STATE-OWNED Indian Airlines is setting up a low-cost regional subsidiary to feed traffic into its major hubs and compete against India's clutch of privately owned start-up carriers.
Airline Allied Services is expected to begin operations in March, initially flying four 119-seat Boeing 737-200s, linking regional points with Delhi and Bombay. Initial destinations are expected to include Jaipur, Jodhpur, Udaipur, Aurangabad, Mangalore, Goa, Cochin, Bhuj and Jamnagar, followed by Ahmedabad and Calcutta.
The carrier will operate12, 737-200s by September 1997, all sources from its parent company.
Source: Flight International
