www.buddhaair.

com

17

Ye

rs

of

Trusted Flying

company 20
profile 14

Buddha Air
facebook.com/buddhaair

@airbuddha

@buddhaairnepal

page

company
summary

02

Buddha Air
Year of Operation

11.10.1997
Executive Chairman

Surendra Bahadur Basnet

Managing Director

Birendra Bahadur Basnet

Type of Business

International/ Domestic
Schedule Flight Operator
No. of AircraftS

EIGHT
TypeS of AircraftS

Beech 1900D (2)

ATR 42-320 (3)
ATR 72-500 (3)

uddha Air is the largest privately

owned airlines in Nepal. It has a vision
to provide the safest, most reliable and
comfortable means of air transport, and
has always been committed to fulfilling
this vision. After starting its operation in
October 1997, it has risen to become one
of the most recognizable brands in Nepal.
Since its inception and 17 years of service,
safety has always been an imperative for
Buddha Air. The consistent quality service
and attention to safety has won over the
trust and confidence of the customers
making it a preferred brand.

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03

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destinations /
aircrafts

04

Route & Destinations

Fishtail &
Annapurna
Flight

Dhangadhi

Pokhara
KATHMANDU

Everest Experience Flight

Nepalgunj
Bhairahawa

Tumlingtar
Bharatpur
Simara
Paro, Bhutan

Janakpur

Chartered Flights

Biratnagar

Bhadrapur

Varanasi, India

Beech 1900 D

Bought at a cost of US $5 million, Buddha

Air is the only private airline in Nepal to
purchase a brand new straight-out-of-thefactory pressurized Beechcraft.
The aircraft is manufactured by Raytheon
Aircraft Company (now Hawker Beechcraft)
based in the US.
It is one of the most popular 19-passenger
airlines in history and is the choice aircraft
of the American Aircraft Pilots Association.

It is powered by two Pratt & Whitney

PT6A turboprop engines.

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05

ATR-42

The ATR-42 320 is a

twin turboprop aircraft
powered by Pratt & Whitney Canada PW121
engines and manufactured by Avions De
Transport Regional (ATR) a joint venture of
France and Italy.
It has a capacity for 47 passengers, featuring
large overhead bins, handrail for facilitation
of cabin crew/ passenger movement and
comfortable and spacious cabins.

ATR-72

The 72-seater ATR-72-500 is regarded

as one of the best regional aircraft with
turboprop engines.
It is powered by Pratt & Whitney Canada
PW127 engines.
The ATR-72 is also environment friendly,
emitting less than 50% carbon dioxide per
passenger km than its competitors.

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sales &
marketing

06

he efforts from Buddha Airs Sales and

Marketing team has earned the trust and
confidence of its valued customers by promising
to provide the safest and most reliable flights
to the sectors Buddha Air operates in. Securing

a foothold of nearly 65% of the market share

in the domestic pressurized aircraft segment;
Buddha Air has the image of a credible airline
that provides high quality service with optimized
efficiency.

Airlines Market Share Comparison

2013-2014

5.09%

Simrik Air

31.65%

Yeti Airlines

63.26%
Buddha Air

(Buddha Air
operated
sectors only)

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07

23835

Number of Flights
Comparison

23021

23764

22341

22198

21199

22266 23269
21319

21018

19788

1997/98-2013/14
14433

10674

11210

9476
7582

3916
97/98

98/99

99/00

00/01

01/02

02/03

03/04

04/05

05/06

06/07

07/08

08/09

09/10

10/11

11/12

12/13

13/14

With dominant market share and

positive feedback of our valued
customers, we are working
towards strengthening our lead
in the market

Buddha Airs Frequent Flyer Program;

Royal Club provides privileges to its
members by rewarding them with
mileage points. These points can be
redeemed for gift vouchers, free tickets
and even holiday packages. The
Royal Club Program allows Buddha
Air to show gratitude and appreciation
to its loyal and frequent passengers.

Total Passengers Comparison

1997/98 2013-2014
1,000,000
900,000
800,000
700,000
600,000

99,821

500,000
4000,00

Royal Club Gold

Card members

300,000
200,000

7,325

100,000

Platinum Members.

