How a giant US corporation bankrupted GoAir

Рет қаралды 390,861

Жыл бұрын

Behind the scenes story of how the faulty engines of world's biggest manufacturer crushed India's GoFirst airline.
#goair #gofirst #indianaviation #raytheon
Sources
Economic Times
To Take Off, Go Air Must Get Relief from Singapore Court; Joel Rebello & Arindam Majumder; July 4, 2023
Wadia Co May Take Centre Stage asGo First’s Bankers Face Off; May 31, 2023
Big 4 auditors eye Go First’s resolution professional job; Mohit Bhalla; May 24, 2023
Go’s suspended board files caveats against lessors; May 24, 2023
Jeh Wadia No Longer on GoAir Board; May 16, 2021
GoAir Charting A New Course; Anirban Chowdhury & Mihir Mishra; May 8, 2021
Mint
Go First may return to skies with CFM-powered A320s; Anu Sharma & Mihir Mishra; July 4, 2023
‘Airlines still emerging from the blow of covid pandemic’; Anu Sharma; June 27, 2023
Wadias to sue PW: Anu Sharma & Mihir Mishra; June 20, 2023
Why Nusli Wadia’s sons couldn’t save Go First; Mihir Mishra & Varun Sood; May 26, 2023
Jeh Wadia leaves boards of Bombay Burmah, Britannia; Varun Sood; Aug 25, 2021
Business Standard
Battle for skies: Tatas kick-start Air India fleet expansion via leasing; Deepak Patel & Aneesh Phadnis; Sep 12 2022
Business Today
How GoAir managed to stay profitable when most rivals lost money; Manu Kaushik; Jan 10, 2015
Zee News
Go First Crisis Explained: Here's How The Airline Became 11th Carrier To Fail In A Decade; May 21, 2023
BBC News
Go First: What went wrong with the Indian airline? Archana Shukla; May 5, 2023
The Week
Tricky embrace; Sanjib KR Baruah; June 25, 2023
The Flying Engineer
Pratt and Whitney PW1100G Geared Turbofan Engine
theflyingengineer.com/flightd...
KZfaq
Pratt & Whitney PurePower Engine
Pratt & Whitney PW1000G PurePower Engine How It Works
• Pratt & Whitney PW1000...
CFM International
How does a CFM56-5B work ?
• How does a CFM56-5B wo...
siac.org.sg/
www.knowindia.net/aviation7.html
www.prattwhitney.com/

Пікірлер: 202

@bindaasmard664 Жыл бұрын

I did a year long internship with Air India at their Old Airport, Mumbai based MRO (Maintenance Repair and Overhaul) base, this was one of its kind and the largest MRO facility on planet, spanning more than 1500 acres near airport in Mumbai. Within MRO we had EOD (Engine Overhaul Division) where we used to receive engines from other airlines who did not have such technical capabilities. P&W was a usual suspect when it comes frequent breakdowns, GE engines were the most reliable and far superior compared to P&W and RR (Rolls Royce), GE was the only company at that time to provide engines to Boeing 777ER which was newly launched state of the art flying machine onto which I got a chance to work on. P&W is #2 when it comes to global market share, they have mammoth presence in US military industrial complex than in civil aviation, its exactly opposite for GE. P&W is the main engine manufacturer for F-35 jet which has ran into so many technical issues related exclusively to the engine. Thanks to their political connections and lobbying in US congress P&W always get away without a scratch even in this US court proceedings they would come out unharmed.

@earth2k66 Жыл бұрын

P&W is just a marketing gimmick.

@Einstein9433 Жыл бұрын

Go is also getting away with a lot because of the lobbying with the govt.

@bindaasmard664 Жыл бұрын

@@earth2k66 No its not, P&W has brilliant legacy that's why they survived in the industry for so long. They have built exceptionally brilliant engines for legendary military jets like F-16/15 and stealth F-117, C-17 globemaster and F-22 raptor. Every big company goes through bad phase even Boeing got into trouble with their 737 passenger aircraft not too long ago.

