Instead of serving meals on the flight, Air India is planning to serve snacks on short haul flights which is likely to save Rs 20 crore annually, said sources.
The financial restructuring plan presented by the board of Air India before the GoM was approved by the lenders and Reserve Bank of India.
The board also approved the request for FP for Boeing 787 Dreamliner aircraft under sale. The board also decided that Air India may lease two 747-400 aircraft and 777-200 LR aircrafts, after the induction of Boeing 787, said the company in a statement.
The company is also looking forward to save Rs 1,000 crore approximately in interest costs through its resurgence of trade programme.
The board of directors in their meeting on Nov 29, Tuesday discussed on debt restructuring package. They however, did not discuss the voluntary retirement service issue, said sources.
As an upfront equity, the government also agreed to put up in 6750 crore in the next one year. It would invest Rs 30,000 crore in another 10 years.
Air India's net lost approx amounted to Rs 20,320 crore from Apr 2007-Mar 2011.