Air India chairman and MD Arvind Jadhav has met with a consortium of Indian bankers to discuss a rejuvenation plan aimed at making the carrier “operationally profitable by 2015â€.
Air India said in a statement that bank executives were given a detailed presentation that lasted for nearly three hours.
The carrier said that AI’s board has approved the plan, which targets US$898 million in annual cost cuts.
Measures to be taken are understood to include new equity infusions, deferral of outstanding debt and a sell-off of subsidiary operations.
The turnaround plan would need approval from the Reserve Bank of India and the Indian government.
