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Originally Posted by PiperAtGatesofDawn
(Post 33006877)
Different problems perhaps - but the same in the sense that both are (almost) impossible to revive. 9W has a mountain of debt and no planes to fly. So it would take an insane amount of money and effort to get them flying again. In both cases you’re better of starting of your own airlines than dealing with 9W or AI’s baggage.
at the end of the day i agree that it would be better to start another airline....tata already have their hands in a bunch of airline ventures so its not like they are venturing into new territory....revival of the ai brand that is run well by the tata group would be a great success story....i wouldn't be surprised if there are behind the scenes dealings going on between the government & tata to make sure this happens.... |
The date of 30th (as per some media speculation) has come and gone without any announcement of the bidders. Now the FM also mentioned in the Budget speech yesterday that the sale will be completed only in FY 2021-22 so further delays expected?
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The budget provided funds to keep AI debt servicing up: https://economictimes.indiatimes.com...w/80634005.cms
The FM has announced that the qulified bidders will be known in the coming weeks and that the divestment will take place in the next fiscal year: https://economictimes.indiatimes.com...w/80631020.cms The announcement of who qualified to bid is not really a big step, I doubt they will send anyone home right now. The qualified bidders get to see AI's books... I suppose after the bidders have seen the books it is the task of the GoI to do everything possible for them to submit a bid and not run away as fast as possible :D |
Originally Posted by oliver2002
(Post 33010908)
I suppose after the bidders have seen the books it is the task of the GoI to do everything possible for them to submit a bid and not run away as fast as possible :D
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Some interesting tidbits in this article: https://economictimes.indiatimes.com...w/80670743.cms
The govt owes AI 500 crore... :o |
^^
Still a fraction of the total 38,000 odd crores (and that is after removing part of the debt to the SPV). If Mr Tata bids for this he clearly values sentiment in his old age...of course it won't be surprising - he did this earlier in another sector by keeping the Nano alive long after it had ceased to be viable. |
Not much of value in AI except a battered brand, surly crew, rundown aircraft and perhaps some valuable parking rights.
Their policies and promotions oscillate from the ridiculous to the terrible. For the past few months they have been aggressively pushing a promotion that gives K class flyers a free date change (no change fees) and an extra 5 kgs of allowance. The original ticket does indeed have the higher amount but when I went to the reservation office to use the date change facility the new ticket had the old (lesser) allowance. On my asking why the staff spat back "So you want a free date change *and* extra allowance? Sorry sir, you are already getting benefit [sic]". I was speechless. There's nothing in the terms of offer to indicate using the free date change "cancels" the extra allowance. Doubtless whoever acquires AI will have to invest plenty in retraining staff. |
Originally Posted by Kumar2013
(Post 33020584)
Doubtless whoever acquires AI will have to invest plenty in retraining staff.
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Originally Posted by Keyser
(Post 33021219)
they cannot be re-trained....whoever takes over ai has to make sure they do not take over the staff....
Meanwhile does anyone have any idea why all this secrecy with the bidding? The bidders' names are practically in the public domain anyway. |
Tata managed to turn the former PSU VSNL into a decent international company, but VSNL was already a decent PSU in spite of near monopoly on data services in India.
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More bad news for AI... https://m.economictimes.com/industry...w/80741465.cms
Having crazy flying rights during the pandemic perhaps didn't help as much as they would have liked. |
The field of bidders were narrowed down to Tata and the SG founder: https://economictimes.indiatimes.com...w/81406157.cms
Unsurprisngly, the management buy out was rejected. It seems they only had 200 employees on board. https://cimg8.ibsrv.net/gimg/www.fly...807b85d916.jpg |
Originally Posted by oliver2002
(Post 33087444)
Unsurprisngly, the management buy out was rejected. It seems they only had 200 employees on board.
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Decision by June: https://economictimes.indiatimes.com...w/81703737.cms
Some of the statements by Puri-ji are hillarious! He added that the earlier attempts to privatise the national carrier were half hearted and the airline will find takers this time, as it is a first rate asset. The new owners of the airline will be able to run the airlines with a management that knows how to run an airline and by not repeating the mistakes made in the past |
Now the serious parties were given access to the data to do due dilligence. Financial bids are due in June, decision by September, so that the suitcases can be used in time for Diwali ;)
https://economictimes.indiatimes.com...w/82049463.cms |
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