Air India’s equity infusion under government consideration
India’s Civil Aviation Minister Praful Patel stated Air India’s equity infusion of INR12 billion (USD240 million) could be cleared this week but conceded the national carrier has serious management issues and needs a serious shake-up (NDTV/Domain-B/Xinhua, 15-Dec-2010). Prime Minister Dr Manmohan Singh stated the government is actively considering helping out the troubled national carrier, stating “enterprises which are facing difficulties … are receiving the due attention of the government” (Asian Age/Economic Times, 15-Dec-2010).
Civil Aviation Ministry: “The real issue for Air India is, and which I feel sometimes that pains, is that we have not been able to, I mean we as I say the entire system of Air India the people of Air India have not been able to change according to the times and that is what sometimes you know. It's sometimes unfortunate that left hand doesn't know what the right hand is doing,” Praful Patel, Civil Aviation Ministry. Source: Economic Times, 15-Dec-2010.