Loss-making passenger carrier Air India has leased out commercial property at its iconic landmark headquarters at Nariman Point in Mumbai to raise funds.
Air India has leased out an area of 73,395.07 square feet (sq. ft) to State Bank of India (SBI), Tata Consultancy Services (TCS), Bharatiya Mahila Bank, Bank of India and Kashmir government emporium at its Nariman point building in Mumbai.
According to Civil Aviation Minister Ashok Gajapathi Raju Pusapati, this step has been taken to leverage the airlines' assets to generate funds.
In a written reply to the Lok Sabha, the minister said that Air India has taken steps to improve its operational and financial performance, including rationalization of routes.
The minister said rationalization of certain loss making routes, induction of new aircraft on several domestic and international routes to increase passenger appeal, implementation of fuel efficiency and gap analysis with the help of IATA are some of the measures undertaken to improve the operational and financial efficiency of Air India.
He said that the airline has been phasing out old aircraft and reducing maintenance costs, and it has also stopped hiring in non-operational areas.