New Delhi: Cash-strapped Air India will seek an additional Rs 1,600 crore as equity in 2014-15, asking for Rs 7,100 crore instead of Rs 5,500 crore as per the original financial restructuring plan (FRP) approved by UPA.
The additional funds in the coming Budget are being sought on three grounds — shortfall of Rs 500 crore in the government's equity infusion last fiscal, interest cost incurred by the airline to raise this amount as loan from banks and finally the fluctuation in $-re exchange rate last year from the assumed value of Rs 40-45 when the FRP was approved.
"AI was to get Rs 6,000 crore this fiscal. The interim Budget presented by outgoing UPA-II made a provision for Rs 5,500 crore. So, the airline will be seeking the Rs 500 crore shortfall of last fiscal and Rs 1,100 crore for meeting interest cost (incurred for meeting this shortfall) and the wild exchange rate fluctuation," said an official.
rEAD NEWS IN FULL 09/06/14 Saurabh Sinha/Times of India
The additional funds in the coming Budget are being sought on three grounds — shortfall of Rs 500 crore in the government's equity infusion last fiscal, interest cost incurred by the airline to raise this amount as loan from banks and finally the fluctuation in $-re exchange rate last year from the assumed value of Rs 40-45 when the FRP was approved.
"AI was to get Rs 6,000 crore this fiscal. The interim Budget presented by outgoing UPA-II made a provision for Rs 5,500 crore. So, the airline will be seeking the Rs 500 crore shortfall of last fiscal and Rs 1,100 crore for meeting interest cost (incurred for meeting this shortfall) and the wild exchange rate fluctuation," said an official.
rEAD NEWS IN FULL 09/06/14 Saurabh Sinha/Times of India
No comments:
Post a Comment