97/98

98/99

99/00

00/01

01/02

02/03

03/04

04/05

05/06

06/07

07/08

08/09

09/10

10/11

11/12

12/13

13/14

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09

Buddha Airs hangar is a 280ton steel structure with 38

meters clear span, consisting
of eight electrically powered
hangar doors.
The state-of-the-art closeddoor hangar facility is located
at Tribhuwan International
Airport and is the only one in
Nepal.
It was built at a cost of USD
$ 2.5 million and occupies an
area of 37,000 square feet.
It allows for major aircraft

Hangar

maintenance and repair work

and safety inspections and
audits to be carried out.
The staffs working at the
hangar are trained as per ISO
9001 Quality Management
System.
It has a well-equipped
maintenance facility as per
NCAR-145 requirements in
terms of hangar space, tools
and equipment, workshop
facilities and aircraft parts and
material storage.

IPMA Project Excellence

Award Buddha Airs
Hangar Construction
nominated as a Finalist
in Medium and Big
Sized Projects in the
year 2014.

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operation

10

he operation department of
Buddha Air is responsible for flight
safety, accident prevention and the
training of the crew members. Safety
is always a top priority of Buddha Air.

This department ensures that flights

are operated and the crew members
are trained as per the requirements
of Civil Aviation Authority of Nepal
(CAAN). Buddha Air spends around

US$ 600,000 annually on skillenhancement activities of its crew

members for trainings and required
refreshers in dedicated six axis
simulators.

Buddha Air has been classified as a very safe

operator and we have provided the ATR-72 on lease
purchase option. This is a very rare opportunity
given only to highly rated operators who have
structured and periodic audit, engineering and
operations management monitored by us.
n

Mr. Jean-Luc Establie

Sales Director, ATR Company

Buddha Airs ATR and Beech aircraft are

powered by Pratt & Whitney Canada engines.
Under our supervision, they have an impeccable
maintenance and safety record, not only in Nepal
but across the South Asia region.
n

Mr. Vellu Venu

Regional Sales Manager

Pratt & Whitney Canada

Corporate Safety Department

he department, through Safety Management Systems (SMS)

ensures that organizational safety objectives are met by assurance
and promotion of safety at Buddha Air.
It has achieved the highest level of safety performance by systematically
managing all risks associated with flight operations, ground handling
operations and engineering and maintenance activities.

Safety Management Systems (SMS)

Policy to manage safety and security ensuring the
effective management of safety risks associated with
aircraft operations.
Integrating tools like hazard identification, risk
management, reporting risk occurrence, investigation, and
implementing remedial actions and education do this.
It has provided a safety culture and environment that
readily identifies and resolves safety risks.

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13

Flight Data Monitoring (FDM)

With safety as a priority at Buddha Air, it has implemented

Flight Data Monitoring (FDM) system.
Every flight by Buddha Air is monitored by FDM a
method of recording and analyzing data generated by
an aircraft when it moves from one point to another.
The consistent analysis of Buddha Airs FDM Data
allows for continuous trend to be identified so that a
thorough investigation into any incident recorded can
be done.
The FDM data for Beechcraft are analyzed by
highly qualified, trained and expert employees from
engineering, operations and technical department.
The FDM data of 100% flight movements for ATR are
sent to CASSIOPEE - an aviation service provided by
Sagem. It has been leading the market for Flight Data
Monitoring for its innovation in the field and expert
flight safety and flight operations consultants. The data
sent is received within 2 hours, for further analysis by
the FDM Staff at Buddha Air.

safety

Quality Management
Department (QMD)

stablished with the vision to strengthen the work process,

corporate governance, customer service and quality output
in every corporate department and divisions.
Internal Audit Division in all the corporate areas to make sure
every procedure is fully implemented and followed according
to the manuals for quality output performs systematic planned
audits.
Internal Audit strictly follows audit process based on ISO
19011-2011 and all the auditors are trained as per the policies
and systems defined according to International standard.

Compliance Monitoring
Yearly plans are implemented for monitoring and
auditing the various departments, divisions, outstations,
and service providers working with Buddha Air.
This department ensures that activities and operations
are performed, by strictly adhering to the tasks and
policies outlined in the respective manuals.
Qualified and certified in-house auditors perform auditing
and monitoring.

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Safety
Audit

14

Quality Assurance
Audit Program
(Internal Audit)
Annual Audit Program is being
developed,
published
and
implemented to cover all the
functional areas of Buddha Airs
Operations, Maintenance and
Engineering.
This ensures continued compliances
with regulatory requirements,
companys
standards
and
procedures
Audits are also focused on
identification of safety hazards
and adequacy of the procedures
to meet standards.
Qualified
auditors
perform
scheduled audits as per approved
Annual Audit Plan.
Besides scheduled audits, random/
spot checks are carried out as
part of Continuous Surveillance
Program
Management review of Quality
Assurance Program is done twice
a year with accountable managers
and senior management officials.

