PMO asks Air India to submit revival plan, financial report

Concerned over the overall health of Air India, the Prime Minister Office (PMO)'s has asked the national carrier to submit a detailed performance report on its losses, profitability and revival plan.

The PMO sent a questionnaire to Air India containing queries on, among other things, its mounting financial liability as well as its lack of profits.

The airline was also asked to furnish details of its turnaround plan. Terming the PMO communication a "routine exercise", a senior Air India official said they have already responded to the queries.

"The PMO had asked for certain details on our turnaround plan and financial restructuring plan as part of a routine exercise some time back. We have already responded to all the queries," the official said.

Air India is saddled with a debt burden of around Rs 40,000 crore (Rs 400 billion) while its combined losses currently stand at a whopping Rs 38,000 crore (Rs 380 billion).

It is surviving on a bailout package under a revival plan, which entails an equity infusion in the carrier to the tune of Rs 30,000 crore (Rs 300 billion) in a staggered manner till 2021-22.

Photograph: PTI