Business Daily from THE HINDU group of publications Thursday, Aug 02, 2007 ePaper |
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Logistics
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Mergers & Acquisitions Merger of Air India, Indian begins at Delhi, Mumbai airports
Our Bureau New Delhi, Aug. 1 The merger of Air India and Indian started today at Delhi and Mumbai airports with passengers being checked in at only Air India counters despite being booked to travel on an Indian flight. The check-in counters, the boarding cards and even the baggage tags had the logo of Air India although the passengers were travelling within the country. This change, however, prompted some sections from the airline industry to cry foul, as the merger process has not yet been completed. Wage Revision
The formalities for the merger were expected to be completed on Tuesday after a hearing in the Ministry of Corporate Affairs. However, with unions raising issues relating to wage revision and calling for a clear picture on career progression, the Ministry decided to defer its decision. Not illegal
Official sources said what was being done in the Mumbai and Delhi airports was not illegal. “The domestic flights still maintain the Indian code. The logo of Air India is already there on some of the new aircraft that have joined the fleet of Indian and Air India. “It has already been decided that Air India will be the name of the merged entity. So why should there be an issue if the boarding cards are of Air India,” a Ministry official asked.
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