This is the second project in the country in which a metro rail project is being undertaken through a PPP model after the 71-kilometre Hyderabad metro project was won by Maytas Infrastructure. According to industry sources, infrastructure major Larsen & Toubro had also initially shown interest for the project, but backed out finally.
This is the first time Hill & Knowlton, part of the WPP group that has several joint ventures in advertising, is venturing into India in this area. The Hong Kong-based company has presence in more than 41 countries across the globe. The PR business has been attracting the attention of international agencies and many have already set up JVs or signed partnerships with Indian players.
The 750-strong Jet Airways pilots, represented by the Society for Welfare of Indian Pilots, plan to ask the management to do away with around 120 of the 280-odd expatriate pilots on contract with the airline before accepting a salary cut.
Currently, airlines, including Jet Airways and Kingfisher Airlines, undertake their own ground-handling. But under the new policy, they will not be permitted to do so. Carriers have said that at least 8,000 employees working in these companies will need to be given the pink slip if the new policy is implemented. They have also argued that outsourcing will dramatically increase their overall costs, especially at a time when airlines are reeling under losses.
Cash-strapped Indian carriers are finally finding money to finance expansion plans or merely fund operations. State-owned Air India is set to receive a $1 billion (Rs 49,000 crore) loan and Naresh Goyal-promoted Jet Airways is close to striking a deal for a Rs 500-crore loan from Indian Overseas Bank.
Days after NTT DoCoMo of Japan announced that it will buy 26 per cent in Tata Teleservices for $2.7 billion, NRI businessman C Sivasankaran has decided to put on the block his eight per cent stake in the company.
Slowdown-hit airlines stop paying commission.
After 11 years of hanging like a sword on PepsiCo India Holdings Ltd, the government's condition that the company must dilute its equity in fully-owned downstream ventures is close to being waived.
The Foreign Investment Promotion Board (FIPB) has rejected a proposal by Tata Investment Corporation (TIC) to issue zero coupon convertible bonds (ZCCBs) with detachable warrants to its shareholders.
The government and Reserve Bank of India are working on measures that include relaxing norms for Non-Performing Assets (sticky loans) and prudential lending to kick-start key infrastructure projects.
Airline companies under the Federation of Indian Airlines plan to make a presentation to the civil aviation ministry saying they will be forced to axe 8,000 employees if the government implements the new ground handling policy from January 1, 2009. About 29 per cent of the 28,000-odd employees working in the private carriers are involved in ground handling.
The airline has also finalised its plans to lease out five of its Boeing 777-300 ER aircraft to a Turkish carrier, sources add. The airline has been able to negotiate a premium for the deal in a market where lease premiums have dropped.Domestic carriers are facing turbulent times because of the high crude prices and variable taxation on the air turbine fuel. The problem is now compounded because of a slump in the economy now.
The government is discussing a number of policy measures to insulate India from the impact of the global financial crisis including further banking reform, industrial de-control, auctioning all loss-making public sector units, foreign investment in retail, amending labour laws and notifying important pending legislation like the Delhi Rent Control Act.
Maverick entrepreneur Tony Fernandes, who built low-cost carrier AirAsia to be a formidable player in South-East Asia, is prepared for a price battle in the Indian skies.
Though private airports did not spell out the exact sum owed by Kingfisher, in strict confidentiality one of the private airport operators confirmed that the airline was the biggest defaulter with them. Airport charges include landing, parking, terminal and route navigation levy. Though AAI has enforceable bank guarantees, private airport operators do not have this facility.
The country's leading private airlines have sought a Rs 4,700-crore (Rs 47 billion) bailout package from the government to counter slowing passenger traffic, rising costs and an industry-wide liquidity crunch.
The airline also has plans to renegotiate its flying rights with the Indian government as it mulls deployment of the Airbus A380 - a double-deck, wide-body, four-engine plane - in the Indian skies. Air France might look at a 2010 entry date for India for the superjumbo. It has placed an order for 12 of these aircraft with first deliveries planned next year.
Singur divided between those who want Tata back and those who just want their land.
This is the first time an airline has made such a request to the ministry after the Tata-Singapore Airlines deal fell through in 2001 (Singapore Airlines was to have a 49 per cent share in the joint venture). The Indian government does not allow direct or indirect investments in domestic airlines, a move that was meant to protect domestic carriers. Mallya's request marks a sharp change from domestic players' stand.
