NEW YORK, Oct 27: The country's defunct private domestic carrier ModiLuft is set to take to the skies once again early next year under the banner of Royal Airways, according to aviation industry sources. Satish Modi of the House of Modis, who had launched Modiluft in partnership with the German airline Lufthansa, decided to rename the new venture Royal Airways. The decision to revive the airline was "demand-driven" with the new carrier expected to fulfil the additional demand, especially on the trunk routes, sources said.The airline is to have a fleet of 12 aircraft, five more than what Modiluft had, they added.
Sources said, Modi and Lufthansa are now on amicable terms and are expected to sign an interline agreement permitting Lufthansa travellers to connect to Royal Airways for travel in the country.
The new airline's $40 million project has been prepared by the London-based international aviation consulting group, Speedwing, and is at an advanced stage of implementation, sources said, adding thatit could start operating early next year.
Royal Airways has retained all the approvals that were granted to ModiLuft and would not need any further approvals from government agencies, the sources said. Besides, it has retained a lot of its infrastructure. It has signed agreements to lease 12 Boeing 737-300/400 aircraft and the project is at an advanced stage of financing, including from non-resident Indian investors. It has already started hiring pilots and other staff, the sources added.Royal Airways will also fly to more destinations, expecting to connect 14 cities, to able to take on the state-owned Indian Airlines and two private carriers including Jet Airways.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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