High Oil Prices Hit India's Airlines

Rising fuel costs have grounded the high-flying ambitions of India's carriers and have sent their stocks into a tailspin

India's airlines have been flying high these past years as deregulation powered a booming industry. Over the past four years, six new airlines took off from Indian tarmacs, serving 100,000 passengers a day. In 2006, India's airlines made headlines when they ordered 400 new planes—$37 billion worth of flying machines—as the industry became a magnet for pilots from all over the world.

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