@bindaasmard664 Жыл бұрын

@@Einstein9433 Lols, what's the point in making hue n cry about pvt entity lobbying gov in this filthy third world country ? we all know Vijay Mallya owned Kingfisher defaulted in some 9000 crore loan and poor guy had to flee the country but how many of you know that our own gov owned (not anymore in 2023) Air India (AI) had more than 61000 crore loan ?? before Tata could take over AI they asked gov to settle the dues guess what the gov used tax payers money to wipe out AI's balance sheet and handed it over to Tatas, BTW it was Tatas who founded AI but as Indian opted suicidal path of socialism after 1947 gov forced Tata to hand over AI to gov and literally screwed it over the time period. You won't realize whom gov used appoint to run AI, take a wild guess.......it was a brainwashed IAS guy, yup you heard it right, MD of AI used to be an officer from IAS cadre who has no freaking clue on how TF aviation industry works let alone running massive airline in highly competitive market.

@earth2k66 Жыл бұрын

@@bindaasmard664 As if Apple fanboys were not enough, these days we got fanboys of P&W. What a great to be alive.

@Proll3T Жыл бұрын

Amazingly Air India did not go for pratt and Whitney engines despite the cost efficiency they did not opt for their engine that's quite remarkable. How india operates now has changed alot. Kudos

@sagardesai15may Жыл бұрын

which engine did they go for?

@003somnath 11 ай бұрын

@@sagardesai15may GE and RR

@kuchbhikahinbhi712 Жыл бұрын

Running business is very hard and many times businessmen are not at complete fault but market & circumstances handicap them. Go Air is the prime example. Hope they will revive soon.

@Thorium1996 Жыл бұрын

@kuchbhikahinbhi712 I don't blame go first considering their small operations... But its a famous saying that "never keep all your eggs in 1 basket"... Indigo followed that strategy by using 4 different types of engines from 3 different companies so they don't face this exact scenario

@kuchbhikahinbhi712 Жыл бұрын

@@Thorium1996 yes agree

@aqeelkhan4350 Жыл бұрын

Ex Go Air staffer here. Keep in mind that the employees haven't received their May month salaries yet - we're in the middle of July now. The management isn't giving any information about their plans going forward, it's just hearsay the employees have to go by. Those who are wanting to abandon ship too aren't being let go. Managers wanting to be in the good books of the management, in the hopes of paybacks in the future, are choking the future of the employees. It is indeed a very dire situation for it's 5000 odd employees.

@BisboWorld Жыл бұрын

That's a very sad plight, indeed. Hope things get sort out for the staffers.

@rajaaditya0021 11 ай бұрын

@@BisboWorld would also like you to focus on videos related to governance, updates with respect to present development scenario, and project stats for promises made and actual achievable. Thanks!

@raumshen9298 7 ай бұрын

I hope you got your salary

@ShowToSpeak Жыл бұрын

Some fact checks required here. There was a general problem in Go Airlines regarding finances. It was not their first default of a payment and allegations of malfeasance in funding. The airline never paid its staff on time either. The company already and always had the culture of default. P&W despite the hole that it is, they did make a claim submission that Go Airlines was not regular in payment post deliveries - that was a reason the court was not keen on the damages ruling. Go Air had the history of payment's default. Also, one of SEBI's primary objections to the listing was due to the fact that the company had changed its name right before the lead up to IPO. That spelled an immediate disaster for go's credibility with vendors. Go had also enough time in diversifying the engine portfolio. The CFM LEAP engine as you said is by no means conventional engine, in fact Safran did consider the possibility of an additional reduction gear stage but shelved the proposal. Instead they continued with a lower by-pass engine but better materials, faster engine spool up and reliability, to compensate. That is exactly why the Air India order book had place 0 orders to P&W engines. Pratt & Whitney had already been kicked out of the widebody market by 2010 for the very same reason. They are just not a reliable company, and Go promoters knew this. They still went for the engines because, you know, misplaced priorities. The reason the Senior Wadia had their own son ousted is for a very strong reason. No smoke without fire.

