A low-cost carrier ( LCC ) or low-cost airline , also called a budget , or discount carrier or airline , is an airline that is operated with an emphasis on minimizing operating costs. It sacrifices certain traditional airline luxuries for cheaper fares. To make up for revenue lost in decreased ticket prices, the airline may charge extra fees, such as for carry-on baggage.
66-620: Simplifly Deccan , formerly known as Air Deccan , was the first Indian low-cost carrier . Headquartered in Bengaluru , it operated domestic flights from seven base airports using a fleet of Airbus A320 , ATR 42 and ATR 72 aircraft. The airline appealed to middle class travellers with low fares and a large route network. It employed several innovative methods to ensure the profitability of its business model. Nevertheless, Simplifly Deccan merged with Kingfisher Airlines in April 2008. Kingfisher replaced
132-426: A cost of available seat mile (CASM) advantage in relation to the traditional and established, legacy airlines such as Trans World Airlines and American Airlines . Often this CASM advantage has been attributed solely to the lower labor costs of the newly hired and lower pay grade workers of new start-up carriers, such as ValuJet , Midway Airlines, and their like. However, these lower costs can also be attributed to
198-854: A domestic legacy airline and one or more foreign investors. By mid-2013, these new LCCs were operating at a unit cost of around 8 yen per seat-kilometer, compared to 10–11 yen per seat-kilometer for domestic legacy airlines. However, their unit cost was still much higher than the 3 yen per seat-kilometer for AirAsia in Malaysia , due to the higher cost of landing fees and personnel in Japan. By 2017, low-cost carriers had achieved market share of 57.2% in South Asia and 52.6% in Southeast Asia. Market share remained somewhat lower in Europe at 37.9% and North America at 32.7%. For
264-422: A flight on a full-service carrier. Most airlines charge additional taxes and fees on their tickets. Some low-cost airlines have been known to charge fees for the seemingly ridiculous, such as levying a credit card charge if credit card is the only payment method accepted. While tour and package operators have offered lower-priced, lower-frilled traveling for a large part of modern airline history, not until during
330-541: A greater number of add-on fees. In the US market, Allegiant Air , Frontier Airlines , Spirit Airlines , and Sun Country Airlines are considered to be ULCCs. In Europe, Ryanair and Wizz Air are the most prominent ULCCs. In Asia, AirAsia and Lion Air are the most prominent ULCCs. The pricing policy of the low-cost carriers is usually very dynamic as befits their business model, with frequent discounts and tickets in promotion. Like other carriers, however, even if
396-552: A higher age limit on unaccompanied minors than full-service carriers. Often these airlines do not offer connecting tickets, since the airline will have to pay for ground crew to transfer luggage. A customer may create a connection manually by purchasing two separate tickets, but these are considered separate contracts, and the passenger bears the risk if a delayed inbound flight causes a missed connection. When most countries had national monopolies, crews could negotiate pay raises and good pension benefits (something that costs money for
462-778: A large-scale reduction of its fleet of Boeing 737 aircraft and operations. In March 2017, International Airlines Group established Level , a long-haul low-cost virtual airline based in Barcelona Airport and serving destinations in North and South America. Long-haul low-cost carriers are emerging on the transatlantic flights market with 545,000 seats offered over 60 city pairs in September 2017 (a 66% growth over one year), compared to 652,000 seats over 96 pairs for Leisure airlines and 8,798,000 seats over 357 pairs for mainline carriers . Former American Airlines CEO Bob Crandall thinks
528-519: A minimum set of equipment, further reducing costs of acquisition and maintenance, as well as keeping the weight of the aircraft lower and thus saving fuel. Depending on the low-cost airline seats do not recline and do not have rear pockets, to reduce cleaning and maintenance costs. Others have no window shades. Pilot conveniences, such as ACARS , may be excluded. Often, no in-flight entertainment systems are made available, though many US low-cost carriers do offer satellite television or radio in-flight. It
594-460: A page from the mainline, major, or legacy carriers' desire to reduce costs in all ways possible in regards regional route networks by outsourcing regional operations to the lowest expense airline bidder capable of operating regional aircraft, a new generation of low-cost airlines (in name only) soon evolved in the US with varying levels of success. Among these varieties of low-cost and discount operators were noteworthy starts-ups that managed to get off
