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IndiGo and the ultra-competitive Indian market — December 2018

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IndiGo has suffered a bad quarter thanks to an ultra-competitive and highly price-sensitive domestic Indian market. Is the airline’s continued bullishness about its future justified?

IndiGo was founded by Rahul Batia, owner of Indian conglomerate InterGlobe Enterprises, and Rakesh Gangwal, a former CEO of US Airways, in 2006. Today the LCC operates a fleet of 189 aircraft (160 of which are on operating lease), comprising 127 A320ceos, 50 A320neos and 12 ATR 72-600s. The fleet increased by more than a third (48 aircraft) over the last 12 months, and will increase further thanks to huge outstanding orders for 355 A320neos, 25 A321neos and 38 ATR 72-600s.


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