%%en(er% departin( !r"m 'umbai and De#i airp"rt% 4an tee;
4#e4-;in.
A %eparate entr, #a% been 4reated !"r Fir%t and E:e4utie /a%% pa%%en(er% traein(
!r"m 'umbai. Seera 4#an(e% #ae been intr"du4ed at 'umbai and De#i airp"rt% 7it#
t#e intent "! %treaminin( airp"rt pr"4edure% and en#an4in( e!!i4ien4, t" ma-e E4"n"m,
/a%% pa%%en(er% e:perien4e5 !r"m 4#e4-;in t" b"ardin( "! air4ra!t5 ab%"ute, #a%%e;
!ree. T#e mea%ure% in4ude additi"na X;ra, ma4#ine%5 !""r 7a-er% in 4#e4-;in area5 t#e
!"rmati"n "! a teep#"ne en$uir, 4e and m"re e!!i4ient 4"mmuni4ati"n% bet7een
ari"u% %e4ti"n% "! t#e airp"rt.
624< Advan(# Ch#(k:in
Pa%%en(er% 4an ta-e adanta(e "! t#e adan4e 4#e4-;in !a4iit, t#at i% aaiabe at t#e
airp"rt and 4it, "!!i4e !"r t#e 4"nenien4e "! a pa%%en(er% )in4udin( Fir%t5 E:e4utie
and E4"n"m, /a%%e%* traein( !r"m 'umbai t" t#e US5 t#e U6 and Eur"pe. 9#ie
Fir%t and E:e4utie /a%% pa%%en(er% 4an t#en rep"rt t" t#e airp"rt 7it# t#eir #and
ba((a(e =u%t BC minute% pri"r t" t#e departure "! t#e !i(#t5 E4"n"m, /a%% pa%%en(er%
are re$uired t" 4#e4-;in "n, 1 minute% be!"re %4#edued departure time.
624= On!in# B$$kin
T#e $ui4-5 ea%, and 4"nenient 7a, t" b""- AI ti4-et% "nine t#r"u(# t#e Air India
7eb%ite#ttpK777.airindia.in. A pa%%en(er 4an ma-e a b""-in( !"r a %e4t"r "! #i% 4#"i4e
!"r upt" nine )* pa%%en(er% per b""-in( )in4udin( adut% and 4#idren*. T#e number "!
in!ant% b""-ed5 ma, be up t" t#e 4"rre%p"ndin( number "! adut%. T#e%e b""-in(% 4an be
made !"r !i(#t% !r"m 2 #"ur unti @1 da,% pri"r t" departure "! t#e !i(#t. T#e pa%%en(er
#a% t" pa, "nine u%in( #i% 4redit 4ard )'a%terVi%a*. F"r b""-in(% "ri(inatin( India5 t#e pa,ment 4an a%" be made u%in( Ame: 4redit 4ard%5 4ertain debit 4ard% and t#r"u(# net
ban-in( !r"m Indian ban- a44"unt% "n,. T#e pr"4e%%in( "! t#e 4redit 4ard i% d"ne
t#r"u(# a %e4ure Pa,ment &ate7a, Pr"ider )P&P*. On4e t#e 4redit 4ard #a% been
aidated and t#e 4ard debited5 t#e pa%%en(er (et% a 4"n!irmati"n "! #i% b""-in(. An e
@2
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ti4-et 7i be (enerated and t#e detai% 7it# t#e e ti4-et in- 7i be emaied t" t#e
pa%%en(er.
624 E:Ti(k#tin
2.16.A For online destinations
Ee4tr"ni4 ti4-et% are aaiabe !"r trae "n a de%tinati"n% "n Air India3% net7"r-.
Si(ni!i4ant impr"ement% intr"du4ed in a area% "! Air India% "perati"n% "n an "n;("in(
ba%i%5 rein!"r4e% t#e airine% 4"mmitment t" $uait, and in%i%ten4e "n #i(# %tandard%. Air
India #a% in tune 7it# t#e time%5 emer(ed a% a pr"(re%%ie !"r7ard ""-in( airine5 ea(er
t" %atiate t#e (r"7in( need% and e:pe4tati"n% "! t#e di%4ernin( =et;a(e traeer "! t"da,.
6242B2 A(($!ad#s
Air India #a% been ad=ud(ed a% t#e M+e%t Airine 'RO in India3 and M+e%t En(ine 'RO
in India3 b, Indian Aiati"n and Stat Trade Time% at India3% !ir%t internati"na e:#ibiti"n
and 4"n!eren4e "n maintenan4e5 repair and "er#au )'RO* #ed in 'umbai in 'ar4#
0122.
Air India 7a% a%" ran-ed a% t#e '"%t Tru%ted +rand in t#e aiati"n %e4t"r in t#e 4"untr,
in t#e E4"n"mi4 Time% +rand E$uit, Sure, 0121. T#i% i% !"r t#e !i!t# ,ear t#at t#e
airine #a% 7"n t#e t"p #"n"ur.
Air India #a% 7"n t#e &aie" E:pre%% Trae 9"rd A7ard 011G !"r t#e +e%t S#"rt;<au
Internati"na Airine. Air India #a% prei"u%, been a re4ipient "! t#e &aie" E:pre%%
@0
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Trae 9"rd A7ard !"r t#e “+e%t Internati"na 9e%t +"und Airine "ut "! India” !"r t#ree
%u44e%%ie ,ear% a% 7e a% !"r aun4#in( t#e “+e%t /"rp"rate S"4ia Re%p"n%ibiit,
Initiatie.”
Air India 7a% a%" 4"n!erred t#e pre%ti(i"u% Amit, /"rp"rate E:4een4e A7ard in%tituted
b, t#e Amit, Internati"na +u%ine%% S4#""5 N"ida5 Uttar Prade%# t" #"n"ur /"rp"rate
7it# di%tin4t i%i"n5 inn"ati"n5 4"mpetitiene%% and %u%tenan4e. It a%" 7"n t#e Spe4ia
4ate("r, A7ard 7#i4# re4"(ni>e% t#e '"%t %i(ni!i4ant 4"rp"rate S"4ia Re%p"n%ibiit,
initiatie )/SR* ta-en b, an "r(ani>ati"n. Air India #ad 7"n !"ur "t#er pre%ti(i"u%
a7ard% in 011K
2* Dun and +rad%treet )D?+* 7#i4# ran-ed t#e airine a% t#e !ir%t in term% "! reenue "ut
"! t#e t"p airine 4"mpanie% "ut "! IndiaJ
0* Reader3% Di(e%t Tru%ted +rand A7ardJ
@* /N+/ A7aa> /"n%umer A7ard 011J and M+e%t S"ut# A%ian Airine3 a7ard b, reader%
"! TT& A%ia5 TT& /#ina5 TT& 'i4e and TT&;+T 'i4e /#ina5 a ren"7ned 'i4e and
bu%ine%% trae pubi4ati"n%.