660-463: A simpler fare scheme, such as selling only one-way tickets. Typically fares increase as the plane fills up, which rewards early reservations. In Europe (and early in Southwest's history) luggage is not transferred from one flight to another, even if both flights are with the same airline. This saves costs and is thought to encourage passengers to take direct flights. Tickets are not sold with transfers, so
726-449: A single aircraft type, so that cabin and ground crew will only have to be trained to work on one type of aircraft. This is also beneficial from a maintenance standpoint as spare parts and mechanics will only be dedicated to one type of aircraft. These airlines tend to operate short-haul flights that suit the range of narrow-body (single aisle) planes. As of lately, however, there is also a rise in demand for long range low-cost flights and
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#1733092243726792-583: A single cabin class, economy, allowing it to pack more seats into its aircraft. Following its no-frills approach, it charged for all food and beverages served on board. Payment was also required for cancellations, and no refunds or accommodations were provided to passengers who had missed their flights. Air Deccan operated a point-to-point route network from seven base airports. It maintained low turnaround times and often outsourced work to local airport employees, especially at airports that saw few Air Deccan flights and did not require dedicated employees throughout
858-752: A week, and Melbourne thrice weekly. On 11 March 2009, AirAsia X started its first low-cost long-haul service into Europe, to London Stansted . The daily flights are operated by two leased Airbus A340 -300s. A one-way economy-class ticket often costs £150, and the premium-class one-way often costs £350. On 12 January 2012, AirAsia announced that it would be suspending services to London on 1 April 2012. Low-cost European airline, Norwegian Air Shuttle , started long-haul low-cost operations in May 2013 under their Norwegian Long Haul arm. Norwegian initially operated flights to Bangkok and New York from Scandinavia using leased Airbus A340 aircraft, switching to new Boeing 787s in
924-575: Is also becoming a popular approach to install LCD monitors onto the aircraft and broadcast advertisements on them, coupled with the traditional route–altitude–speed information. Some allow priority boarding for an extra fee instead of reserved seating, and some allow reserving a seat in an emergency exit row (for longer leg room) at an extra cost. Like the major carriers, many low-cost carriers develop one or more bases to maximize destination coverage and defend their market. Many do not operate traditional hubs , but rather focus cities . Airlines often offer
990-621: Is the Indian subsidiary of Heineken N.V. . It is headquartered in UB City , Bangalore , Karnataka . Its core business includes beverages and investments in various sectors. The company markets beer under the Kingfisher brand , and owns various other brands of alcoholic beverages . United Breweries is India's largest producer of beer. United Breweries now has greater than a 40% share of the Indian brewing market with 79 distilleries and bottling units around
1056-400: Is the reduction of cost and reduced overall fares compared to legacy carriers. Traditional airlines have also reduced their cost using several of these practices. Most low-cost carriers operate aircraft configured with a single passenger class, and some low-cost carriers choose to operate more than one type and configure their aircraft with more than one passenger class, but most operate just
1122-420: Is well known for using fuel hedging programs to reduce its overall fuel costs. Check-in at the gate of luggage requires fees, as it requires addition to the weight calculation and last-minute baggage handling. Online check-in is becoming common, again in the interest of avoiding personnel costs. Where permissible, some airlines have a disinclination to handle Special Service passengers, for instance by placing
1188-456: Is why Ryanair flies to Gatwick Airport , Luton Airport , and Stansted Airport in the London area and how easyJet is able to fly to Paris-Charles de Gaulle , and Amsterdam Airport Schiphol . In London's case however, low-cost carriers would not be able to use Heathrow as the airport is running at near capacity, so there is no room to build a base. The airlines tend to offload, service and re-load
1254-584: The Debt Recovery Tribunal . With this, Heineken's stake in the company increased to 61.5%, taking control of United Breweries. In May 2023, employees, terminated from service at the United Breweries factory located near Ranasthalam, Srikakulam on account of reduced orders, staged protest. The Pegasus , which is the symbol of the United Breweries, first found its place as the Group logo in 1941. Then,
