IOC puts AI on `cash and carry mode'
New Delhi   11-Dec-2010

The IOC has put national carrier Air India on "cash and carry" mode which means that the cash-strapped airline will have to make daily payments for aviation turbine fuel in order to ensure uninterrupted flight operations. This was done after Air India failed to make adequate payments for ATF from some of the oil firms which already extend some time period of credit.

Air India officials said that the matter would be sorted out and expressed confidence that there would be no flight disruptions. The AI is banking on the proposed infusion of Rs. 1,200 crores from the government to it.