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New Delhi: National carrier Air India is expected to incur losses of around .8 billion (Rs.5,400 crore) this fiscal and the trend is likely to continue for a few more years, Civil Aviation Minister Praful Patel said Tuesday.

"The trend of losses is likely to continue for a few more years," the minister told the Rajya Sabha. He did not say when the airline would start making profits. The state-owned carrier is run by the National Aviation Co. of India Ltd (NACIL).

With the expected losses of .8 billion (Rs.5,400 crore) in 2009-10, the carrier's losses will mount to over .64 billion (Rs.13,174 crore) in three straight fiscals. The carrier had incurred a loss of 5.2 million (Rs.2,226.16 crore) in 2007-08 and .11 billion (Rs.5,548 crore) in 2008-09.

"The airline has initiated action as part of the turnaround plan and is focusing on fleet and manpower rationalisation, route profitability, and structural changes. These plan envisages benefits of 2.2 million (Rs.1911 crore) for the current financial year," Patel said.

These initiatives taken by the airline will only result in savings of 0.6 million (Rs.753 crore) in fiscal 2010-11, he said.

The minister also said the airline's outstanding fuel dues till January end stood at 8.2 million (Rs.1741 crore). "We have asked the airlines to clear the dues expeditiously."

The airline is waiting for a cabinet nod to raise its working capital by 0 million (Rs.1,000 crore). Currently the airline's working capital is .4 billion (Rs.17,000 crore).

The government last month approved equity infusion of 0 million (Rs.800 crore) for the ailing carrier in two instalments to tide over the cash flow problem and finance fleet acquisition plans.

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