1320-826: The European Commission , the LCCs market share (44.8%) exceeded legacy carriers (42.4%) in 2012: between 2002 and 2017, LCC share of international seat capacity rose from 23% to 57% in the UK, from 10% to 55% in Italy and from 9% to 56% in Spain but have still room for growth in domestic seat-capacity In France with 19% and in Germany with 25% in 2017, compared with 66% in the UK, 48% in Spain and 47% in Italy. By early 2019, there were more than 100 LCCs operating 6,000 aircraft, doubled from 2,900 aircraft at
1386-881: The UK and Canada for £89. In August 2006, Zoom announced a UK subsidiary to offer low-cost long-haul flights to the United States and India, but suspended its operations from 28 August 2008 due to high fuel prices inducing financial problems. In 2005, Emirates ' Tim Clark viewed long-haul low-cost as inevitable, flights could be operated on 760 seats all-economy Airbus A380s , or 870 for an hypothetical A380 stretch. Since 2005, Australia's Jetstar Airways operates international flights, starting with Christchurch , New Zealand. In late 2006, others followed from Sydney , Melbourne and Brisbane , to popular tourist destinations within 10 hours like Honolulu , Japan, Vietnam , Thailand and Malaysia . With new aircraft deliveries, it hopes to fly to
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#17330922437261452-1159: The airline industry referring to airlines with a lower operating cost structure than their competitors. The term is often applied to any carrier with low ticket prices and limited services regardless of their operating models. Low-cost carriers should not be confused with regional airlines that operate short-haul flights without service, or with full-service airlines offering some reduced fares. Some airlines advertise themselves as low-cost while maintaining products usually associated with traditional mainline carriers’ services. These products include preferred or assigned seating , catering, differentiated premium cabins , satellite or ground-based Wi-Fi internet, and in-flight audio and video entertainment . The term ultra low-cost carrier ( ULCC ) has been used, particularly in North America and Europe to refer to carriers that do not provide these services and amenities. The low-cost carrier business model practices vary widely. Some practices are more common in certain regions, while others are generally universal. The common theme among all low-cost carriers
1518-410: The 1950s and 60s by acquiring other breweries. First was the addition of McDowell as one of the Group subsidiaries. This move helped United Breweries to extend its portfolio to the wines and spirits business. As a strategical measure, the Group moved into agro-based industries and medicines. The former is marked by Mallya acquiring Kissan Products. A long-term relationship with Hoechst AG of Germany
1584-711: The Deccan brand with Kingfisher Red in August 2008. Simplifly Deccan was founded as Air Deccan by G. R. Gopinath , a retired Indian Army captain who had gained experience in the aviation industry through his Deccan Aviation venture. Air Deccan became a wholly owned subsidiary of Deccan Aviation. The airline launched operations on 25 August 2003 with a flight from Bengaluru to Hubbali . At that time, its fleet consisted of two ATR 42-320 aircraft. In order to increase capacity on its trunk routes, Air Deccan purchased two Airbus A320-200s and leased five in 2004. In December of that year,
1650-468: The Irish Aviation Authority. As supply increases, this sort of differentiation by brand is an important criteria for the future success of low-cost carriers, since many experts believe price competition alone is not enough, given the number of carriers. As the number of low-cost carriers has grown, these airlines have begun to compete with one another in addition to the traditional carriers. In
1716-604: The Middle East and 12% within Africa. A long-haul low-cost operation would be harder to differentiate from a conventional airline as there are few cost savings possibilities, while the seat costs would have to be lower than the competition. Long-haul aircraft scheduling is often determined by time zone constraints, like leaving the US East Coast in the evening and arriving in Europe
1782-399: The US, airlines have responded by introducing variations to the model. In Europe, the emphasis has remained on reducing costs and no-frills service. A secondary term ultra low-cost carrier ( ULCC ) has been used to differentiate some low-cost airlines whose model deviates further from that of a standard low-cost carrier, with ultra low-cost carriers having minimal inclusions in the fare and
1848-440: The advertised base prices are very low, charges and taxes are typically not mentioned. With some airlines, some flights are advertised as free (plus applicable taxes, fees and charges). Depending on the airline, perhaps as many (or as few) as ten percent of the seats on any flight are offered at the lowest price and are the first to sell. The prices steadily rise thereafter to a point where they can be comparable or more expensive than
