Air India or Jet Airways, who will join Star Alliance?

[sn26567]

In an arm-twisting exercise in order to have Air India join the Star Alliance, India has threatened to remove the traffic rights of SWISS and Austrian Airlines, claiming that they are effectively controlled by Lufthansa and thus not entitled to their own bilateral agreement.

The European airlines have relied that Austrian and SWISS are distinct airlines operating under their own AOC.

The soap will never end...

[Treeper]

The soap will never end...

the day 9W or AI joins another alliance, or, more possibly, one or both of them go bankrupt, it will

[wernerrav4]

In an arm-twisting exercise in order to have Air India join the Star Alliance, India has threatened to remove the traffic rights of SWISS and Austrian Airlines, claiming that they are effectively controlled by Lufthansa and thus not entitled to their own bilateral agreement.

The European airlines have relied that Austrian and SWISS are distinct airlines operating under their own AOC.

The soap will never end...

Is AI technically ready to join Star? Didn't they have a lot of IT problems?

[quixoticguide]

Is AI technically ready to join Star? Didn't they have a lot of IT problems?

no only IT problems.

[RoMax]

All Star members decided in Vienna today to resume the integration proces of Air India. Star Alliance says they now see a company which succesfully completed the merger with Indian Airlines (something that took VERY long) and is reforming its fleet, which also forms a basis for improved service. Air India calls this a historic day for them.

http://economictimes.indiatimes.com/new ... 302876.cms

[CRJ 900]

Air India is already on the list of airline companies to earn status and award miles on the M&M website.
Rgds
CRJ 900

[convair]

This may not be such good news for SN. The arrival of Air India in Star will probably somewhat ease the relations between India and LH, possibly leading to additional flight rights between Germany and India for both Air India and LH, making the SN option less necessary for LH.

What do our "insiders" think?

[RoMax]

This may not be such good news for SN. The arrival of Air India in Star will probably somewhat ease the relations between India and LH, possibly leading to additional flight rights between Germany and India for both Air India and LH, making the SN option less necessary for LH.

What do our "insiders" think?

LH doesn't want (or didn't want) to use SN for India. The only reason for LH to invest in SN is greater dominance in BRU being situated between three European mega-hubs of competing airlines/alliances AND even more so for the African network.
If LH really couldn't expand anymore in India, they may have stepped to SN eventually, but still... Also remember that India threatened to reduce the traffic rights of the LH Group (basicly Germany, Switserland, Austria) as LX, OS and LH operate into India as independent airlines while they form one group. LH is smart enough to not make the relation with India even worse, they always continued to push for Air India. Not because they think AI is such a great company, but because they need it on a crucial market of their Asian network and SN wouldn't make up any of the lost advantages of having good relations with India/Air India.

[convair]

I thought LH had opposed AI joining Star, rather favouring Jet Airways.

[RoMax]

I thought LH had opposed AI joining Star, rather favouring Jet Airways.

Star as a whole decided to halt further entry of AI because they missed multiple deadlines and goals. LH knows they can only have a good relation with India by cooperating with Air India, as such they also never stopped working with AI. Though they did prefer Jet at a certain time, but at the same time always realised something would have to be done with AI otherwise they risk too much.

[sn26567]

Air India To Join Star Alliance By June

National carrier Air India is likely to join the 28-member Star Alliance by June this year.

“Without giving a specific date, one can say that we will complete all the ground work and formalities of Air India’s entry into the Star Alliance club by this summer. After that, they will be ready to join straightaway,” says Star Alliance CEO Mark F. Schwab.

Integration into the global alliance, a first for an Indian airline, will help debt-ridden Air India boost its revenue by increasing global connectivity through partner airlines.

It will also be able to increase its share of business travellers by gaining access to over 1,000 Star Alliance lounges, and lower fuel costs by making bulk purchases through Star Alliance tie-ups. The Star Alliance has a combined fleet strength of over 4,700 aircraft.

Another Member?

Another Indian airline also could become a member of the Star Alliance soon, Schwab hints, though at the moment the alliance is not having any active discussions in this regard.

Asked whether the yet-to-be launched Tata-Singapore Airlines (Tata-SIA Airlines) joint venture could be the obvious choice for being the second Indian carrier, he quips, “we will have to see who adds value to the Alliance.”

In 2007, Air India was accepted as a future member of Star Alliance. However, the integration process was halted in July 2011 to enable it to complete the merger with erstwhile Indian Airlines.

The national carrier was again invited to join the global alliance in December last year, following a meeting of the chief executives of the airlines that are members of Star Alliance in Vienna.

“The Indian market is evolving, and quickly. We have been carefully watching the progress and transformation of Air India. The airline has gone through a difficult merger and has now started executing a fleet renewal plan. Our job in Star Alliance is to create connectivity,” Schwab says.

As part of the integration, Air India has been providing training to front-line staff to meet the requirements of the Star Alliance on various fronts. Air India will also need to have its fleet painted with Star Alliance livery and logo.

IT Upgrades

Among other changes required for the integration—which has been in the works for the past several years—Air India has upgraded its IT platform to SITA’s passenger service system in 2011.

“We are satisfied with the changes made by Air India in the last year. Star Alliance has also changed some membership requirements, and all our 28 members have voted unanimously in favor of Air India,” Schwab says.

Rohit Nandan, chairman and managing Director of Air India, says: “A lot of the work that was done for joining Star Alliance, like upgrading the IT systems, needed to be done anyway to become a modern airline. As for our customer experience, I believe there is always room for improvement.”

“Air India joining the Alliance will complete about 30 months of hard work. Joining the alliance will enhance our brand value and provide more connectivity to our passengers,” Nandan says.

