AI, Kingfisher crisis benefited Jet Airways
The crisis in Air India and Kingfisher Airlines has benefited Jet Airways the most and the private carrier is expected to place an order of up to 100 narrow-body aircraft during this financial year, a global aviation strategy firm has projected.Updated: May 24, 2012 16:58 IST
The crisis in Air India and Kingfisher Airlines has benefited Jet Airways the most and the private carrier is expected to place an order of up to 100 narrow-body aircraft during this financial year, a global aviation strategy firm has projected.
The Centre for Asia-Pacific Aviation (CAPA) also expects India's airlines to post a combined loss of a whopping USD 1.4 billion, with Air India likely to be the "worst performer" to report a loss of almost the entire amount of USD 1.3 billion.
In its latest analysis titled 'India Outlook 2012-13', it said that while Kingfisher would post an estimated loss of USD 220-260 million, the remaining four private carriers -- Jet Airways, IndiGo, SpiceJet and GoAir combined, could post a modest profit of approximately USD 200 million.
It said although the troubles facing Air India and Kingfisher "have been positive for all of the other carriers, Jet Airways has been, and will continue to be, the largest beneficiary."
The "dramatic contraction" of Kingfisher from 66 to 16 operational aircraft, half of which are regional turboprop ATRs, and the pilots' strike hitting Air India's long-haul global operations, has left the domestic and international business market open for Jet Airways.
The CAPA report also said that Jet Airways was expected to "place a massive fleet order for up to 100 narrow-body aircraft in 2012/13".
"Despite the carrier's own weakness, it may decide to take advantage of the situation to expand both domestically and internationally as it had done in 1996 when a number of its competitors had closed down," it projected.
First Published: May 24, 2012 16:52 IST