1914-673: The aircraft (turnaround) in shorter time periods and do not wait for late passengers, allowing maximum utilization of aircraft. Low-cost carriers generate ancillary revenue from a variety of activities, such as à la carte features and commission-based products. Some airlines may charge a fee for a pillow or blanket or for carry-on baggage. In Europe, it is common for each and every convenience and service to have an additional charge. Low-cost carriers intend to be low-cost, so in many cases employees work multiple roles. At some airlines flight attendants also work as gate agents or assume other roles, thereby limiting personnel costs. Southwest Airlines
1980-533: The airline a premium touch while it remained a low-cost carrier. Simplifly Deccan ended the practice of outsourcing check-in staff, lengthened turnaround times and stopped selling tickets at promotional fares. Simplifly Deccan and Kingfisher continued to operate domestically with their own airline codes . Unless the airlines consolidated under a single set of codes, the Ministry of Civil Aviation required Kingfisher to use Deccan's codes on international routes; Mallya, on
2046-676: The airline can avoid responsibility for passengers' connections in the event of a delay. Low-cost carriers often have a sparse schedule with one flight per day and route, so it would be hard to find an alternative for a missed connection. Modern US-based low-cost carriers generally transfer baggage for continuing flights, as well as transferring baggage to other airlines. Many airlines opt to have passengers board via stairs, since jetways generally cost more to lease. Often, low-cost carriers fly to smaller, less congested secondary airports and/or fly to airports during off-peak hours to avoid air traffic delays and take advantage of lower landing fees . This
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2112-626: The airline purchased an additional 30 A320s in a US$ 1.8 billion order. It ordered 30 ATR 72-500s in February 2005. The airline underwent rapid growth, witnessing 30% growth in its passenger numbers in 2005–2006. In 2006 it was the third largest airline in India with a 19% market share, flying to 55 destinations with 30 aircraft. It placed an order for 30 more Airbus A320s in December 2006. The airline experienced 42% growth in passenger traffic in 2006–2007, becoming
2178-573: The airlines only in the long term). During this period, most passengers were business travellers who paid high fares that covered these costs. After deregulation, which led to lower fares, many airlines remained bound to these salary agreements and pensions, whereas new low-cost carriers employed new staff with lower salaries, especially for cabin crew, keeping personnel costs low and allowing for competitive fares. In some cases airlines have gone bankrupt (e.g., Alitalia , Sabena , and Swissair ), and new airlines replaced them. Traditional carriers followed
2244-485: The airport in early 2008. Simplifly Deccan operated a fleet of ATR 42 , ATR 72 and Airbus A320 aircraft. For routes of higher demand between major cities, Simplifly Deccan used its larger Airbus A320s. Simplifly Deccan was operating the following aircraft in September 2007: In 2003, on the planned launch flight from Begumpet airport, Hyderabad to Vijayawada, having onboard guests including Pratap Reddy, M Venkaiah Naidu, Pankaj Abani and other political leaders, one of
2310-644: The availability of next generation planes that make long haul routes more feasible for LCCs. In the past, low-cost carriers tended to operate older aircraft purchased second-hand, such as the McDonnell Douglas DC-9 and older models of the Boeing 737 . Since 2000, fleets generally consist of the newest aircraft, commonly the Airbus A320 family and Boeing 737. Although buying new aircraft is usually more expensive than second-hand, new planes are cheaper to operate in
2376-592: The continental US and Europe . In April 2006, the industry magazine Airline Business analysed the potential for low-cost long-haul service and concluded that a number of Asian carriers, including AirAsia, were closest to making such a model work. On 26 October 2006, Oasis Hong Kong Airlines started flying from Hong Kong to London-Gatwick . The lowest prices for flights between Hong Kong to London could be as low at £75 (approximately US$ 150) per leg (not including taxes and other charges) for economy class and £470 (approximately US$ 940) per leg for business class for
2442-498: The cost of printing tickets; passengers or travel agents were required to do so off the Internet. In early May 2007, rumours began to circulate that Vijay Mallya , founder of Kingfisher Airlines , was interested in buying Air Deccan. Dispelled the rumours, claiming "[Mallya and I] are from different planets; he is from Venus, I am from Mars". Gopinath believed it was impossible to merge the airlines' separate business models; Kingfisher
