After four years in the red, Jet Airways finally turns around. But sustaining this performance will be a bigger challenge.
THE TURNAROUND STORY
Jet set up about 20 teams to cut costs in several areas, including engineering, fuel and maintenance
Codeshare agreements with 23 airlines and partnership with Etihad Airways helped it sign lucrative ground handling, fuel and catering contracts
More sweating of aircraft improved the number of passengers flown
Fall in aviation turbine fuel prices reduced costs
It also gained from the overall rise in passenger traffic in the Indian aviation market
Just five days before Jet Airways was to shift its European hub from Brussels to Amsterdam, terrorists carried out two bomb blasts at Brussels airport, leaving thousands of passengers stranded. Jet’s four Airbus A330s and more than 600 passengers were also stuck. But as luck would have it, Jet was able to quickly move its passengers and aircraft to Amsterdam due to the recent arrangement with the Dutch government. The shifting of the European hub from Brussels to Amsterdam was aimed at covering more cities in Europe and North America with the help of codeshare agreements with KLM Royal Dutch Airlines and Delta Air Lines, the partners of Etihad Airlines, which owns a 24 per cent stake in Jet. Codeshare is an arrangement under which two or more airlines share a flight.
This story is from the June 19, 2016 edition of Business Today.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the June 19, 2016 edition of Business Today.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
Pension Scheme - Safety Net
The move to introduce the UPS has evoked mixed reactions. Analysts believe its funding will have limited impact on the fiscal math
The Reit Choice?
Real Estate Investment Trusts (Reits) Are Gaining Traction As Interest Rates Stabilise. But Returns Could Be Affected By Adverse Economic Conditions And Market Volatility
CORPORATE - Calling to Account
The sudden exit of Byju's auditor BDO marks the latest in a long series of setbacks for the edtech firm
EMPLOYMENT: Skills Push
The skill development ministry plans to partner with the UGC to improve the employability of undergraduates
Building on a Vision
L&T'S CHAIRMAN EMERITUS A. M. NAIK HAS BUILT A MAMMOTH ENTERPRISE THAT IS BUILDING A NEW INDIA, FROM ITS METRO RAIL SYSTEMS TO THE RAM TEMPLE
"KYS more important than KYC"
Vijay Kedia is a renowned equity investor; the value of his listed portfolio stands at around ₹1,750 crore
ROXX STAR
THE THAR ROXX COMBINES LUXURY WITH PERFORMANCE TO MAKE A STRONG STATEMENT IN THE MID-SIZE SUV SEGMENT
HIT THE GROUND RUNNING
Smartwatches have become indispensable tools for runners, offering real-time insights into pace, distance, heart rate, and more. Here are a few you can consider
TURNING THE TABLES
INDIA'S FURNITURE MARKET IS POISED FOR A GLOBAL TAKE-OFF. ALREADY, A HOST OF GLOBAL BRANDS HAVE MADE THE COUNTRY THEIR HOME, BUT INDIAN COMPANIES ARE NOT TOO FAR BEHIND
THE EVOLUTION OF ATHERA
IDENTIFYING OPPORTUNITIES IN ADVANCE HAS STOOD THIS BENGALURU-BASED VC FUND IN GOOD STEAD. NOW, WITH A HEIGHTENED FOCUS ON TECHNOLOGY, IT WANTS TO SUSTAIN THE SUCCESS