British Airways in talks with IndiGo for alliance: Report

British Airways in talks with IndiGo for alliance: Report Zeebiz Bureau

London: India's biggest carrier, IndiGo is in talks with British Airways over a ticketing and baggage sharing agreement, a news wire reported on Tuesday.

Known as an interline agreement, it allows customers from two airlines to buy connecting flights on one ticket. Such pacts are often precursors to code-share agreements, in which carriers sell tickets on each other's airline.

The arrangements increase revenue because airlines can offer more destinations, while keeping a lid on costs, as they don't need to service all the planes themselves.

Based outside New Delhi in Gurgaon, IndiGo was founded by Rahul Bhatia's InterGlobe Enterprises, an aviation and travel services firm, and former US Airways (LCC.N) CEO Rakesh Gangwal.

The Indian aviation market, burdened by billions of dollars in debt and high costs of operations, has been abuzz with talks of partnerships with global carriers since India relaxed investment rules in September.

With Agency Inputs