T#e a7ard% are an e"$uent te%tim"n, t" pa%%en(er%3 !ait# in Air India and t#e airine3%
4"ntinued e!!"rt t" en%ure 4"n%umer %ati%!a4ti"n.
Fr"m %tandin( b, t#e nati"n durin( an, 4ri%i%5 re!e4tin( t#e traditi"n and 4uture "! t#e
4"untr,5 "r %#"74a%in( t#e %tren(t# "! emer(in( India H Air India #a% a7a,% been
identi!ied 7it# India. Sp"rt% ? %p"rt%per%"n% #ae en=",ed a pride "! pa4e in t#e
"r(ani>ati"n. India3% #"4-e, and 4ri4-et team% #ae 7"n man, aure% !"r t#e 4"untr,. Air
India #a% a7a,% been 4"mmitted t" it% /"rp"rate S"4ia Re%p"n%ibiit, t#r"u(#
pi"neerin( e!!"rt% in pre%erin( enir"nment. A %erie% "! a7arene%% rai%in( a4tiitie%
reated t" enir"nmenta i%%ue% 7"n it t#e pre%ti(i"u% '"ntrea Pr"t"4" Pubi4
A7arene%% A7ard pre%ented b, t#e United Nati"n% Enir"nmenta Pr"(ramme )UNEP* in
011.
@@
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@B
FINAN/E DEPART'ENT
AREA REVENUEDIVISION5 SAFDAR8UN&
EXPENDITUREDIVISION5 PALA'
A&EN/Y SE/TION
S/REENIN& SE/TION
+ILLS RE/EIVA+LE SE/TION
+ILL PASSIN&;LO/AL
+ILLPASSIN&;OUTSTATION
PROVIDENT FUND
PAYROLL
/AS< ? +AN6
+ILL RAISIN& ? REALIQATION
FINAN/E ? +UD&ET
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;24 AREA REVENUE DIVI-ION
T#e ba%i4 !un4ti"n "! Area Reenue Dii%i"n )ARD* i% t" b""- “Tra!!i4 Reenue” earned
b, Air India in it% b""-%. T#e ari"u% 4"mp"nent% "! tra!!i4 reenue areK
2. Mai! R#v#n"#K T#i% i% t#e reenue deried !r"m t#e 4arria(e "! mai "n t#e r"ute%
"! t#e 4arrier.
0. Air%r#iht R#v#n"#K It i% t#e reenue deried !r"m 4arria(e "! 4ar(" "n t#e
r"ute% "! t#e 4arrier.
@. E@(#ss Baa# R#v#n"#K It i% t#e reenue deried !r"m 4arria(e "! e:4e%% ba((a(e "n t#e r"ute% "! t#e 4arrier.
B. 1ass#n#r R#v#n"#K It i% t#e reenue deried !r"m t#e 4arria(e "! pa%%en(er%
"er t#e r"ute% "! t#e 4arrier.
C. 1$$! R#v#n"#K P"" i% an a(reement entered int" b, t7" nati"na 4arrier%
"peratin( "n t#e %ame r"ute5 t" p"" t#eir reenue in a -itt, and t#en %#are t#e
%ame "n a mutua, a(reed ba%i%. T#e main "b=e4t "! %u4# a(reement% ba%i%. T#e
main "b=e4t "! %u4# a(reement% i% t" ma-e t#e %eri4e% "perated b, t#e p""
partner 4"mpementar, and n"t 4"mpetitie. Reenue (enerated b, %u4# a p"" i%
p"" reenue.
. Chart#r R#v#n"#K It i% t#e reenue deried !r"m t#e 4#arterin( "perati"n%.
/#arter i% a %pe4ia arran(ement5 7#ere b, !"r an a(reed "perati"n5 t#e 4arrier
@C
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pa4e% t#e entire 4apa4it, "! an air4ra!t at t#e di%p"%a "! t#e per%"n re$ue%tin( !"r
4#arter %eri4e%.
;242A -ECTION- AT ARD♦ A#n(y0 Dea% 7it# t#e a(ent% "! Air India and maintain re4"rd% "! a t#e
tran%a4ti"n "r %ae% d"ne b, a(ent% t#r"u(# rep"rtin( !"rm%.
♦ -(r##nin0 Per!"rm% t#e %e$uentia %4reenin( a t#e rep"rtin( !"rm% and
e:e4ute interine biin(.
♦ Bi!!s R#(#iva*!#s 8BFR90 It maintain% t#e re4"rd% "! a t#e 4redit partie%
"! Air India and rai%e bi "r debit n"te% t" %u4# partie% !"r %eri4e%
rendered t" t#em b, Air India.
;242B 5$r#in Transa(ti$n
F"r t#e Air India a(ent% abr"ad5 a t#e tran%a4ti"n% are 4arried t#r"u(# +SP )+iin( ?
Settement Pan* 7it# t#e #ep "! IATA )Internati"na Air Tran%p"rt A%%"4iati"n* a(ent.
Sae% "! ti4-et%5 tran%!er "! reenue and pa,ment "! 4"mmi%%i"n t" a(ent%5 eer,t#in( i%
d"ne t#r"u(# IATA a(ent%.
;26 E,1ENDITURE DIVI-ION
E:penditure dii%i"n i% re%p"n%ibe !"r a44"untin( !"r t#e e:pen%e made in t#e re(i"n.
T#i% in4ude% t#e e:pen%e made in t#e re(i"n. T#i% in4ude% e:pen%e% "n %aar, bi%5
pur4#a%e "! %tati"nar, and an, "t#er admini%tratie e:pen%e. T#e dii%i"n #"7eer d"e%
n"t b""- an, e:penditure t#at i% reated t" t#e air4ra!t in an, 7a,.
Finan4e ? +ud(et Se4ti"n i% re%p"n%ibe !"r maintainin( t#e 8"urna5 %ub%idiar, +""-%
and &enera Led(er !"r !a4iitatin( re4"n4iiati"n "! t#e inter;re(i"n a44"unt%5
maintainin( a re4"rd "! a%%et%5 pr"idin( depre4ati"n t#ere"n and -eepin( re4"rd "!
dep"%it% reied !r"m 4"ntra4t"r and %uppier et4. T#e %e4ti"n a%" 4"mpie% bud(et
@
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e%timate% and annua a44"unt% reatin( t" t#e re(i"n5 7#i4# are %ubmitted t" t#e <ead
uarter%.
;262A2 Bi!! 1assin:L$(a!
A t#e (""d%5 pr"du4t% and e$uipment t#at are re$uired !"r t#e da,;t";da, "perati"n% b,
t#e %upp"rtin( department% are pur4#a%ed in bu- t" be %t"red in anti4ipati"n "! !uture
re$uirement. T#e +i Pa%%in(;L"4a pa%%e% a t#e bi% re(ardin( pur4#a%e% i-e
4entrai>ed pur4#a%in( "! uni!"rm5 4aterin(5 %tati"nar, et4. !"r a C re(i"n%.
