How Ratan Tata will help cut costs at AirAsia

Budget carrier AirAsia India has promised "the lowest fares possible" in India once it begins services later this year. The group's chief executive spelt out ways it planned to do that yesterday, but left the best for this morning, when he tweeted a photograph of Tata group Chairman Emeritus Ratan Tata piloting his plane.

Mr Tata holds a pilot's licence and reportedly often flies the aircraft that his group owns. He retired last year as the Tata group chairman and now plays an advisory and mentoring role. On the Air Asia board, Mr Tata is the chief advisor.

AirAsia India is a joint venture between the Malaysia-based low-cost airline, the Tata group and investment firm Telestra Tradeplace. Mr Fernandes revealed aggressive growth and pricing plans yesterday at a press conference in Mumbai. The airline plans to add 10 planes a year and will focus operations on the country's under-utilised airports instead of offering services to the country's main hubs Mumbai and New Delhi, he said.

AirAsia will initially concentrate on South India from its Chennai base.
"My new Pilot Sir Ratan Tata flying me to Delhi. Another way airasia cuts costs. The advisor is a pilot," Tony Fernandes tweeted. In the photo, the 75-year-old Mr Tata is at the controls while Mr Fernandes looks absolutely elated as he flashes a thumbs-up and a big smile.

Source: http://to.ly/mcpG