The Hindu : Business : SpiceJet to launch operations on May 23

Online edition of India's National Newspaper
Wednesday, May 18, 2005

Business

Business

SpiceJet to launch operations on May 23

Special Correspondent

About 20 aircraft to be inducted in the next two years

TO TAKE WING: The Union Minister of State for Tourism, Renuka Chowdhury, shows the ticket to Goa, which was presented to her, as the CEO of SpiceJet, Mark Winders, looks on at the launch of the low-cost airline in New Delhi on Tuesday. — Photo: S. Subramanium

NEW DELHI: SpiceJet, the latest private domestic low-cost air carrier, is all set to launch its first commercial flight on May 23 on the Delhi-Ahmedabad-Mumbai sector.

To celebrate the launch, SpiceJet will offer over 30,000 "Red Hot Special Fares'' starting at Rs. 99 for the first 99 days of its operation. These fares will be available at Rs. 499 and Rs. 799. The private carrier will offer over 9,000 seats and all flights will have 5-10 seats available daily for sale at Rs. 99 for the first 99 days.

Addressing a press conference here on Tuesday, SpiceJet CEO, Mark Winders, and Director, Ajay Singh, said the airline's Internet site would provide passengers details of price shop, bookings and even selecting their seats in advance.

The SpiceJet CEO said the airline, initially with two Boeing 737-800 aircraft, would connect Goa with Delhi on May 27 and by mid-June would offer connections to Pune and Bangalore. He said by June-end the airline would induct three all new B-737-800 aircraft and would have about 20 aircraft in the next two years.

Though being promoted as no-frills, stripped down product, SpiceJet will offer passengers snacks and water free on board the flight.

Mr. Winders said the airline would lure First and Second AC train travellers who undertake train journeys longer than six hours to take to flying. Citing an example of "Spicey Fares'' on offer on Delhi-Ahmedabad sector, he said the daily air fares under the "Spicey Fares'' category would be Rs. 1,299 to Rs. 3,999 in comparison to Rs. 1,200 for Third AC train fare Rs. 6,754 normal economy air fare.

The airline is being promoted by Royal Holdings Services Limited, a Nevada-based company, which has a major stake in SpiceJet with institutions like Citibank, ABN Amro, Goldman Sachs and others holding over 20 per cent.

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