Lok Sabha Question No. 2434 (UNSTARRED), answered on 2017-03-16
Subject: Air India Restructuring Plan
Ministry: CIVIL AVIATION
Asked by: JOSE K. MANI, MEKAPATI RAJAMOHAN REDDY, SRINIVAS KESINENI, K. GOPAL, P. KUMAR, BALASUBRAMANIAM SENGUTTUVAN

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2434

## GOVERNMIENT OF INDIA MINISTRY OF CIVIL AVIATION UNSTARRED QUESTIQN NO. 2434 (To be answered 0n the Marek 20175

## AIR INDIA RESTRUCTURING PLAN

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SHRI JOSE K MANI SHRI KESINENI NANE DR K GOPAL SHRI P. KUMAR SHRI B SENGUTTTVAN

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Will the Minister of CIVIL AVIATION

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be pleased to state:-

- (2) whether the Government Propeses to "escue Ait India by roping in a as
2. (c) whether Air India has been in possession %f some properties which are lying vacant and unused for & time and if $0, tke detalis thereof; long
3. consortium of banks led by SBI strategic iuvescors by converting its the Government back in 2012, Air India is required to mcnetize its assets and joint venture; if 80,the details thereof;
4. three years;
5. (f) the details of internatiomal segments tiet provide highest revenue for Air India; and profiti
6. (e) whether Air India has any outstanding debrs; the details thereof for above period;
7. (g) whether Gevernment proposes to exp nd Air Indie operations by
8. expending its fleet of aircraft and if 80, thc details

## ANSWER

Minister of State in the Ministry of CIVIL AVIA TION

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(Shri Jayant Sinha)

(a): Air India's Turnaround Plan is underway and seeks to stremgthen all aspects of Operating and Financial performance: To that end; Air India has been in continuous discussions with its lenders to improve its balance sheet:

(b)&(e): As per TAP/FRP= Air India is required to generate an amount of FY 2012-13 Air India is in possession of some properties which &re lying vacant and unused for various reasons like location, capital expenditure; iand use, allotment terms & conditions etc: However, Air India has started monetization of the properties as far as possible: The list of vacant /unused properties is attached as Annexure -l

(d): The details of Net Profit/Loss and Operating Ratio of Air India during the

(e): Madam: The total/outstanding debts of Air India for FY 2013-14, FY 2014-15 and FY 2015-16 was Rs 48359 crores, Rs 49562 crores and Rs 50357 crores respectively: The Equity Support extended to Air India Ltd. by the government during last three years to revive the company's performance is attached as Annexure-2\_ Yes;

(g): With the augmentation @ its fleet AI will be able to expand its network However, with the repeal of Air Corporation Act in Mar 1994, the Indian domestic aviation was totally deregulated. Airlines are free to induct capacity with any aircraft type, free t0 select whatever markets and network wish to service and operate subject to compliance of Route Dispersal Guidelines (RDGs) issued by the Government: they

(): The highest International Segment revenue as per audited account for the FY 2015-16 is USA/Canada segment; The Revenue is Rs. 18159.9 million:

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| No.   |                                                                                                                           |
|-------|---------------------------------------------------------------------------------------------------------------------------|
| 2     | Residential Plot for Staff Qrs                                                                                            |
| 3     |                                                                                                                           |
| 4     | Resiclential Plot No.1 to 11,Moti Magri Scteme Udaipur                                                                    |
| 5_    | Land for Booking Office , Plot No Indiranagar, 550038. Bengaluru Stage,                                                   |
| 6     | Land for office premises at Survey nos-34/1,34/2,4671,46/3,46/4 in Udayagiri Devanahalli, Bengaluru 550038 village,       |
|       | Land for Housing Colony at Survey nos- 45-47,52,53-54,55, and 57 at Garigamuthanahalli Devananalli_Bengaluru 56, village, |
| 8_    |                                                                                                                           |
| 9     | Residential iand for Coloriy at Sy. No. 1279 to 1283,NCC Nagar, Chettivilakom Trivandrum, Kerala 695001 Housing village;  |
| 10.   |                                                                                                                           |
| 11_   |                                                                                                                           |
| 12.   | Vacant Residential Land for Stamf Qrs,Village BoriharCircle Azara,Kamrup District, Guwahati                               |
| 13    |                                                                                                                           |
| 14.   |                                                                                                                           |
| 15_   |                                                                                                                           |
| 16_   | Near_Indira Bridge_Hansol_Ahmedabad                                                                                       |
| 17_   |                                                                                                                           |
| i8_   | and 4/261887.63)at 10)                                                                                                    |
| 19    | Rajkot                                                                                                                    |
| 20    |                                                                                                                           |
| 21_   |                                                                                                                           |

## (Rs in Crores}

| Particulars                                 | Particulars                                 | Particulars                                 | Particulars                                 |
|---------------------------------------------|---------------------------------------------|---------------------------------------------|---------------------------------------------|
| 2013-14 2014-15 2015-16 (6279.60} (5859.91) | 2013-14 2014-15 2015-16 (6279.60} (5859.91) | 2013-14 2014-15 2015-16 (6279.60} (5859.91) | 2013-14 2014-15 2015-16 (6279.60} (5859.91) |
| Operating Ratio                             | 121.65                                      | 113.31                                      | 99.47                                       |

## Equity SUPPORT BV THE GOVERNMENT

IRs. In Crores:)

| Paticulars                | 2014-15   |         |         |
|---------------------------|-----------|---------|---------|
| Paticulars                | 2014-15   | 2015-16 | 2016-17 |
| Equity Support Sanctioned | 5780      | 3300    | 2574.65 |

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## ANNEXURE-2 to LSUQ 2434