@agytjax 11 ай бұрын

Great write-up. Looks like @bisbo have not their homework right. It is interesting how these channels with huge subscriber base can mislead people with "one side of the coin" stories. Granted that P&W is a part villain. But GoAir should have done their research before foolishly placing such a giant order to fit ALL their planes with just one supplier. The word that GoAit should learn from others is Diversification. Such a small, but effective strategy.

@rameshjha2264 Жыл бұрын

Company is right and Pratt and Whitney is liable for damages

@M3ganwillslay Жыл бұрын

LoL ..good luck 😂..

@nishant54 Жыл бұрын

Absolutely yes

@nitinbansal1631 Жыл бұрын

Pratt and Whitney should be blacklisted by India. What a crappy engineering they did.

@M3ganwillslay Жыл бұрын

@@nitinbansal1631 LoL 🤣 remember odisha train wreck .

@balenci_tyaga Жыл бұрын

🫡 Thank you very much your honor. This was all that was awaited

@jaysoni5 Жыл бұрын

Surprised that P&W is so relaxed about the matter. Haven't heard of anything that's done by either the US or IN govt to pressurise them or compensate!

@M3ganwillslay Жыл бұрын

Indian govt has a lot of corruption in it .if they sue Pand W all their fraud details will come out . Just like how adani shut up when hindenberg said they were ready for a lawsuit 😂😂😂 funny hindua

@ghazanfarabbas6531 Жыл бұрын

and the refund for all the flights that were cancelled hasn't been provided yet. GoFirst is sitting on the millions of Rupees people paid for the flights which never took off. There's no timeline for when we will get our money back even after two months of airline going down. Should have mentioned this in the video too.

@nishant54 Жыл бұрын

They had no money to be sitting on you fool 😂

@sidv4615 Жыл бұрын

1:55 In 2016, Go First signed an order for 72 a320neo aircraft taking the total number of orders to 144. I think Bisbo confused number of planes ordered with with fleet size.

@tanmoypait462 Жыл бұрын

You should have added that they havent refunded for the cancelled flights too, thats around millions

@BisboWorld Жыл бұрын

Yes we should have added that too

@muhammadfaheem3746 Жыл бұрын

Interesting. Always had a bad experience with GoAir. Their food was always cold, but that was probably the better end of it. Worse, was booked onto Vistara once but due to change in timings for comnecting flights, I was moved onto a GoAir flight. And that flight was.... troubled to say the least. No air in the cabin, and the plane was taxing around for well over 40 mins before everyone threatened the break the windows, then they let us out. Had they taken off, could've ended up like Helios 522. That wasn't the end though, those bastards didn't even provide us hotels after leaving us stranded overnight. Lowkey happy they're drowning rn 😂

@BisboWorld 11 ай бұрын

Lol

@krishnalulla1907 Жыл бұрын

You should make a video on Jet Airways current situation as well would love to know what’s happening behind the scenes

@gothicmr.conquerers5461 Жыл бұрын

I’m so happy to see this airline go to dogs. Worst service bad in-flight experiences, they were rickshaw services than a flight! None of them knew how to behave with their customer! I’m gonna sit back relax with a beer watching this video!

@cybersentient4758 Жыл бұрын

Lmao Indian carriers are terrible (except Jet Airways, they were legendary)

@y.k.2726 3 ай бұрын

@@cybersentient4758 Vistara too.

@VijaySharma-mv6we Жыл бұрын

Forget blaming Pratt and Whitney, sharing the core reason thst staff were not happy at all . The company never believed in motivating its staff, Crew, Airport, Operations , sales and Marketung are the backbone of any Airline . If these departments are not happy then what will company do with keeping Aircafts at Airport . Sales and Marketing were treated in a bad manner ..Management claims they had experience, but with Overconfidence in mind, not upgrading on few things . That's the reason Airline went down. Other reasons given are mere excuses to media .

@m8hzr Жыл бұрын

The animation is so good yaar

@BisboWorld Жыл бұрын

Thanks 👍

@bkindustries7796 Жыл бұрын

Really good case study we must appreciate your creativity while making video animation.

@BisboWorld Жыл бұрын

Many many thanks

@AN-fu2op 11 ай бұрын

Very well-explained, and the animation is excellent!