2508-431: The day. Air Deccan also gained advertising revenue by allowing advertisements both inside and outside its aircraft. For reservations, the airline utilised multiple channels. Passengers could book tickets through travel agents, on the Internet or through call centres. Each of these channels was connected to a fully web-enabled reservation system, making Air Deccan the first in India to use such a system. Air Deccan also avoided
2574-670: The end of Skytrain . In late 2007, Cebu Pacific , the Philippines ' largest low-cost carrier, announced non-stop flights from the Philippines to the United States West Coast and other US cities from mid-2009. The airline also intends to launch low-cost service to Middle East , where around a million Filipinos are based, and in Europe. Flights to Dubai — its first long-haul destination — started in 2013. As of September 2024, it operates flights to Dubai daily, to Sydney four times
2640-545: The end of 2009, while seat capacity reached nearly 1.7 billion in 2018. LCCs accounted for 33% of intra-regional seat capacity in 2018 with 1.564 billion, up from 25% in 2008 with 753 million, and 13% of seat capacity between regions with 101 million, up from 6% in 2009 with 26 million. In 2018, penetration rate was 41% of seats within Europe, 36% within Latin America, 32% within North America, 29% within Asia Pacific, 17% within
2706-498: The engines caught fire while taxiing for takeoff and the flight was aborted. All passengers survived the incident. On 11 March 2006, Air Deccan Flight 108 made a hard landing and skidded off runway 27 at HAL Airport in Bengaluru. The aircraft was an ATR 72-500 registered VT-DKC flying between Coimbatore and Bengaluru . Five passengers received minor injuries, and the aircraft suffered major damage to its undercarriage. The airport
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2772-561: The following morning, and the longer flight times mean there is less scope to increase aircraft utilization as in short-haul. The business model is financially risky , and many companies have entered bankruptcy , like Laker Airways . In 2004, Irish Aer Lingus maintains a full service on transatlantic flights while it lowered its prices to compete with Ryanair on short haul. Late in 2004, Oasis Hong Kong Airlines offered London to Hong Kong flights from £199, and Canadian Zoom Airlines started selling transatlantic flights between
2838-401: The ground by using the larger aircraft services of established charter airlines. Among this group were the virtual airlines ; Direct Air , PeoplExpress , Western , and those that never began service such as JetAmerica . In Japan, low-cost airlines made major inroads into the market in 2012 when Peach , Jetstar Japan and AirAsia Japan began operations, each with financial sponsorship by
2904-747: The legacy carriers will force Long-haul LCCS to lose too much money and will continue to dominate. While Asian carriers like AirAsia X, Scoot , Cebu Pacific and Jetstar Airways are successful, the October 2018 demise of Primera Air and its $ 99 transatlantic flights illustrates the difficulties of the model, as the US World Airways will be relaunched in 2019. Norse Atlantic Airways was founded in 2021 and commenced operations in 2022, operating transatlantic flights as well as flights to Thailand beginning in 2023. United Breweries Group United Breweries Holdings Limited ( UBHL ), also called UB Group ,
2970-712: The less complex aircraft fleets and route networks with which these new carriers began operations, in addition to their reduced labor costs. To combat the new round of low-cost and start-up entrants into the very competitive and deregulated United States airline industry, the mainline major carriers and network legacy carriers strategically developed no-frills divisions within the main airlines brand and corporate structures. Among these were Continental Lite , Delta Express , MetroJet , Shuttle by United , Song , and Ted . However, most of these "airlines within an airline" were short-lived and quickly disposed-of when economic rationalization or competitive pressures subsided. Taking
3036-404: The livery of Kingfisher Airlines following the merger. The tail, engines and underside were painted red, and the kingfisher bird logo was applied to the tail. The former livery consisted of a fading blue cheatline and, on the tail, a blue circle with two yellow hands joined at the thumb like the wings of a bird. The airline's mascot, R. K. Laxman 's The Common Man , was often incorporated into
3102-485: The long run since they are extremely efficient in terms of fuel, training, maintenance, and crew costs per passenger. In 2013, ch-aviation published a study about the fleet strategy of low-cost carriers. They stated that major LCCs that order aircraft in large numbers get large discounts for doing so, and due to this they can sell their aircraft just a few years after delivery at a price high enough to keep their operating costs relatively low. Aircraft often operate with
