Air India joins Star Alliance to boost revenue, profile
State-run national carrier Air India said on Thursday it would join the Star Alliance global network of 19 airlines to help it take on growing competition at home and abroad.
Star Alliance, which includes Lufthansa and UAL Corp's United Airlines, allows airlines to widen their reach and boost revenues and customer loyalty as air miles can be transferred between group members.
"India has long been on the radar," Glenn Tilton, United Airlines' chief executive, who chaired the Star Alliance annual board meeting in Beijing, said in a statement.
He said the agreement would enable the grouping's customers to receive additional benefits when travelling to, from and within India. The decision to accept Air India's application was taken at the meeting.
In August, the government approved the merger of state-run international carrier Air India and predominantly domestic flier Indian Airlines.
The merged airline, which now flies under the Air India brand, has a fleet of 112 aircraft and has on order another 111 Boeing and Airbus planes.
The airline faces rising competition from top private carrier Jet Airways Ltd and a host of foreign airlines flying into India, where a booming economy has boosted business and leisure travel.
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