Cochin International Airport Limited will appoint a consultant in a couple of weeks for exploring the possibilities of starting a separate airline company. The board of directors of the company had resolved to start an airline service of its own as part of its diversification plans.
According to sources at the company, the new venture will be under a separate company and will start domestic service first.
CIAL has also plans to have an aircraft maintenance division of International standards with all the levels of maintenance and service of aircraft.
It plans to register a separate company for the purpose with equity participation of NRI technical experts in the field. It is estimated that 900 persons can be employed directly and a few thousand indirectly.
The chief minister of Kerala, who is the chairman of the company, is in favour of the project and had given the go-ahead to CIAL authorities.
Ernst and Young, the consulting company for the diversification and development of the airport will submit its report in a fortnight which will include the report on the aircraft maintenance facility also.
CIAL, which has additional land of 450 acres has a wide range of plans including hotels and other amenities for the travellers.
The construction work for providing additional space at the international terminal is in full swing and will be completed by June.
The airport, which commenced its operations on May 25, 1999, earned a net profit of Rs 48 crore (Rs 480 million) in 2004-05.
In 2003-04 the net profit was Rs 36 crore (Rs 360 million).
The company became profitable in 2002-03 with a bottomline of Rs 15 crore (Rs 150 million). CIAL also has plans to go public at the earliest.
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