3168-666: The low-cost carriers by enabling web check-in, encouraging machine check-in at the airport, and generally reducing ground personnel cost. The number of crew members follow international conventions that require one flight attendant per 50 passenger seats and two pilots. However, carriers can save money by reducing the amount of ground crew. Carriers hire pilots through third-party agencies based in low-tax countries without benefits for sick pay, pensions or health insurance. Traditional carriers have also started to try this, including starting their own low-tax agencies. These agencies can easily find less experienced co-pilots and cabin crew, as
3234-493: The nation's second largest carrier in 2007. As it grew, other low-cost carriers emerged in the Indian market; SpiceJet , GoAir , IndiGo and JetLite were all launched between 2005 and 2007. Air Deccan was the first low-cost carrier in India. Launched amid a booming Indian economy and a growing middle class , the airline targeted middle class travellers with its low fares and extensive route network. Tickets cost around 30% less than those of full-service airlines and cost about
3300-418: The old livery. It was chosen in May 2005 to emphasise Simplifly Deccan's goal of making air travel more accessible. At the time it ceased operations, Simplifly Deccan flew to 52 destinations across India. It had bases at seven Indian cities: Ahmedabad , Bengaluru , Chennai , Delhi , Hyderabad , Kolkata , Mumbai . The airline opened a base at Thiruvananthapuram in April 2006; however, it ended flights to
3366-445: The other hand, wanted to use Kingfisher's codes. On 29 August 2008, both airlines started using Kingfisher's codes. Simplifly Deccan also migrated to Kingfisher's reservation system and was renamed Kingfisher Red . Through the merger with Kingfisher Airlines, Simplifly Deccan became a subsidiary of United Breweries Group. Headquarters were located on Cunningham Road in Bengaluru, the capital of Karnataka . Simplifly Deccan adopted
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#17330922437263432-424: The post– Vietnam War era did this business model escalate. Through various ticket consolidators, charter airlines , and innovators in lower-frills flying, such as Channel Airways and Court Line , the traveling public had been conditioned to want to travel to new and increasingly further away and exotic locations on vacation, rather than short-haul trips to nearby beach resorts. The world's first low-cost airline
3498-868: The profession is popular, but there are problems for low-cost carriers to recruit and keep captains who have to be experienced. At IATA , a LCC operation is defined as including the following characteristics, at least to some degree: While low-cost airlines differ in service offerings, by definition they feature most of the following: Not every low-cost carrier implements all of the above points. For example, some try to differentiate themselves with allocated seating, while others operate more than one aircraft type, still others have relatively high operating costs but lower fares. JetBlue , for instance, has in-flight entertainment in every passenger seat. Other airlines are limited on what points they can implement based on local laws. For example, Irish low cost airlines cannot remove window blinds from its aircraft, as they are required by
3564-431: The quarter ending 31 March 2007. Air Deccan was rebranded Simplifly Deccan in October 2007 and adopted Kingfisher's livery and flight attendant uniform. In December 2007, the airlines announced that they would merge into a single corporate entity while maintaining separate brands. The airline business of Kingfisher Airlines Ltd was merged into Deccan Aviation Ltd on 1 April 2008. The charter business of Deccan Aviation Ltd
3630-585: The same as or less than first class rail tickets. Air Deccan focused on providing air service to underserved airports across the country, where competition was low and the airline could acquire a loyal customer base. G. R. Gopinath claimed he wanted to make air travel accessible to every Indian. It is not the elite that I consider as my customers. It is the humble cleaning women of my office, the auto-rickshaw driver and other such people that we would like to cater to. We want them to dream that they too can fly, and we want to make that dream happen. The airline operated
3696-446: The same route. From 28 June 2007, a second long-haul route to Vancouver, British Columbia , was started. The company ceased operations on 9 April 2008, after over a billion Hong Kong dollars in losses. On 2 November 2007, AirAsia X , a subsidiary of AirAsia and Virgin Group flew its inaugural flight from Kuala Lumpur , Malaysia, to Gold Coast , Australia. AirAsia X claims that it is the first true low-cost long-haul carrier since