T#e ma="r !un4ti"n% "! t#i% %e4ti"n areK
a. Pur4#a%in(
b. Dedu4ti"n%
4. Se4urit, Dep"%it%
1"r(hasin0 T#e St"re ? Pur4#a%e Se4ti"n pa4e% t#e pur4#a%e "rder !"r eer, "4a
pur4#a%e )in4udin( a 4a%# %ae%*. T#ree d"4ument% re$uired !"r t#e pur4#a%e "rder areK
a* Initia pr"p"%a b, end"r
b* In"i4e b, %eer.
4* /"n!irmati"n b, Re4eie ? Di%pat4# Se4ti"n.
D#d"(ti$ns0 An"t#er imp"rtant ="b "! +i Pa%%in(;L"4a i% t" dedu4t TDS !r"m t#e
4"mmi%%i"n "r 4#ar(e paid t" end"r% !"r t#e ab"r %eri4e% pr"ided b, t#em. /ertain
(""d% in %t"re% are %u4# t#at t#e, p"%%e%% t#e Air India "(" "n t#em !"r e.(. %tati"nar,5
ba(%5 ta(%5 !"der%5 bat4#e% et4. T#u% t#e Air India (et% t#"%e (""d% printed !"rm t#e
end"r%. &enera, Air India pr"ide% (""d% t" t#e printer% and t#u% a TDS "! 0.1C i%
dedu4ted !r"m t#e %eri4e 4#ar(e% pr"ided t" t#em b, Air India.
-#("rity D#'$sit0 T#i% i% t#e %um "! am"unt t#at t#e end"r% need t" pa, a% a %e4urit,
!"r t#e tran%a4ti"n% 7it# Air India. A t#e end"r% #ae t" dep"%it a 21 am"unt "! t#e
"rder 7it# Air India !"r a 4aterin( pur4#a%e%. Een !"r t#e item% !"r printin(5 t#e
end"r% are re$uired t" dep"%it a %um e$uiaent t" 21 "! t#e aue t" (""d% "r materia
adan4ed t" t#em b, Air India.
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;262B2 Bi!! 1assin:O"tstati$n
T#e n"rt#ern re(i"n "! Air India #a% it% deain(% in 2C "ut%tati"n "! 7#i4# 2B are "nine and
2)+#iai* i% "!!ine. +i Pa%%in(;Out%tati"n i% t#e 4"ntr"in( aut#"rit, !"r t#e%e "ut%tati"n%.
T#e, i%%ue adan4e Impre%ted /#e$ue% "! a predetermined aue t" a t#e %tati"n% "n 7ee-,
ba%i%. T#e%e 4#e$ue% are a7a,% in name "! Stati"n 'ana(er ? #e i% t#e de%i(nated per%"n
7#" #a% t#e aut#"rit, t" en4a%# it.
T#e ma="r e:pen%e% !"r "ut%tati"n% areK
3$t#! Bi!!s0 !"r t#e pa4-% "!!ered b, Air India "r %ta, "er "! pa4-%5 /abin 4re7 ?
/"4-pit 4re7.
Cat#rin Bi!!s0 !"r t#e 4aterin( %eri4e% pr"ided "nb"ard b, ari"u% 4aterer% i-e Ta=
/aterer%5 S#e! Air /aterin( and Amba%%ad"r et4.
M#di(a! *i!!s0 +i% "! a t#e medi4a !a4iitie% pr"ided t" Air India emp",ee% b,
#"%pita%5 d"4t"r% "r 4#emi%t%.
R#nt0 A t#e and 7it# Air India i% "n Lea%e5 t#u% a m"nt#, rent i% (ien t" t#e Lea%er
)"7ner*.
;262C2 1r$vid#nt 5"nd
T#e !a4iit, !"r pr"ident !und i% aaiabe t" an, emp",ee "n, a!ter t#e 4"mpeti"n "!
"ne 4"mpete ,ear %eri4e. A p.a. rate "! intere%t i% pa,abe t" emp",ee "n t#e
am"unt in Pr"ident Fund. T#e am"unt "! Pr"ident Fund i% 4a4uated a% !""7%K
C$ntri*"ti$n t$ 1r$vid#nt 5"nd0 21 "! Pr"ident Fund Saar,
9#ere Pr"ident Fund Saar, Basi( -a!ary VDA -'#(ia! A!!$+an(#s
)T#ere i% a pr"i%i"n !"r a Spe4ia pa, "r an, Te4#ni4a pa, !"r en(ineer% ? Te4#ni4ian%
et4.*
Emp",ee% #"7eer #ae t#e "pti"n "! 7it#dra7in( t#e am"unt !r"m t#eir Pr"ident
Fund i! eer re$uired. T#e Pr"ident Fund am"unt 4an be 7it#dra7n in t7" 7a,%K
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R#'aya*!# +ithdra+a!0 9it#dra7a t#at i% t" be returned ba4- 7it#in a %tipuated time
%pan5 e:4eedin( ma:imum up t" a peri"d "! @@ m"nt#%.
♦ An intere%t "! 21.C p.a. i% pa,abe "n %u4# a 7it#dra7a "n m"nt#% redu4in(
baan4e
♦ Emp",ee 4an 7it#dra7 ma:imum "! time% "! #i%#er Pr"ident Fund %aar,
♦ Re!undabe 7it#dra7a 4an be aaied !"r an, rei(i"u% 4erem"n,5 7#i4# an
emp",ee i% in4umbent t" per!"rm
N$n:R#%"nda*!# Withdra+a!0 9it#dra7a5 7#i4# need n"t be returned b, t#e
emp",ee. An emp",ee 4an aai %u4# a n"n;re!undabe 7it#dra7a "n, a!ter 2C ,ear%
"! %eri4e. It i% aaiabe !"r t#e !""7in( purp"%e%K
♦ F"r t#e purp"%e "! marria(e "! %ibin(% "r an, Femae dependent
♦ Pur4#a%e "! Land5 <"u%e et4
♦ /"n%tru4ti"n "! <"u%e; Pa,abe in t7" e$ua in%tament%
♦ N"n;Re!undabe 7it#dra7a i% pa,abe a!ter 4"mpeti"n "! 2C ,r% %eri4e "r
7it#in 21 ,r be!"re t#e date "! retirement.
In4"me Ta: i% 4#ar(ed "n Pr"ident Fund am"unt a% per t#e ta:ati"n n"rm% e:i%tin( in
t#e 4"untr, !r"m time t" time.
;262D2 1ayr$!!
T#i% %e4ti"n i% re%p"n%ibe !"r ma-in( t#e %aar, %ip% "! t#e emp",ee%. 9#en a per%"n i%
app"inted t#e pa,r" %e4ti"n re4eie% #i% ="inin( etter and t#e ari"u% term% and
4"nditi"n% "n 7#i4# #e i% app"inted. T#e %e4ti"n i%%ue% t#e per%"n a Sta!! Number. T#u%
eer, emp",ee #a% a %ta!! number and i% re4"(ni>ed b, t#at.
