The central government has decided to transfer the debt and assets of Air India to a special purpose vehicle (SPV) before selling the national carrier. Of the total debt of Rs 520 billion, working capital loans of about Rs 330 billion will be transferred to the SPV, which will be managed by the government. The remaining debt, which is against aircraft purchases, will remain on Air India’s books. Meanwhile, the government is also planning to sell some of Air India’s real estate directly to expedite the divestment process. These properties have been leased to Air India by the government for a period of 99 years and include two properties in Delhi owned by the Ministry of Urban Development. Besides, the airline is planning to renegotiate its agreements with vendors and suppliers within 12 weeks to save operational costs of up to Rs 5 billion.