Erstwhile Indian Airlines to lose remaining legacy to Air India

January 28th, 2011 - 12:28 am ICT by IANS  

KPMG New Delhi, Jan 27 (IANS) Soon, passengers on flag carrier Air India’s network will no longer have to travel on separate tickets for domestic and international flights, giving the code “IC” of erstwhile Indian Airlines a formal burial.The combined entity, following the successful trials of the new single ticket reservation system, is adopting a single code “AI”, a statement by the carrier said Thursday.

The move follows the 2007 merger of Indian Airlines into Air India along their low-cost subsidiaries like Air India Express and Alliance Air, with the corporate entity formally called the National Aviation Company of India Ltd.

“The shift would hasten Air India’s entry into Star Alliance, the world’s largest integrated air transport network,” said Arvind Jadhav, chairman and managing director of Air India.

“This would ensure a number of additional facilities which would make the passengers’ journey enjoyable and hassle-free,” he said while indicating that the single code will be formally launched some time around mid-February.

According to analysts, the move would help the cash-strapped national carrier which suffered losses to the tune of Rs.5,551 crore in 2009-10, in addition to the loss of Rs.7,189 crore in the previous year, to reduce some of its administrative costs.

“The airlines would benefit by reduced administrative costs which were arising out of billing, ticketing and other services,” Amber Dubey, director, aerospace and defence, KPMG, told IANS.

He said that a fast entry into the Star Alliance would also help the airline and benefit its passengers.

“This step would ensure a faster entry of the carrier into the Star Alliance, this was one of the prerequisite to joining the alliance. AI’s passengers will benefit out of this move and the carriers entry into the alliance,” Dubey said.

The migration to the single code would provide passengers on AI flights with many services like single service provider for billing and ticketing, automated baggage reconciliation; enabling kiosk and mobile check-ins.

–Indo-Asin News Service
ap-rv/vd/vt

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