T#e %aar, %ip "! t#e per%"n in4ude% ba%i4 data ab"ut t#e emp",ee i-e t#e Sta!!
Number5 Name5 De%i(nati"n /"de5 De%i(nati"n5 Stati"n /"de5 Department /"de5 Date "!
+irt# )DO+*5 Date "! 8"inin( )DO8*5 +an- A44"unt number.
Ot#er t#an t#e%e detai% it in4ude% +a%i4 Pa,5 Dearne%% A"7an4e )DA* and "t#er
a"7an4e%. Een i! t#e &"ernment in4rea%e% t#e DA t#e 4"mpan, d"e% n"t in4rea%e it5
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une%% de4ided b, t#eir ari"u% uni"n%. S"me a"7an4e% are 4"mm"n t" a emp",ee%
7#erea% %"me ar, a44"rdin( t" t#e a(reement% 7it# t#e per%"n.
T#e ne:t item% in t#e %aar, %ip are t#e Statuar, Dedu4ti"n% i-e Pr"ident Fund5 In4"me
Ta: and Emp",ee State In%uran4e )ESI*. Saar, %ip a%" in4ude% annua %aar,5 ta:abe
%aar,5 ta: and rebate% et4.
;262E2 Cash & Bank -#(ti$n
/a%# and +an- %e4ti"n 4"ntr"% a pa,ment and re4eipt% reatin( t" t#e parti4uar% re(i"n.
+an- +""- maintain% t#e re4"rd% "! di%bur%ement a44"unt% at t#e "ut%tati"n%. /a%#
Se4ti"n dea% 7it# and maintain% a t#e re4"rd% 4"n4ernin( t#e 4a%# pa,ment% and +an-
Se4ti"n pr"ide% t#e 4"n4erned +an-in( treatment. It re4eie% an adan4e %um "! R%. 2
4r"re 01 a-#% per m"nt# !r"m t#e <ead uarter% t" meet a e:pen%e% in t#e re(i"n.
T#e, are en(a(ed in t#e !""7in(K
1ay#nt $% v$"(h#rs0 T#e, entertain and ma-e pa,ment% !"r t#e "u4#er% i-e
Teep#"ne +i%5 Entertainment et4.
-a!ary Distri*"ti$n0 T#e 4a%# pa,ment "! pa, %ip% and t#e 4"rre%p"ndin( a44"untin(.
Advan(#s %$r #'!$y##s0 Adan4in( m"ne, t" t#e emp",ee%5 re4eiin( ba4- t#e e!t;
"ut am"unt and a44"untin( t#e %ame.
Mis(#!!an#$"s It#s0 'aintain tender%5 4anteen %ae%5 %ae "! %4rap et4.
An"t#er ="b 7it# t#e %e4ti"n i% t" #ande a t#e 4a%# re4eipt%5 at#"u(# +an- Se4ti"n
d"e% t#e 4"n4erned a44"untin(. /a%# Se4ti"n i% re$uired t" 4"mpie a 4"n4eaed5
%ummari>ed m"nt#, rep"rt !"r a t#e e:penditure in4urred b, t#e /a%# Se4ti"n "r a t#e
4a%# pa,ment% made b, it. T#i% rep"rt i% t" be !"r7arded t" t#e Finan4e and +ud(et
Se4ti"n eer, m"nt#. T#e retenti"n peri"d !"r %u4# re4"rd% i% ab"ut C ,ear%.
;26252 Bi!! Raisin & R#a!iHati$n
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Air India pr"ide (r"und #andin( t" ari"u% "t#er airine% !"r 7#i4# t#e, 4#ar(e t#em.
Air India #a% it% "7n in!ra%tru4ture5 7#i4# "t#er %ma airine% a4-. T#u% it pr"ide%
ari"u% in!ra%tru4ture !a4iitie% t" "t#er airine% "n a predetermined 4#ar(e. F"r
re4"erin( %u4# 4#ar(e% due "n "t#er airine% +i Rai%in( ? Reai>ati"n Se4ti"n rai%e
bi% "n %u4# airine%. T#u% t#e main ="b "! t#e Se4ti"n i% t" rai%e bi% "n "t#er airine%
!"r t#e %eri4e% pr"ided and maintainin( re4"rd% !"r t#e %ame.
T#e +ureau "! /ii Aiati"n Se4urit, under Air India pr"ide% %e4urit, t" "t#er airine%
"n 4#ar(e ba%i% !"r 7#i4# %imiar biin( i% d"ne b, +i Rai%in( ? Reai>ati"n Se4ti"n.
9#eneer an, %eri4e i% pr"ided5 4"rre%p"ndin( #andin( !"rm% i-e &r"und <andin(
F"rm5 Se4urit, <andin( F"rm et4. are t" be !ied and "n ba%i% "! t#e%e #andin( !"rm%
bi% are rai%ed "n "t#er airine%.
T#ere are t7" -ind% "! partie%K
Cash 1arti#sK T#e%e partie% are %upp"%ed t" ma-e 4a%# pa,ment at t#e time "! #andin(
"n,5 in re(ard "! t#e %eri4e pr"ided t" t#em b, Air India.
Cr#dit 1arti#sK T#e%e partie% aai t#e #andin( %eri4e% "! Air India "n 4redit and t"
t#em. T#e +i Rai%in( ? Reai>ati"n Se4ti"n rai%e% bi% and re4eie% t#e am"unt !r"m
t#em t#erea!ter
A t#e bi% t" !"rei(n Airine% are rai%ed and %etted t#r"u(# IATA 4earan4e #"u%e.
+iin( !"r a priate VIP !i(#t% i.e. 4#artered !i(#t% !"r Pre%ident5 Prime 'ini%ter5 Vi4e
Pre%ident5 i% a%" d"ne b, +i Rai%in( ? Reai>ati"n Se4ti"n. +i% are rai%ed t" t#e
4"n4erned mini%trie% and %ettement i% d"ne t#erea!ter.
;262G2 5inan(# & B"d#t
Finan4e ?+ud(et Se4ti"n i% re%p"n%ibe !"r maintainin( t#e 8"urna5 Sub%idiar, +""-%
and &enera Led(er !"r !a4iitatin( re4"n4iiati"n "! t#e inter;re(i"n a44"unt%5
maintainin( a re4"rd "! a%%et%5 pr"idin( depre4ati"n t#ere"n and -eepin( re4"rd "!
dep"%it% reied !r"m 4"ntra4t"r and %uppier et4. T#e %e4ti"n a%" 4"mpie% bud(et
e%timate% and annua a44"unt% reatin( t" t#e re(i"n5 7#i4# are %ubmitted t" t#e <ead
uarter%.
