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Ailing state carrier Air India is estimated to report a loss before tax of Rs 69.94 billion for FY11, the civil aviation minister said on Wednesday.

"The turnaround plan submitted by Air India envisages substantial equity support," Vayalar Ravi told parliament in a written reply.

A panel of ministers has been holding meetings to discuss infusing equity in loss-making Air India, and is in the process of preparing a note to the federal cabinet, a source familiar with the discussions said last month.

At June end, Air India had outstanding dues of Rs 8.34 billion on airport charges, while private carrier Kingfisher Airlines had dues of Rs 2.05 billion, Ravi said on Wednesday.

Jet Airways, which also controls low-cost JetLite, had combined dues of about Rs 515 million, Ravi said in response to a question on airlines' dues on account of landing, parking and other charges.

Air India is in talks with banks to restructure $4 billion of working capital debt and is in the midst of implementing a turnaround plan which would focus on a hub-and-spoke route model, cut costs by redeploying staff and unload non-core real estate.

The airline has not posted a profit since merging with former duopoly partner Indian Airlines in 2007 and relies on handouts from New Delhi to survive. It is behind on its payroll obligations and was forced one day in May to cancel a handful of flights because it had not paid its fuel bills.

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