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Air India aircrafts stand parked at the international airport in Mumbai. Photo Courtesy: AP
AI expects 30% ticket sales with PSS
Wed Mar 30 2011 11 : 03 / Mumbai
The national carrier Air India expects its newly integrated passenger services system (PSS) to fetch 30 percent of ticket sales, which would help the ailing airline to improve its cash-flow by 15 percent.

The national carrier Air India expects its newly integrated passenger services system (PSS) to fetch 30 percent of ticket sales, which would help the ailing airline to improve its cash-flow by 15 percent.

"We expect our web booking to bring us up to 30 percent of sales over the next 18-24 months. In revenue terms, this will translate into a 15 percent increase," Air India Chairman and Managing Director Arvind Jadhav said here today.

Currently, over 80 percent of the airline's ticketing is handled by agents who corner five percent of the ticket price as commission now against seven percent earlier.

Together with reduction in commission outgo, the airline expects its overall revenue to go up considerably due to operational and system integration.

The airline is also expecting to see a major improvement in its load factor with the code integration.

The implementation of the new single code is part of the ailing flag carrier's turnaround strategy, Jadhav said, adding the airline is working on to integrate its cargo business, which is currently being run on two different IT platforms now, within the next six months.

AI is struggling with a mammoth Rs 40,000 crore debt out of which Rs 18,000 crore is working capital loan from various bank, which is being recast now.

Leading global air transport communications and IT solutions provider SITA has implemented the new PSS in a record time of 293 days. SITA had last year been awarded the contract for providing the common IT platform to the merged entities by Air India.

Agency/Source 
Press Trust of India
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