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-WOT ANAL.-I- O5 AIR INDIA
Air India i% eadin( airine% in t#e India. Air India i% ba%ed in d"me%ti4 enpaned
pa%%en(er% and %4#edued d"me%ti4 departure%. Air India #a% %#"7n a %tr"n( per!"rman4e
in reenue in 011G. Str"n( "peratin( per!"rman4e end% !inan4ia %tabiit, t" t#e
4"mpan,. <"7eer5 t#e ri%in( pri4e% "! aiati"n turbine !ue 4"ud ader%e, a!!e4t Air
India "peratin( mar(in%.
24 -TRENGT3-
• O1ERATIONAL 1ER5ORMANCE
Durin( !i%4a ,ear 011G5 t#e 4"mpan,3% reenue (r"7t# 7a% drien b, in4rea%e in
pa%%en(er %e(ment reenue and mer(er 7it# Indian airine%. T#e in4rea%e in pa%%en(er%
reenue% primari, 7a% due t" an in4rea%e in 4apa4it,5 and an in4rea%e in "ad !a4t"r. In
additi"n t#e reenue (r"7t# i% ba4-ed b, (r"7t# in !rei(#t and 4ar(" reenue5 7#i4# 7a%
a re%ut "! #i(#er rate% 4#ar(e%. T#i% (r"7t# 7a% a%" part, drien b, impr"ed
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e!!i4ien4, in t#e 4"mpan,3% "perati"n. And in 0122 t#e ma:imum reenue i% 4ame !r"m
pa%%en(er% b, @.@
• MARKET LEADER-3I1
Air India i% t#e eadin( airine% in t#e India. T#e airine% #a% been ran-ed t#e t"p in
India3% d"me%ti4 airine )in term% "! number "! pa%%en(er%* b, t#e bureau "!
tran%p"rtati"n %tati%ti4% )+TS* in 011C. Air India ne7, "rder% ab"ut G !r"m B@ !r"m
Airbu%. Air India d"minate% t#e mar-et it %ere%5 ran-in( !ir%t in mar-et %#are in India. It%
%tr"n( mar-et p"%iti"n i% drien n"t =u%t b, 4"n%i%tent deier, "! "7 !are% but a%" due
t" reiabe %eri4e5 !re$uent and 4"nenti"n !i(#t%5 4"m!"rtabe 4abin%5 in;!i(#t
e:perien4e5 !re$uent !,er pr"(ram%5 #a%%e; !ree airp"rt%5 and !riend, 4u%t"mer %eri4e.
Str"n( mar-et p"%iti"n (ie% t#e 4"mpan, t#e adanta(e% "! %4ae and #ep% it in
%tren(t#enin( it% brand ima(e.
26 WEAKNE--E-
• 3IG3 DE1ENDENCE ON 1A--ENGER REVENUE-
Pa%%en(er reenue a44"unted !"r ma="r part "! t#e Air India t"ta reenue. /ar(" %eri4e%
a"7 airine% t" (enerate additi"na reenue% !r"m e:i%tin( pa%%en(er !i(#t%. In additi"n5
4ar(" reenue are u%ua, 4"unter;4,4i4a t" pa%%en(er reenue% and #ae "7er demand
ea%ti4it, t#an pa%%en(er bu%ine%%5 7#i4# a"7% airine% t" pa%% "n !ue pri4e #i-e% t"
4u%t"mer%. Smaer 4ar(" bu%ine%% e:p"%e% Air India t" t#e demand !u4tuati"n% in
pa%%en(er% bu%ine%%.
• UNDER UTILI-ATION O5 CA1ACIT.
Air India %e% %pa4e5 7#i4# i% #i(#, peri%#abe. T#i% i% be4au%e ide 4apa4it, 7"ud
imp, "pp"rtunit, "%t. /apa4it, mean% t#e t"ta number "! %eat% "!!ered b, Air India
dai, t" it% pa%%en(er%.
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2; O11ORTUNITIE-
• GROWING DEMAND 5OR LOW CO-T AIRLINE-
In mature mar-et% demand !"r air trae i% in4rea%in(, bein( drien b, ti4-et pri4e and
4"n%umer 4"n!iden4e. A %ure, b, t#e US /"mmer4e Department %#"7% t#at ti4-et pri4e
i% t#e number "ne 4riteri"n !"r pa%%en(er% 7#en %ee4tin( a !i(#t5 7e a#ead "! t#e
aaiabiit, "! a n"n;%t"p %eri4e. A% mar-et% #ae pr"(re%%ie, matured5 t#e &DP 7i
t,pi4a, re%ut in a 2.0 (r"7t# in d"me%ti4 air trae5 4"mpared 7it# a (r"7t# "!
am"%t 0 in air trae %"me 01 ,ear% a(".
• GROWT3 IN 5REIG3T BU-INE--
T#e Indian e4"n"m, i% "ne "! t#e !a%te%t (r"7in( in t#e 7"rd5 but t#e b""m i% n"t
7it#"ut it% %t"p%5 %tart% and b"ttene4-%5 a "! 7#i4# a%" ma-e t#em%ee% !et in t#e
4"untr,3% !rei(#t tran%p"rt %e4t"r. Air India #ad a%" aun4#ed a ma="r 4ar(" in4entie
%4#eme !"r 4ar(" a(ent% "! Air India and er%t7#ie Indian "n t#e entire net7"r-. T#e
%4#eme5 7#i4# (enerated en"rm"u% re%p"n%e5 entited t"p pr"du4in( a(ent% "! ea4#
re(i"n t" be4"me ei(ibe !"r an a in4u%ie in4entie trip "n %tar 4rui%e.
• E,1ANDING 1A--ENGER- TRA55IC IN A-IA: 1ACI5IC
T#e demand !"r air trae% t" t#e A%ia Pa4i!i4 i% ri%in( drien b, in4rea%ed e4"n"mi4
a4tiit, in emer(in( A%ian 4"untrie% %u4# a% /#ina and India. Tra!!i4 i% pr"=e4ted t" (r"7
at in /#ina and India 4"mbined5 ab"e t#e 7"rd aera(e "! C. Furt#er5 t#e %#are "!
A%ia Pa4i!i4 re(i"n in 7"rd pa%%en(er% tra!!i4 )reenue pa%%en(er -i"meter%* i% !"re4a%t
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t" ri%e !r"m 0C in 011@ t" @2 in 010@. A(ain%t #i% ba4-dr"p5 Air India 7e
p"%iti"ned t" bene!it 7it# it% in4rea%ed emp#a%i% in A%ia;Pa4i!i4 "perati"n%.
2< T3REAT-
• INCREA-ING AVIATION TURBINE 5UEL 1RICE-
T#e pri4e "! aiati"n turbine !ue )ATF* #a% %"ared t" re4"rd #i(#% in t#e pa%t !e7 ,ear%
and 4"ntinue% t" #"d at t#at ee. La%t !e7 ,ear% #ae "n4e a(ain 4ear, #i(#i(#ted t#e
#i(#, 4,4i4a nature "! t#e Aiati"n indu%tr, 7"rd7ide. T#e ATF pri4e% in India are
%ub%tantia, #i(#er t#an it% pri4e in internati"na mar-et. Air4ra!t !ue i% a ma="r
4"ntributi"n t" Air India "peratin( e:pen%e%. '"re"er5 t#e b"nded pri4e appi4abe !"r
internati"na !i(#t% e:;India i% #i(#er t#an t#e ATF pri4e in t#e internati"na mar-et%.
