Jet Airways

Jet Airways reports loss for Q3 - attributes high operational costs , low load

Airline Industry News - Jet Airways

Sunday, 15 February 2009 08:11

 Jet Airways reports  loss in quarter 3 (Rs.2140 million) compared to Rs.910 million in the same period last year.

Why ? 
High fuel and operational costs and low load factor. An increase in fuel-surcharge has helped only a little to grow its income. The loss also include last quarter forex losses of Rs.490 million.


What they plan to do ?

Jet is implementing  now tough cost-cutting measures, which include rationalization of manpower and reduction of pay-cuts across ranks.  They also renegotiated with goods and services.

The alliance with Kingfisher is also expected to produce results. Fuel costs are expected to come down after the recent increase
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Jet Airways mulls new cargo line

Airline Industry News - Jet Airways

Sunday, 15 February 2009 08:09

 Jet Airways plans to invest $ 8-10 million for its new cargo line division. It also scouts for a partner. Likely routes for operation will be Mumbai-Hongkong / Delhi-Hongkong. Currently, Jet Airways uses extensively, passenger aircraft belly for its cargo business. Jet lifts around 150 tonnes a day, which also means, adding a healthy 8% to its bottom line. Jet is awaiting for its rights issue to finance. 

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