Date:31/03/2005 URL: http://www.thehindubusinessline.com/2005/03/31/stories/2005033102170400.htm

Back Air Deccan in pact with Kingfisher Airlines

Our Bureau

Capt. G. R. Gopinath (right), Managing Director, Air Deccan, with Mr V. Vaidyanathan, Senior General Manager & Country Head-Retail Business, ICICI Bank, at the launch their co-branded Gold Card in Mumbai on Wednesday. — Paul Noronha

Mumbai , March 30

AIR Deccan, India's first low-cost airline, has signed a non-poaching agreement with Kingfisher Airlines to ensure that the two airlines do not poach each other's pilots.

The agreement was signed on Tuesday. Captain G.R. Gopinath, Managing Director, Air Deccan, said, "We will give our Airbus to Kingfisher for training their pilots." The companies will also help each other for spare parts and inventories, he added.Air Deccan is planning to hit the market with an initial public offering to raise $300-$400 million in the next 12 to 18 months. The airline will use the money to increase its fleet to 60 by 2010, said Captain Gopinath. He said this at a meeting to launch the airline's loyalty card programme in a tie-up with ICICI Bank.

The airline now has 106 routes and hopes to introduce 100 new routes every year. It has tied up with HPCL to sell tickets at HPCL outlets. The airline has tied up with ICICI Bank to launch the `ICICI Bank Air Deccan Gold Card,' a loyalty card programme. Based on the ICICI Bank Gold credit card platform, the programme offers several privileges to customers, including free ticket vouchers, reward points, free tickets through a lucky draw and equal monthly installment schemes for booking air tickets.

Mr V. Vaidyanathan, Senior General Manager and Country Head-Retail Business, ICICI Bank, said, "We had captured niches in all areas through co-branded cards. We will earn customer loyalty and goodwill."