Wednesday, July 11, 2007

No-frills Airlines in India See Savings by Outsourcing Maintenance

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No-frills Airlines in India See 25% Savings by Outsourcing Maintenance

Sudhir Chowdhary - New Delhi @ Express Travel World

Low-cost carriers in the country like Kingfisher Airlines and SpiceJet are increasingly outsourcing their aircraft maintenance and overhauling work to keep operating expenses down. They are looking to save almost 20-25 per cent in costs by contracting such work to players such as Lufthansa, KLM, SAS and Singapore Airlines.

Public sector carriers Indian and Air-India, who have rich expertise in aircraft maintenance with a combined manpower exceeding 9,000, are also eyeing a major pie of the contract maintenance and overhauling business. Indian recently bagged a Rs 120 crore contract from Kingfisher Airlines for maintenance work and for flying on non-viable routes.

Full news report from here

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