I wonder which one it would be....I would think that it would be AI (if the government doesn't bail it out)...since I remember the Indian Aviation Minister saying that AI has to perform or perish. Now being a "Govt. of India" enterprise it would be a big news they did perform although the government did buy them lots of new Boeings....but it seems it won't help. Lack of will and a messy merger has bogged them down....
Jet and KF will survive as they are private sector players and would eat up some other airline as they are owned by deep-pocketed people...
Any thoughts ? The article also mentions that IATA has predicted lots of other international airlines do also perish .... Any guesses ?
Sevenforeseven From France, joined Nov 2005, 164 posts, RR: 0
Reply 1, posted (6 years 8 months 1 week 1 day 8 hours ago) and read 3458 times:
Hope its Air India. Run by useless people just too bothered about filling thier pockets and nothing else. I just hope Kingfisher flourishes, as its a well run airline with well mannered empoyees who care about the airline. I will ALWAYS use Kingfisher.
Nimish From India, joined Feb 2005, 3341 posts, RR: 11
Reply 3, posted (6 years 8 months 1 week 1 day 7 hours ago) and read 3350 times:
Of all the airlines mentioned, AI will be the last one to collapse, due to the "social obligation" that the Govt of India feels to keep this carrier afloat. AI has already asked for a massive funds infusion, which is something that the Govt will almost certainly dole out.
This is hopefully just to provide ammunition to the "civil aviation" minister, so he can force the "finance" minister to push down the taxes on fuel. Plus the "civil aviation" minister can arm twist different state govts to bring down their tax levels as well. Both of these have been things that have been tried for a while, but have not succeeded (yet). Right now the costs of operating an airline in India are far higher (due to obscene taxation) than most other parts of the world.
SQ_EK_freak From United Kingdom, joined Dec 2000, 1663 posts, RR: 20
Reply 9, posted (6 years 8 months 5 days 20 hours ago) and read 2310 times:
Seeing as though GoAir isn't doing so well as of now, wow do Spicejet and IndiGo place on this new slew of LCCs entering the Indian market? Might there be more airline consolidations in the near future, a la Jet and Sahara into JetLite and Kingfisher and Deccan? I'd imagine market saturation is imminent if not already present.
MillwallSean From Singapore, joined Apr 2008, 1366 posts, RR: 6
Reply 10, posted (6 years 8 months 5 days 18 hours ago) and read 2218 times:
My guess for the airline with the bleakest future in India is Spicejet.
This is based upon Spicejet sending out offers asking to be bought out, for this they appointed Rothschild.
They are sending this to everyone and according to financial gossip Kingfisher and Jet airways are most interested. Kingfisher has a different fleet and would in the case of a take over have to fase out the Boeings that Spicejet fleet consists of. Normally this is seen as a problem, but with Kingfisher already having plenty of surplus orders from Airbus, after their Deccan purchase, this can be achieved in the coming two years so it wont pose such a problem as one would assume.
Bhupendra Kansagra one of the most prominent shareholders of Spicejet has said that he is ready to sell his shares but the other three major owners have not taken up the offer to buy.
Spicejet itself is not doing good, they have constantly produced losses and have found it difficult to compete.
I dont see Spicejet in its present form being around this time 2009.
If the airline will be bought out or if it will be involved as a minor partner in a merger is a different question though.
Jet airways is loosing money, loosing alot more than what their predictions were. Their credit-rating has taken a hit. This leads to higher costs, higher interest rates and a worsening liquidity situation for them.
I dont see them going out of business but they are loosing money just like all the other players in the Indian market at the moment.
Kingfisher has deferred orders but after their acquisition of Deccan they had too many planes on order. They are loosing money but have the financial stability and the brand to keep them flying. Their owner isnt short of cash either so I dont see them going out of business.
Air India will be the last one standing in India. no way that the government will allow them to go bankrupt.
GoJet, Indigo and Paramount is not airlines that I have dealt with so I do not know anything about their situation or owners. In India its important to see who is behind what and not just what the financial situation is.