Air India will offer 63 domestic and global destinations to the alliance. At present, 13 members of the Star Alliance operate from 10 Indian cities.

Source: Aviation Daily

[sn26567]

I don't know how far the integration of Air India into the Star Alliance has progressed, but Air India is definitely a strange company: it is cannibalising a brand new Boeing 777-200LR, currently stored at Mumbai airport, to service the remaining five 777-200LR aircraft in its fleet, three of which are due to be delivered to Etihad Airways as part of a five aircraft sale deal.

Unlike Kingfisher (which also cannibalised some planes in its last days of existence), Air India has not even bothered to protect vital components like the cockpit and its wind-shields with silver mylar film. It is indeed a sorry commentary on how the airline is ravaging one of the newest aircraft in its fleet.

Pictures of this monstrosity can be seen on Bangalore Aviation: http://www.bangaloreaviation.com/2014/0 ... rport.html

[RoMax]

These things are very difficult to sell as the 200LR is a real niche aircraft so Air India probably thought there wouldn't be any hope in selling it anymore and it would be financially better to cannibalise the aircraft instead of buying new parts (especially if the aircraft was indeed damaged after a landing). Though very sad to see this happening to such a new aircraft...

Talking about the -200LR, Iraqi Airways returned its only 777 to Boeing. This aircraft was first intended to go to Air Austral, but eventually ended up in Iraq. I think this will be another difficult relative new widebody to get back on the market...

[sn26567]

Air India Likely to Join Star Alliance by June

National carrier Air India has been invited to join Star Alliance, the leading global conglomeration of 28 top international carriers. Air India is likely to join the alliance by June this year.

The invitation came as a result of lifting an earlier suspension of the membership process on Air India’s admission to the alliance.

In one of the major meetings that took place a few months ago in Vienna, the Star Alliance had unanimously decided to lift the suspension and revive the invitation.

In 2007, Air India was considered a future member of the Alliance but the integration process was halted in July 2011 as the merger with erstwhile Indian Airlines had not been completed.

Full story: http://www.newindianexpress.com/busines ... z2QSfl_uSp

[sn26567]

Air India set to enter Star Alliance airlines network

Air India would have one of its Boeing 787 Dreamliners and an Airbus A-320, signifying its international and domestic operations, painted with the Star Alliance logo and livery for the launch

After a seven-year wait, Air India would finally enter the largest global airlines network Star Alliance in July after meeting all minimum conditions, including steps to enhance customer satisfaction. This was announced by Star Alliance Services GmbH CEO Mark Schwab in the presence of Air India CMD Rohit Nandan, who told reporters that almost all the minimum requirements for joining have been met and the remaining ones would be completed by the second half of May.

The Chief Executives Board of the alliance would meet in London on June 22 or 23 for "an endorsement vote to bring Air India into the fold," Schwab said, adding a formal induction ceremony would be held in India sometime in July. Air India would have one of its Boeing 787 Dreamliners and an Airbus A-320, signifying its international and domestic operations, painted with the Star Alliance logo and livery for the launch, Nandan said. The move would bring "immense benefits to Indian fliers from day one" as they would be able to earn-and-burn miles, gain access to over 1,000 lounges at as many airports and enjoy seamless connectivity to major cities across the globe, Schwab said.

Read more at: http://www.moneycontrol.com/news/busine ... ef_article

[sn26567]

Jet Airways will never join the Star Alliance.

In a (like always) interesting analysis, CAPA shows that Lufthansa needs a reinvigorated Air India to counter the Gulf States airlines to Asian destinations. Jet Airways on the other hand has better links with the AirFrance/KLM group and Etihad which now owns 24% of it capital.

CAPA also states that AirFrance/KLM will not let Jet establish a hub in Paris or Amsterdam that would compete with their own North American network.

http://centreforaviation.com/analysis/a ... ric-166196

[Boeing767copilot]

Air India joins Star Alliance group

http://in.reuters.com/article/2014/06/2 ... MY20140624

[sn26567]

Air India has announced that all its international routes to Europe, Asia and the Pacific would be operated by its Boeing 787-8 Dreamliners after integration into the Star Alliance.

[globetrotter]

Logo jet https://fbcdn-sphotos-b-a.akamaihd.net/ ... 5493_n.jpg

[sn26567]

Is that the airline that was allowed to join Star Alliance?

Air India's $4.5 Billion Bailout Fails to Avert Grounded 787s

Air India Ltd., the state-run carrier that has survived on a $4.5 billion taxpayer-funded bailout, is struggling to pay for spare parts forcing it to ground two Boeing Co. Dreamliners.

The aircraft were not operational for about 10 months each as worldwide demand for parts outpaced supply from Boeing, and Air India failed to procure components on credit due to a “financial crunch”. While the carrier kept paying rentals of $1 million every month for each of the two planes, it also lost money as they were out of operation.

The grounded planes underline the woes of the carrier that has been unprofitable since its 2007 merger with state-owned domestic operator Indian Airlines Ltd. Its share in the local market has shrunk to 16 percent from 35 percent a decade back, placing it third in national ranking, even as competition has intensified with foreign airlines buying stake in local carriers and new ventures starting operations.

Operators of the Dreamliner across the world are facing problems due to “high rate of failures of components,” said Sharma. And Boeing “could not support the demand of failed units on various 787 aircraft since demand was more than supply.”

One of the aircraft was grounded from April 2014 to February this year, while another has not been operational since January.

Full article from Bloomberg: http://www.bloomberg.com/news/articles/ ... unded-787s