Pri4ed C #i(#er in India "n an aera(e5 4"mpared t" internati"na ben4#mar-%.
T#ere!"re5 t#i% 7i need %tr"n(er reenue (r"7t# and (reater 4"%t 4"ntr"% in "t#er area%
t" "er4"me t#e in4rea%e in !ue pri4e%
• 3IG3 INTERE-T RATE-
T#e pa%t !e7 ,ear% #ae %een /entra +an- imp"%e #i(#er intere%t rate% t" 4#e4- in!ati"n
and t#e "er#eatin( "! re(i"na e4"n"mie%. T#e Re%ere +an- "! India ed t#e 7a,
rai%in( intere%t rate%. In!ati"n !ear% in t#e India ma, %ee an"t#er rai%e in t#e %#"rt;term.
A44"rdin( t" e4"n"mi4% time%5 t#e India rea &DP (r"7t# i% .01 in 011 t"
• INTEN-I5TING COM1ETITION
AIR INDIA i% n"7 4"mpetin( a(ain%t m"re 4redibe "7 4"%t 4arrier% %u4# a% Spi4e =et5
&" air5 Indi(" Airine and 8etite et4 Indi(" Airine% remain% Air India %tr"n(e%t4"mpetit"r be4au%e "! it% 4"mpetitie 4"%t %tru4ture5 %tr"n( brand name and ambiti"u%
(r"7t# pan% "er t#e ne:t %een ,ear%. Air India a%" !a4e% in4rea%ed 4"mpetiti"n !r"m
Air De44an "7;!are% %ub%idiar,5 S"n(. '"re"er5 ma="r e(a4, airine% #ae been
!"4u%in( "n re%tru4turin( 4"%t%5 7#i4# #a% impr"ed t#eir 4"mpetitiene%%. 9it# 4"%t%
re%tru4tured5 t#e e(a4, airine% are be4"min( m"re !"rmidabe 4"mpetitiene%%. 9it#
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4"%t% re%tru4tured5 t#e e(a4, airine% are be4"min( m"re !"rmidabe 4"mpetit"r% in term%
"! in4rea%in( 4apa4it,5 mat4#in( pri4e% and eera(in( t#eir !re$uent !ier pr"(ram%.
In4rea%in( 4"mpetiti"n 4"ud ader%e, a!!e4t t#e 4"mpan,3% mar(in%.
C3A1TER ;
RE-EARC3 MET3ODOLOG.
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<24 R#s#ar(h O*/#(tiv#
♦
T" identi!, t#e %"ur4e% "! reenue and e:penditure "! Air India and t" e:amine
t#e 4riti4a are "! reenue and e:penditure "! t#e 4"mpan,.
♦ Sp"t a trend in !inan4ia item% "! in4"me %tatement and ma-e predi4ti"n% !"r
t#e !uture.
♦ T" app, t#e 4"n4ept "! rati" ana,%i% t" d" a intra 4"mpan, 4"mparatie
ana,%i% "! in4"me and e:pen%e rati"
<26 R#s#ar(h 1r$*!#
T" under%tand t#e 4riti4a, "! reenue and e:penditure "! Air India and 4"mment
"n #eat# "! t#e 4"mpan, ba%ed "n t#e pa%t ,ear%.
<2; R#s#ar(h D#sin
In t#i% %tud, t#e met#"d ad"pted i% de%4riptie a% %tud, i% ba%ed "n pubi%#ed !inan4ia
data i.e. Se4"ndar, Data u%ed.
B
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-$"r(#s $% data ($!!#(ti$n
♦ Printed annua rep"rt "! Air India Ltd.
♦ In!"rmati"n !r"m "t#er re4"rd%5 internet ? intera4ti"n 7it# e:e4utie% "! t#e
4"mpan,
R#s#ar(h T#(hni"#s
♦ Rati" Ana,%i% are appied u%in( e:4e
♦ Trend Ana,%i% "! Reenue and E:penditure
♦ Time peri"d B ,ear%.
C3A1TER =
DATA ANAL.-I- AND INTER1RETATION
BG
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=24 E@'#ns# Rati$
E:pen%e rati" indi4ate t#e reati"n%#ip "! ari"u% e:pen%e t" net %ae%.
E@'#ns# Rati$ #@'#ns#s F n#t sa!#s J 4?? (Rupees in millions)
Year 2007-08 2008-09 2009-10 2010-11
Expense 178542.6 188964.5 165806.7 179959.1
Revenue 152574.7 1479.8 10556.8 142551.1
ra!io in " 117.0 140.2 127.0 126.2
Air India i% #ain( e:pen%e% m"re t#an reenue. T#ere!"re5 t#e rati" i% m"re t#an 211
Air India made ma:imum e:penditure and e%% reenue in ,ear 011G;1 due t" 7#i4# t#e
e:pen%e rati" 4ame 2B1.0
B
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+ut reenue #a% in4rea%ed in !""7in( ,ear%5 7#i4# %#"7% t#e p"%itie %i(n !"r t#e
4"mpan,.
=26 Int#r#st C$v#ra# Rati$
T#e intere%t 4"era(e rati" i% u%ed t" determine #"7 ea%i, a 4"mpan, 4an pa, intere%t
e:pen%e% "n "ut%tandin( debt.
T#e "7er t#e rati" t#e m"re t#e 4"mpan, i% burdened b, debt e:pen%e.
9#en a 4"mpan,3% intere%t 4"era(e rati" i% "n, 2.C "r "7er5 it% abiit, t" meet intere%t
e:pen%e ma, be $ue%ti"nabe.
Int#r#st ($v#ra# rati$ EBIT F Int#r#st #@'#ns#
(Rupees in millions)
Year 2007-08 2008-09 2009-10 2010-11
E#$% -25967.9 -54170.7 -177.7 -7408
$n!eres! expen&i!ure 701 16658.8 244.5 2959
$'R -.7 -. -1. -1.1
C1
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Air India i% #ain( ne(atie intere%t 4"era(e rati" 7#i4# mean% Air India i% n"t in p"%iti"n t" pa, t#e intere%t e:pen%e.
+ut Air India intere%t 4"era(e rati" #a% impr"ed !r"m ,ear 011;1G t" 0121;22
Intere%t E:penditure a%" #a% in4rea%ed !r"m ,ear 011;1G t" 0121;22 b, ;@. t" ;2.2
=2; N#t 1r$%it Marin
T#e pr"!it mar(in te% #"7 mu4# pr"!it a 4"mpan, ma-e% !"r eer, 2. It (enerate% in
reenue "r %ae%.
Pr"!it mar(in ar, b, indu%tr,5 but a e%e brin( e$ua5 t#e #i(#er a 4"mpan,3% pr"!it
mar(in 4"mpared t" it% 4"mpetit"r%5 t#e better.
N#t 1r$%it Marin N#t In($# 8a%t#r ta@#s9 F R#v#n"# J 4??
(Rupees in millions)
Year 2007-08 2008-09 2009-10 2010-11
e! $nome (a*!er !ax) -22261.6 -55482.6 -55524.4 -68651.7
Revenue 152574.7 1479.8 10556.8 142551.1
+,( in per en!) -14.59 -41.16 -42.5 -48.16
C2
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Air India #a% n"t earned an, pr"!it !r"m ,ear 011;1G t" 0121;22 Net "%% #a% in4rea%ed eer, ,ear due t" m"re e:pen%e% t#an reenue. +ut reenue a%"
#a% in4rea%ed !r"m 011;21 t" 0121;22
In Year 011;1G Air India #ad made e%% net "%% and m"re reenue t#at3% 7#, t#e net
pr"!it mar(in rati" 7a% ;2B.C but in 0121;22 Air India made m"re net "%% due t"
7#i4# t#e rati" i% ;BG.2
=2< 1ass#n#r R#v#n"#
C$ntri*"ti$n $% 'ass#n#r r#v#n"# 1ass#n#r R#v#n"#F T$ta! R#v#n"# J 4??
(Rupees in millions)
Year 2008 2009 2010 2011
passener Revenue 99540.7 92668.9 91502.2 10448.2
!o!al revenue 152574.7 1479.8 10556.8 142551.1
" o* sare 65.2 68.7 70.1 7.
C0
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T#e 4"ntributi"n "! pa%%en(er reenue in t"ta reenue #a% in4rea%ed eer, ,ear. And in
,ear 0121;22 t#e pa%%en(er reenue 4"ntributi"n i% @.@
=2= Car$ R#v#n"#
C$ntri*"ti$n $% (ar$ r#v#n"# Car$ R#v#n"#F T$ta! R#v#n"# J 4??
(Rupees in millions)
Year 2008 2009 2010 2011
'aro Revenue 6726.5 6622.1 6911.9 8757.9
%o!al Revenue 152574.7 1479.8 10556.8 142551.1
" o* /are 4.4 4.9 5. 6.1
C@
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T#e 4"ntributi"n "! pa%%en(er reenue in t"ta reenue #a% in4rea%ed eer, ,ear. And in
,ear 0121;22 t#e pa%%en(er reenue 4"ntributi"n i% @.@
=2 Chart#r R#v#n"#
C$ntri*"ti$n $% (hart#r r#v#n"# Chart#r R#v#n"#F T$ta! R#v#n"# J 4??
(Rupees in millions)
Year 2008 2009 2010 2011
'ar!er Revenue 6985.6 1069. 6184. 7494.2
%o!al Revenue 15257 4.7 1479.8 10556.8 142551.1
" o* sare 4.6 7.9 4.7 5.
CB
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T#e 4"ntributi"n "! 4#arter reenue in t"ta reenue 7a% #i(#e%t in 011 b, . t#en it%
de4ine in 0121 b, B. and a(ain in4rea%ed in 0122 b, B. t" C.@
=2> E@(#ss Baa#
C$ntri*"ti$n $% #@(#ss *aa# E B R#v#n"#F T$ta! R#v#n"# J 4??
(Rupees in millions)
Year 2008 2009 2010 2011
E # Revenue 821.5 699.1 806.6 766.2
%o!al Revenue 152574.7 1479.8 10556.8 142551.1
" o* sare 0.54 0.52 0.62 0.54
CC
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T#e 4"ntributi"n "! e:4e%% ba((a(e in t"ta reenue 7a% #i(#e%t in 0121 b, 1.0 but it
de4ined in 0122 b, 1.0 t" 1.CB
=2 T$ta! R#v#n"#
)in per4enta(e*
Year 2008 2009 2010 2011passener 65.2 68.7 64.2 7.
aro 4.4 4.9 5. 6.1
ar!er 4.6 7.9 4.7 5.2
exess aae 0.54 0.52 0.62 0.54
C
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Eer, ,ear t#e ma:imum 4"ntributi"n "! reenue 4ame !r"m pa%%en(er.
In ,ear 0122 @.@ reenue 7a% !r"m pa%%en(er5 .2 !r"m 4ar("5 C.0 !r"m 4#arter
and .CB !r"m e:4e%% ba((a(e.
5.9 Payments to and provisions for employees including crewallowances
C$ntri*"ti$n $% #'!$y##s #@'#ns# E'!$y##s E@'#ns#F T$ta! E@'#ns# J 4??
)Rupee% in 'ii"n*
Year 2008 2009 2010 2011
emploees expense 2245 88.5 587.2 7268.7
!o!al expense 178542.6 188694.5 1620.5 179959.1
" o* sare 18.06 17.69 20.69 20.71
C
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T#e 4"ntributi"n "! emp",ee% e:pen%e% 7ere er, #i(# in ,ear 0121 and 0122.
+ut t#e ma:imum t"ta e:pen%e% 7ere #i(# in ,ear 011 and 4"ntributi"n "! emp",ee%
e:pen%e 7a% "7e%t in 011 a% 4"mpare t" "t#er ,ear%.
5.10 Aircraft Fuel and Oil
C$ntri*"ti$n air(ra%t %"#! and $i! Air(ra%t %"r! and $i!F T$ta! E@'#ns# J 4??
(Rupees in millions)
Year 2008 2009 2010 2011
irra*! 3uel an& il 62525.1 70606.4 50150.2 61120.5
%o!al Expense 178542.6 188694.5 1620.5 179959.1
" o* sare 5.02 7.42 0.89 .96
CG
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Air4ra!t !ue and "i e:pen%e i% ma="r e:pen%e in Air India.
T#e !u4tuati"n in pri4e "! !ue and "i and it% 4"n%umpti"n matter in t"ta e:pen%e.
In 011 t#e t"ta e:pen%e 7a% #i(#e%t and air4ra!t !ue and "i 4"n%umpti"n 7a% a%" #i(#
@.B0 and in 0122 it% 4"ntributi"n 7a% @@. 7#i4# 7a% m"re t#an in 0121.
Fue and "i e:pen%e i% un4"ntr"abe.
5.11 Navigation, anding, !ousing and Pac"ing
C$ntri*"ti$n NL31 NL31F T$ta! E@'#ns# J 4??
(Rupees in millions)
Year 2008 2009 2010 2011
+ 9698.4 9290.9 10604.4 10774.8
%o!al Expense 178542.6 188694.5 1620.5 179959.1
on!riu!ion in" 5.4 4.92 6.5 5.99
C
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T#e nai(ati"n5 andin(5 #"u%in( and pa4-in( are a%" un4"ntr"abe.
