New Delhi:
A day after the government met with officials of Air India to discuss a bailout package for the ailing airline, its board will meet today to further discuss the revival plans.
Some crucial decisions were taken yesterday at the meeting whereby the government is planning to infuse Rs 30,000 crore for the national carrier over a period of ten years. This would be in the form of equity.
As an immediate measure, the Centre, as part of the proposal, intends to inject Rs 6,750 crore in the next one year.
According to the proposal, the government is also considering writing off Rs. 4,500 crore cash loss of Air India, infusing an additional equity of Rs. 17,000-18,000 crore for its fleet acquisition programme.
The proposals were discussed at the two-hour meeting of officials from the Civil Aviation Ministry, Air India and representatives of lenders - a consortium of 14 banks led by the State Bank of India (SBI).
The lenders gave a "broad approval" to the debt restructuring plan of the cash-strapped carrier after getting the green signal from the Reserve Bank of India (RBI) last week, the sources said.
The Cabinet note, taking cognisance of the entire bailout package, will be prepared by the Civil Aviation Ministry in the "next few days".
The total debt of Air India, consisting of aircraft loans and working capital loans aggregate Rs. 43,777.01 crore. The working capital loan is Rs. 21,511.10 crore while the aircraft loan is Rs. 21,412.06 crore, latest figures show.
The bank representatives are understood to have sought clarifications on certain regulatory issues from the RBI, the sources said, adding that they wanted to become part of a proposed committee to be set up to monitor the implementation of Air India's overall turnaround plan.
Some crucial decisions were taken yesterday at the meeting whereby the government is planning to infuse Rs 30,000 crore for the national carrier over a period of ten years. This would be in the form of equity.
As an immediate measure, the Centre, as part of the proposal, intends to inject Rs 6,750 crore in the next one year.
According to the proposal, the government is also considering writing off Rs. 4,500 crore cash loss of Air India, infusing an additional equity of Rs. 17,000-18,000 crore for its fleet acquisition programme.
The proposals were discussed at the two-hour meeting of officials from the Civil Aviation Ministry, Air India and representatives of lenders - a consortium of 14 banks led by the State Bank of India (SBI).
The lenders gave a "broad approval" to the debt restructuring plan of the cash-strapped carrier after getting the green signal from the Reserve Bank of India (RBI) last week, the sources said.
The Cabinet note, taking cognisance of the entire bailout package, will be prepared by the Civil Aviation Ministry in the "next few days".
The total debt of Air India, consisting of aircraft loans and working capital loans aggregate Rs. 43,777.01 crore. The working capital loan is Rs. 21,511.10 crore while the aircraft loan is Rs. 21,412.06 crore, latest figures show.
The bank representatives are understood to have sought clarifications on certain regulatory issues from the RBI, the sources said, adding that they wanted to become part of a proposed committee to be set up to monitor the implementation of Air India's overall turnaround plan.
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