Air India monetising assets to bounce back

By: | Updated: March 14, 2016 6:49 AM

When the turnaround plan (TAP) of the national carrier Air India was approved by the Union government in 2012, monetisation of its assets was a part of it.

Air India flightAccording to a senior official of Air India, the national carrier earns revenue worth `85-100 crore from the Air India building situated at Nariman Point, Mumbai. (Reuters)

When the turnaround plan (TAP) of the national carrier Air India was approved by the Union government in 2012, monetisation of its assets was a part of it. Four years later, the airline has managed to monetise a significant number of its assets owned in India and abroad.

According to a senior official of Air India, the national carrier earns revenue worth `85-100 crore from the Air India building situated at Nariman Point, Mumbai. As of now, four floors of the building have been given on rent to SBI and service tax department, seven floors to the income tax department and one floor to Tata Consultancy Services. The management charges rates in the range of Rs 290 to Rs 350 per square feet depending on floor which one occupies.

Apart from the building, the AI also sold one of its plots in Coimbatore to National Buildings Construction Corporation (NBCC) for Rs 19 crore a few months ago.

“We have managed to give most of the floors of the AI building on rent and have been trying to monetise most of our assets within the country and abroad. The money raised from here could be used to improve the efficiency of our daily operations,” the official said.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition