Wednesday, May 23, 2012


Why shud air india be bailed out? The govt has come up with a plan to bail out air india by infusing 30000 crore over the next 5-6 years. I would like to ask here that what purpose will be solved by bailing out air india? and that too at the cost of whopping 30000 crores. Our country is a developing country and we need to spend the hard earned money of taxpayers with utmost caution. Air India is not serving the poor, It never will. It will not give free services to poor to lift them up from their vilages or slums in case of medical/ any other emergency and drop them to AIIMS delhi. It wil serve the elite only. But who knows whether the elite itself wants to be served by Air India. As far as i think It is option of last resort for most of us. the reality is that the Netas want Air India to serve them indefinetly and get free upgrades and all the benefits for free; and where they get their boarding passes without standing in the queue. With the little business knowledge I have i can say that Air India; even if balied out; will never be a huge profit making entity. it might not even be able to pay its interest on its loan. SO whether the govt bail it out again and again. whats the logic in spending 30000 crores and then earning some petty 200 crores profit thereafter? If you keep these 30000 crores aside and If economy grows at 9% then this 30000 crore will become 60k crores in 8 years. If you invest this in Air INdia it will become Sifar. But the netas want their business class travel intact. the merger of AIR India And Indian Airlines was one of the most illogical business decisions I've seen. Then again the subsequent purchase of 38 Boeing 747s without any business plan. What are you trying to do with all this? Look at the staff of air India; devoid of professionalism and just paying obeisance to netas and bureaucrats and satisfying their inflated egos. Again, the pride of operating a national service is now lost. There is no dearth of airlines which can cater to the needs of those handful of people who are blessed enuf to afford airtravel. In fact the undue preference given to Air India by govt and dfferent agencies distorts the level playing field.

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