@BisboWorld 11 ай бұрын

Thank you

@surajnair7728 Жыл бұрын

Such companies should face such huge issues, such a fraud and hidden charges in domestic flights

@risolution Жыл бұрын

Top-notch animation

@markdmartin77 11 ай бұрын

Superbly captured my friend. Well done.

@BisboWorld 11 ай бұрын

Thanks

@timfaker8839 Жыл бұрын

Awesome!

@sujanbhattacharjee3871 Жыл бұрын

Insightful

@abhijit222910 Жыл бұрын

Very informative..thank you

@BisboWorld Жыл бұрын

You're welcome

@fevicoI Жыл бұрын

Why did they go all in on one engine provider? Screw them.

@MrBalasrini Жыл бұрын

Fantastic story telling

@BisboWorld Жыл бұрын

Many many thanks

@brucewayne5916 Жыл бұрын

Great animation

@agarwalsushant Жыл бұрын

Thanks for the quick and effective explanation.

@BisboWorld 11 ай бұрын

Welcome

@arifbawa655 Жыл бұрын

Sad to see one more private airline bite the dust. Pratt & Whitney is mostly responsible for this scenario.

@vipulsingh1993 Жыл бұрын

We work in Go air didn't recieved our salaries from last 3 months neither our resignation are getting accepted 😢

@BisboWorld Жыл бұрын

😰

@nishant54 Жыл бұрын

Then make it accepted by court.

@guruofficial2 10 ай бұрын

Bismillahirrahmanirrahiim. I subscribed and almost every I watch Bisbo's video, no matter I understand the story or not, no matter the case spread to Indonesia, where I live, or not. I just like to listen your voice, the way you telling the story, just like my father or mother, told me stories before I slept, when I was at the age of 1, till 5 years old. I also like your animation. Best regards from Indonesia, South East Asia. Wslm.

@biggles4705 Жыл бұрын

Simple summary Its difficult doing business in india The first few years may be easy . A regime changes ,the business owners ruffle a few wings in the regime closer to the election, Sadly the consumer pays then ,now and later . Hey Ram !!

@SLMK-rk7ht 11 ай бұрын

The animation is excellent!!

@BisboWorld 11 ай бұрын

Thank you

@wiseadvice......6510 Жыл бұрын

Twinkle twinkle little star, in respect of Case studies this channel is a Superstar....

@BisboWorld Жыл бұрын

Thanks

@wolf_gaming2001 7 ай бұрын

It's 01 Dec 2023. Gofirst didn't fly CEO re-signed .Employees are not paid a salary for 7 months ( 99% left). There is no hope😢

@arsysfoodtech5039 Жыл бұрын

I wish they come back

@Aviator77186 11 ай бұрын

Amazing content

@BisboWorld 11 ай бұрын

Thanks

@ismailkizhakkail Жыл бұрын

nice graphics

@sid.7146 Жыл бұрын

Bisbo make detailed video on portuguese inquisition goa

@MrStealthy007 7 ай бұрын

As the old saying goes, "To become a millionaire in the civil aviation industry, you must begin with a billion."

@hellohi7465 Жыл бұрын

At 1:55 the information shown is incorrect, GoFirst never had a fleet of 144 aircraft.

@PHOENIXGAMING4HD Жыл бұрын

no wonder airline seems like a luxurious business but even best of best peeps failed in airline business.

@mitchrich6 Жыл бұрын

Reminds me of Anand Mahindra answer for starting an airline.

@greenesyt563 Жыл бұрын

thats why you dont buy engines from prat and whitney

@lxx2100 Жыл бұрын

Nice video..loved it

@BisboWorld Жыл бұрын

Thank you 🙏

@christopherpetrov2355 11 ай бұрын

Got interested when I saw Nusli Wadia name came forward!! Seriously, Business is not for everyone.

