And the course of the discussions for the afternoon changed. Low penetration is a major issue with the airlines. Domestic ticketing says average middle class Indian buys a ticket once in five years and the reason is he has no airport close to his city of stay. Affordable fares and regional connectivity is a problem is this. 350 airstrips are lying unused built from World war II onwards. These are dormant assets and we can revive them as no frills airport and propose to give huge concessions to them. They will have no levying of excise duty, VAT, service tax, landing and parking charges. The aim is to create a network by connecting these unserved airports to served airports.
Responding to a question on partisan behaviour towards Kingfisher Airlines keeping in mind that debt levels in Air India are very high , approximately three to four times than Kingfisher, Raju said, “ Air India definitely has debt and no one is hiding it but it is not a defaulter. Air India has informed that this is the first year they will not make an operational loss. The will make operational profit and this is music to my years. It is making net losses but is making operational profits. They were expected to turn around by 2020 but with this development they will turn around a year and a half earlier. This is great news. We infuse 2500 crore on average. Passenger yield and load factor is getting better. Assumptions related to oil prices might be an impediment to this pace of profit making.”

Ranking Member Shaheen, Senator Curtis Lead Bipartisan Senate Delegation to Taiwan, South Korea and Japan












