Air India has been “consistently improving” its overall performance and its operating profit doubled to £29.80 million in the last financial year. However, the net loss of the state-owned airline widened to £576.51 million in 2016-17. India's Minister of State for Civil Aviation, Jayant Sinha said, “Air India has been consistently improving its overall financial and operational performance since the implementation of the turnaround plan by the government.”
Air India in an operating profit of £10.5 million, in 2015-16, while net loss stood at £383.67 million. The previous UPA government had approved a turnaround plan under which Air India is to receive a total equity infusion worth £3.02 billion up to 2021 subject to meeting certain performance thresholds. Pound 2.65 billion has already been invested in the airline. Sinha said the draft expression of interest document inviting proposal for the airline's disinvestment is yet to be finalised by the Air India Specific Alternative Mechanism (AISAM). He said, “Formal proposals from prospective bidders would be received thereafter only. Any unsolicited expressions of interest at this stage are not relevant.”
AI had an operating profit of £10.5 million while net loss stood at £393.67 million. The previous UPA government had approved a turnaround plan in 2012. The airline's total loans totalled up to £ 4.84 billion in 2016-17, including aircraft and working capital loans of £1.74 billion and £ 3.11 billion. The Cabinet Committee on Economic Affairs had given its in-principle approval for considering strategic disinvestment of Air India and its five subsidiaries, in June 2016. It also constituted the AISAM, which is headed by Finance Minister Arun Jaitley.