T#e airp"rt aut#"rit, 4#ar(e t#i% 7#i4# airine indu%tr, #ae t" pa, "t#er7i%e t#e, 7i
n"t t" abe t" d" andin( "! t#eir air4ra!t%.
T#e 4#ar(e% are -eep "n 4#an(in( and a44"rdin( t" number "! !i(#t% t#e Air India #ae
t" pa, t#e%e 4#ar(e%.
In 011 Air India #ad made ma:imum e:pen%e but NL<P 4"ntributi"n 7a% minimum in
t#i% ,ear. It% 4"ntributi"n 7a% ma:imum in ,ear 0121 7#i4# redu4ed in 0122 b, .C@ t"
C..
=246 T$ta! E@'#ns#
)in per4enta(e*
Year 2008 2009 2010 2011
Emploees expense 18.06 17.69 20.69 20.71
irra*! 3uel il 5.02 7.42 0.89 .96+ 5.4 4.92 6.5 5.99
1
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Emp",ee% e:pen%e5 Air4ra!t !ue ? "i and NL<P e:pen%e% t#"%e e:pen%e% 7#i4# are
un4"ntr"abe. And t#e%e are ma="r e:pen%e% in 7#i4# Air4ra!t !ue ? "i e:pen%e% #ae
ma:imum 4"ntributi"n in t"ta e:pen%e. And 0nd ma="r 4"ntributi"n i% b, emp",ee%
e:pen%e t#en @rd ma="r 4"ntributi"n in t"ta e:pen%e i% b, NL<P.
=24; REVENUE AND E,1EN-E
)Rupee% in 'ii"n%*
Year 2008 2009 2010 2011
%o!al Expense 178542.6 188694.5 1620.5 179959.1
%o!al Revenue 152574.7 1479.8 10556.8 142551.1
2
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Air India i% #ain( m"re e:pen%e% t#an reenue eer, ,ear. T#e (rap# %#"7 t#e reenue
ine under t#e e:pen%e ine.
T#e di!!eren4e bet7een reenue and e:penditure 7a% m"re in ,ear 011 b, C@511.
)Rupee% in 'ii"n%*
In 0121 t#e di!!eren4e 7a% @25@. )Rupee% in 'ii"n%* and in 0122 t#e di!!eren4e 7a%
@5B1G )Rupee% in 'ii"n%*
In 0121 t#e "%% 7a% e%% t#an 011 ? 0122
0
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C3A1TER =
5INDING- AND CONCLU-ION-
C$n(!"si$n $% R#v#n"# and #@'#ndit"r# $% Air India
A!ter ("in( t#r"u(# t#e ari"u% rati"%5 I 7"ud i-e t" %tate t#atK
B
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/"mpan, i% in4urrin( e:penditure m"re t#an reenue eer, ,ear. In 011 t#e 4"mpan,
#a% in4urred ma:imum e:penditure.
/"mpan, pa%%en(er reenue i% %"und. Lar(e pr"p"rti"n "! reenue i% 4"me !r"m
pa%%en(er eer, ,ear. In 0122 t#e pa%%en(er reenue i% ma:imum.
5indins
C
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Findin( are ba%ed "n !inan4ia ana,%i% and di%4u%%i"n 7it# ment"r5 "b%erati"n
1$sitiv# 1$ints
♦ T#e reenue #a% in4rea%ed !r"m R%[email protected] mii"n t" R%.25B05CC2.2 mii"n.
♦ Pa%%en(er Reenue in4rea%ed !r"m R%.25C10.0 mii"n t" R%[email protected] mii"n.
♦ Intere%t /"era(e Rati" #a% impr"ed !r"m ;2.@ in 0121 t" ;2.2 in 0122
♦ /#arter Reenue #a% in4rea%ed !r"m R%.52GB.@ mii"n t" R%.5BB.0 mii"n in
0122
N#ativ# 1$ints
♦ T"ta e:pen%e% #a% in4rea%ed !r"m R%.2505@@1.C mii"n t" R%.255C.2 mii"n
♦ T#e !ue e:pen%e in4rea%ed b, R%.2151.@ mii"n i.e. 02.
♦ In4rea%e in emp",ee% and 4re7 a"7an4e% b, R%[email protected] mii"n i.e. 22.1@
♦ In4rea%e in +""-in( A(en4, /"mmi%%i"n b, R%[email protected] mii"n
♦ In4rea%e in depre4iati"n b, R%.@[email protected] mii"n
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C3A1TER
-UGGE-TION- AND RECOMMENDATIO
R#($#ndati$ns
♦ Rati"nai>ati"n "! 4ertain "%% ma-in( r"ute%.
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♦ Indu4ti"n "! brand ne7 !eet "n %eera d"me%ti4 and internati"na r"ute% t#ere b,
in4rea%in( pa%%en(er appea.
♦ In4rea%e t#e reenue b, intr"du4in( "7 !are 4ar(" in India.
♦
Air India %#"ud %e(re(ate a t#eir b"die% t" !"4u% t#ere reenue %eparate,♦ Sin4e t#ere i% %udden in4rea%e in t#e emp",ee 4"%t !r"m a%t t7" ,ear%. Air India
%#"ud ta-e %tep% t" 4"ntr"
♦ /"mpan, i% #ain( t#ere "7n Air4ra!t% but %ti t#e, are #irin( !r"m "ut%ide due
t" 7#i4# e:pen%e% #ae in4rea%ed and 4"mpan, "7n re%"ur4e% are bein( under
utii>ed.
♦ /"mpan, i% #ain( t#ere "7n 7"rd 4a%% enir"nment =et %#"p but %ti air4ra!t%
are bein( repaired "ut%ide. T#i% mean% d"ube e:pen%e be4au%e 4"mpan, i%in4urrin( 4"%t !"r =et %#"p maintain% and pa,in( %aarie% t" en(ineer% and "n "t#er
#and a%" in4urred repair e:pen%e !r"m "ut%ide.
♦ Air India %#"ud a"7 t" repair "t#er 4"mpan,3% air4ra!t% !"r "ptimum utii>ati"n
"! t#eir re%"ur4e% and it 7i a%" in4rea%e t#e reenue "! t#e 4"mpan,.
Liitati$ns $% th# -t"dy
♦
T#e data u%ed in t#e %tud, #a% been ta-en !r"m t#e annua rep"rt5 In4"meStatement and "t#er %"ur4e% "! Air India.
♦ S"me data are (r"uped and %ub;(r"uped.
♦ In!"rmati"n and %e4"ndar, data re$uired !"r t#e %tud, i% a%" imited.
♦ S"me "! t#e in!"rmati"n t#at 7a% e%%entia !"r t#i% %tud, #a% n"t been 4"ered due
t" t#eir 4"n!identia nature.
G
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C3A1TER >
Bi*!i$ra'hy and Ann#@"r#
Bi*!i$ra'hy
Pr"!it and L"%% A44"unt !"r t#e ,ear end 'ar4# @25011G