@VRS_12369 11 ай бұрын

This channel has the ability to attract more audience if video will come in Hindi because this is India where majority likes their regional or local languages

@rosybinoyfaria Жыл бұрын

@bisbo can you make a video on Manipur Issues and the reaction 9f politians pleaseee

@er404 11 ай бұрын

soo basically customers wont get cancellation money for tickets 😢

@neddiego2570 3 ай бұрын

Raytheon is not the biggest defense manufacturer, that's Lockheed Martin

@xjclk 6 ай бұрын

Go Air should have gone directly to US . No point wasting time in singapore

@c0r5e Жыл бұрын

Pratt and Whitney engines are known for unreliability. GE and Rolls Royce engines have better reliability

@rafaelwilks 9 ай бұрын

Indeed - the P&W GTF is even worse than the Trent 1000

@cut-a-lyst Жыл бұрын

goair is one of the worst airline in terms of customer service their pathetic behavior was revealed during covid

@sunil-apte Жыл бұрын

GoAir pushing to blames on Pratt & Whitney, They already have internal issues, We known about Wadia company how it operates.

@murthys743 Жыл бұрын

lmao, i give you a cake spit by me on your birthday , now will you throw the blame on me or call it your negligence.

@sumitanne7818 2 ай бұрын

It's all Pratt and Whitney's mistake... If anyone has to be punished it's the engine manufacturer and Go Air to some extent because of their foolish risk of buying same engines for their airlines..

@crypton5344 Ай бұрын

but go air could've tackled all these issues too, its their fault as well

@sumitanne7818 29 күн бұрын

@@crypton5344 how would you tackle the issue of 90% of ur planes are unflyable and you have to pay salaries, fuel cost, airport cost, etc

@crypton5344 29 күн бұрын

@@sumitanne7818 think of indigo case, they should logically be bankrupt too, but they haven't, and its because they tackled this p&w issue quickly, with changing their engine order to cfm rather quickly, go air could have done the same, or lease older aircraft like what indigo is currently doing right now Also for go air, they had 50% of their fleet grounded

@jonamrock Жыл бұрын

My ticket for the cancelled flights are not refunded by the company 😢

@shreyashnaikare359 Жыл бұрын

Please make a video on Manipur roits and France roits

@BisboWorld Жыл бұрын

Manipur one will come out sometime

@cadeepakrameshagrawal6414 Жыл бұрын

This video was very fast . had to pause to read and reverse to hear what was said . Please look into the pace of videos.

@BisboWorld Жыл бұрын

Thanks for the feedback. We will look into it.

@timfaker8839 Жыл бұрын

abey bhai tu sunta dheeme hai. 2x speed normal speed hai iss video ki

@advaitchandorkar9101 10 ай бұрын

why not file a lawsuit against P&W in US courts ?

@kokofruitkokotree 5 ай бұрын

I think the airline should be revived and should operate the remaining Airbus A320s. Infact if Air India express ever plans on buying those planes, it would be fine. Cuz putting them to eat dust is a waste of resource. India needs more planes. Better to use the planes that are grounded.

@abhinavbajaj Жыл бұрын

Plz make video on France riots in English and Hindi

@RB-vy6ei 11 ай бұрын

The Government must step in to penalise and recover damages caused by P&W to Indian aviation industry.

@shah_123 Жыл бұрын

Rajan Pillai's soul didnt get moksha.

@BisboWorld Жыл бұрын

Yes bro, that was a sad episode

@jonathanalvinrays..7070 Жыл бұрын

Indigo be like: E bhai, majja aaya??? Mai toh challa badi gaddi leke.....

@nkronline 8 ай бұрын

Well it was UTC not raytheon.

@abhilashsaleendran Жыл бұрын

Wadias a prodigy of jinna

@georgecarlinn6288 11 ай бұрын

You meant progeny

@jonathanalvinrays..7070 Жыл бұрын

Indigo is smart and clever....

@agytjax 11 ай бұрын

The Wadia's (especially Jeh) lacked the business acumen to foresee the risks of running airlines. What can explain his decision to go with P&W engines to power all his fleet, despite it being an open secret that they were - and still are -the worst reliable engine suppliers. He should have diversified and run the airlines with a modicum of commonsense and professionalism (as hid Dad would say). Good business don't wait for courts to reimburse you for the damages; with some earthy wisdom and foresight, they pre-empt such crisis !

