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Wednesday, 23 July 2014

Air India Generates a Surplus of 25.735 million US Dollar

Minister of State for Civil Aviation, Shri G.M. Siddeshwara informed that Air India generated a surplus of US $ 25.735 million after prepayment of the Aircraft loan when the national carrier sold five B777-200LR aircraft. Further, a saving of US $ 5 million per month towards loan and interest repayment was also generated, resulting in improved cash flow. However, based on the book value of the aircraft, book loss on sale of these 5 aircraft would be approximately Rs. 800 crores as the aircraft had depreciated in the books over a period of 20 years while the loans were amortized over a period of 12 years.


Air India has sold five B777-200LR for a consideration of US $ 336.5 million to Etihad Airways by following the due process and with the approval of the Competent Authority.
Read news in full 21/07/14 Business Standard

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