Previous Year Question
After the merger of Air India and Indian Airlines, the new entity is now known as
Indian Airways
India Airlines
Air India
Indo-Air
Correct Answer: C
Detailed Solution
The Government of India completed the process of the merger of Air India and Indian Airlines in 2007. The two State-owned airlines were merged into a new company called the National Aviation Company of India Limited (NACIL).
The important point in this question is the distinction between the legal name of the company and the brand name of the airline. After the merger, the corporate entity was called NACIL, but it was decided that the merged airline would operate its domestic as well as international services under the “Air India” brand.
NACIL was incorporated on 30 March 2007, and the legal process for the merger of Air India and Indian Airlines was completed in August 2007.
The objective of the merger was to integrate the domestic and international networks of the two airlines, make better use of their aircraft fleets and other resources, and obtain synergies in procurement, sales and distribution.
Current Status
Air India is no longer the same government-owned airline that existed at the time of the question. Its ownership passed to the Tata Group in 2022. Subsequently, Vistara was also merged into Air India on 12 November 2024, and its operations were integrated into Air India.
Air India + Indian Airlines → NACIL (corporate entity) → Brand name: Air India