@rafaelwilks 9 ай бұрын

Go Air - a trash airline complete with trash engines

@DreamCatcher-wg1bk 11 ай бұрын

This is rather a very linear claim to fault another company for your bankruptcy unless you are a competing company which ofcourse is not case here, and should not be the main reason thou it may be a factor. A company downfall always lies in its inability to foresight and out stragetize leading to losing its maneuverability and direction which often result in hole-up itself against the wall and eventually fail. If you could not diversify your risk or rather put yourself in that situation, its all your fault. Blaming your customer, your partner, your vendor, your competitor etc for your fall is the last thing you should be doing in the Market. Market is cruel and will always weed out those that falters.

@skmdmnd Жыл бұрын

One day you will be definitely trending

@faisalabdullahfarhanbba-3010 Жыл бұрын

Even the Wadia s are in trouble

@Srinivasakiran Жыл бұрын

The headline is misleading! It can say many things, like how Indian laws and security of investors money is fragile and or how the US as a nation played a role in this. Neither are true don’t you think?

@Sk-lm3kv Жыл бұрын

Wow so US company can do whatever they want and poor Indian company has no support from anywhere not even from Indian govt 🙁

@donbharij9589 Жыл бұрын

Pratts turned out to be Pratts, it's all in the name, should have gone to RR

@rayhans7887 11 ай бұрын

They would have gone bankrupt either way

@rafaelwilks 9 ай бұрын

@@rayhans7887 if they had CFM LEAP power, they would definitely have had a good chance to survive. With P&W, they were doomed beyond any reasonable hope of survival.

@harshramuka2398 6 ай бұрын

Always go with Rolls Royce engines they are expensive but very reliable

@SEOPPC101 11 ай бұрын

Wadia Group, Jinnah Family now getting Karma for playing with their own people.

@rafaelwilks 9 ай бұрын

Go Air is far from the only airline to suffer from P&W's trash engines. For instance, and this is just one example out of many, for a while in May, KLM had to ground a third of their P&W GTF-powered E190-E2 fleet. In fact, the Iraqi civil aviation authority grounded all P&W GTF engines in the country because of the issues on the A220 aircraft operating there. GE for the win!

@jashansogi2641 Жыл бұрын

1hr ago 3.9k views

@rapitorf2373 11 ай бұрын

He kicked son out ...almighty kicked him out ...hence Great airline comes to end

@ankitekka905 11 ай бұрын

Ye sb toh theek h..bas mere ticket k paise refund kr do GoAir😢

@sharanbhimalli1974 Жыл бұрын

make video of game of thrones going in Maha

@akshat.jaiswal Жыл бұрын

P&W should be held liable

@loopbloke 7 ай бұрын

They deserve it or may be even more worse... For murdering Rajan Pillai and the "shady" take over of britannia biscuits. They even bullied and tried to bring down Ambani at some point. Luckily Dhirubhai survived.

@franciskundukulangara7923 Жыл бұрын

So many PRIVATE Airlines have gone bankrupt in the recent years, which teach us all that airline business is the government's business, if it has to sustain long term, and private sector cannot overcome if huge losses occur.

@singhksudhanshu 11 ай бұрын

Why should common men including poor will pay for losses via tax ( indirect taxes too)?

@kunalpanwar3098 Жыл бұрын

Running airlines is not easy task in india

@NINJ4Plays Жыл бұрын

Indigo > Go First

@saurabhchelleng9713 Жыл бұрын

Singapore arbitration is the worst thing in the world favoring only Americans and Europeans at the cost of Asians. So never hurry to do business thru Singapore. Just skip and make a better trade City in the country itself. Make in India and trade through India. Let the engine makers or airline manufacturers bear the brunt of global customer churns. Also, never put your all eggs in one basket and don't pay a sizeable sum in the beginning as down payment, just demand and do a trading deal negotiation to ensure there is ample delivery in fly away condition with warranty with time based penalties before committing to pay a huge sum in the beginning of the deal.

@aforairplane Жыл бұрын

I am Indian Airplane spotter 😊❤😊

@mowglim4445 6 ай бұрын

Not very accurate, they never had 144 aircraft, they didn't pay their pilots and other employees. Technically they were paying only for the aircraft during the period.