3762-403: The second half of 2013 after Boeing resumed deliveries following extensive problems and delays. It served direct routes from the United States ( Los Angeles , Fort Lauderdale , New York City , Oakland-San Francisco , Boston and Orlando ) into Scandinavia ( Oslo , Stockholm , Copenhagen ). In January 2021 Norwegian announced the immediate cessation of their long-haul operations, along with
3828-665: The world. In 2005, UB financed a takeover of the spirits business of the rival Shaw-Wallace company, giving it a majority share of India's spirits business. The group no longer owns the Mendocino Brewing Company in the United States. The UB Group was founded by a Scotsman , Thomas Leishman, in 1915, when he brought together Castle Brewery and Nilgiris Breweries (1857), Bangalore Brewing Co. (1885), British Brewing Corp. (1903), and BBB Brewery Co. Ltd. (1913). The Group took its initial lessons in manufacturing beer from South India-based British Breweries. At 22, Vittal Mallya
3894-523: Was Bill Clinton , later US President. The first airline offering no-frills transatlantic service was Freddie Laker 's Laker Airways , which operated its famous "Skytrain" service between London and New York City during the late 1970s. The service was suspended after Laker's competitors, British Airways and Pan Am , were able to price Skytrain out of the market. In the United States, airline carriers such as Midway Airlines and America West Airlines , which commenced operations after 1978, soon realized
3960-494: Was Pacific Southwest Airlines , which started intrastate flights connecting Southern and Northern California on 6 May 1949. PSA's light-hearted atmosphere and efficient operations were a runaway success early on, and inspired a number of low-cost start-ups across the United States, beginning in the mid-1960s. Herb Kelleher studied the success of PSA, and copied their culture closely when he established Southwest Airlines in 1971. The first airline to offer cheaper transatlantic fares
4026-492: Was Icelandic airline Loftleiðir in 1964, often referred to as "the Hippie Airline". Many young Americans travelled to Europe after graduation, to experience the "old-world culture", and they were more concerned with getting there cheaply than comfortably or even exactly on time. Loftleiðir were not famous for speed or punctuality, but flying with the company became a sort of rite of passage for those young "hippies", one of whom
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#17330922437264092-468: Was a full-service carrier. Nevertheless, negotiations began at the end of the month, and Kingfisher parent United Breweries Group purchased a controlling 26% stake in Deccan Aviation on 31 May. Gopinath had changed his mind upon understanding that the two airlines would continue to function independently. In addition, he needed to raise funds; Air Deccan had lost ₹ 213 crore (US$ 26 million) during
4158-687: Was also established, resulting in the creation of an Indian pharmaceutical company, Aventis Pharma . (Currently the Indian subsidiary of the global pharmaceuticals major Sanofi-Aventis ). UB Group had a relationship with United Spirits Limited , now majority-owned (54.8%) by Diageo . The conglomerate was headed by Vijay Mallya , who left India on 2 March 2016, allegedly to escape legal action by Indian banks to whom he owed an estimated ₹9,000 crore (US$ 1.1 billion) in loans. In June 2021, Heineken N.V. bought out Mallya's 15% stake in United Breweries Limited for ₹5,825 crores (US$ 730 million) from
4224-455: Was closed for almost five hours following the incident. In the end, the aircraft was sold to be used for spares. Soorarai Pottru , a Tamil -language film starring Suriya , was inspired by the initial events of Air Deccan and its founder Cpt. G. R. Gopinath . Sarfira , a Hindi -language film starring Akshay Kumar , was inspired by the initial events of Air Deccan and its founder Low-cost carrier The term originated within
4290-475: Was elected as the company's first Indian director in 1947. After a year, he replaced R. G. N. Price as the company's chairman. United Breweries made its initial impact by manufacturing bulk beer for the British troops before independence which was transported in huge barrels or "Hogsheads". Kingfisher, the Group's most visible and profitable brand, made a modest entry in the sixties. The company expanded greatly during
4356-521: Was spun off into a separate company known as Deccan Charters Ltd . The combined company utilized Simplifly Deccan's operating permit , allowing it to launch international flights in 2008; Simplifly Deccan would complete five years of operation that year. Mallya introduced major changes to the Simplifly Deccan brand in order to reduce losses and improve the airline's reputation, which had declined because of poor on-time performance. He also wanted to give
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