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15

External Audit
Civil Aviation Authority of Nepal
(CAAN) has been carrying out audit
for Buddha Air every year.
ICF SH&E, Buddha Airs previous
auditor, merged with Safety Practice
to form Aviation and Marine
Solutions International (AMSSI).
AMSSI is an international
independent aviation-consulting
firm. It is the leading expert in
safety and operational integrity
consulting, evaluations and
auditing. It is an IATA accredited
organization.
Recently, AMSSI carried out an
Operational Safety Audit on 21st

July to 25th July 2014

Its recent audit on Buddha Air
assessed Operational Safety Audit
(OSA) in different functional
areas of flight operations, aircraft
engineering and maintenance,
cabin operations, ground handling,
dispatch, cargo, organization and
security management.
The findings and observations made
on this audit are being addressed
properly to close the issues.
EU Air Safety Committee had
carried out Safety Assessment of
Buddha Air from 3rd to 8th February
2014.

Emergency Response Plan (ERP)

Implemented during major aircraft accidents or adverse events that result in
fatalities, serious injuries, and disruption of operations.
It is a fundamental implementation for the central management and coordination of
activities.
Dedicated assignment of emergency responsibility to the ERP nominated Buddha Air
staffs, trained for such scenarios.
It has been exercised through tabletop drills and full -scale emergency drills.

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technical

16

t is located at Buddha Airs Hangar, where

maintenance work, checks and inspections
of the aircrafts are performed maintaining
the aircrafts in an airworthy condition. The
major tasks performed by qualified and
certified staff are:
Line maintenance:

This is a routine maintenance done in
between all flights, ensuring that Buddha
Airs aircrafts are in worthy condition for
its intended flight.

Maintenance activities are closely
coordinated and include troubleshooting,
defect
rectification,
component
replacement, visual inspections, and
servicing.
Base maintenance

This planned and heavy maintenance
requires Buddha Airs aircrafts to be out
of traffic.

Includes major modifications, repairs,
and upgrades.

Buddha Air was the first to do 36000
cycle checks for its ATR fleet.

Successful
installation
of
Global
Navigation Satellite System (GNSS) and
Multiple Purpose Computerized System
(MPCS) in all its fleet.

Enhanced Ground Proximity Warning
System installed on August for its
Beechcrafts.

Technical Supplies and

Inventory Management

Well trained staffs keep the store well
equipped with inventory that has been
meeting all the requirements for the
maintenance of Buddha Airs fleet.

Division is well furnished with storage
facilities and equipped with appliances like
air-conditioners, humidity control machines,

The current Inventory

(in terms of category and values only)
of Technical Stores
Fixed Assets
Rotables : NRs 488,191,930.88

(US$ 5,138,862.43)
Tools and Ground/Test Equipment:

NRs 123,159,517.26

(US$ 1,296,415.97)
Current AssetsExpendables, commercials
and lubricants: NRs 410,321,433.98

(US$ 4,319,172.98)
Grand Total: NRs. 1,021,672,882.12
hygrometer, etc.

(US$ 10,754,451.39)

Transparent and economical inventory
management.

The store facilities have sufficient stocks of
spare parts and components worth US$10
million in proper location and layout.

All spare parts and components purchased and
used are Federal Aviation Administration (FAA)
and European Aviation Safety Agency (EASA)
certified.

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Human
resource

18

rucial for the management and

operation of the company, the
Human Resource Department carefully
plans and organizes the employees of all
departments and offices of Buddha Air.
The department ensures that the right
people are recruited and placed at the
right position so that the organizational
goals are accomplished. Job analysis and
performance appraisals are conducted
to analyze areas where employees need
training and development, motivation or
promotions.

Staff & Department

13
FINANCE
13
MIS
QMS

136
OPERATION

Total Staff 724

19
REVENUE

175
TECHNICAL

36

TRANSPORT

36
GSD

161
SALES &
MARKETING

We believe that
every employee
must be treated
equally and
given equal
opportunities
for their career
progression.
This facilitates
motivation and
job satisfaction

135

OUT
STATION

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19

he Finance Department
at Buddha Air holds the
responsibility of developing and
implementing financial plans and
policies and preparing the annual
revenue and expenditure budget.
These are done after a thorough
and careful documentation and
examination of Buddha Airs
financial statements.

The Revenue Department of

Buddha Air verifies, collects and
accounts all the revenue generated
from ticket sales, passenger sales,
cargo sales and excess baggage
sales. It coordinates and plans
revenue related financial functions
with external agencies and
departmental staffs.

Finance &
Revenue

These departments work together

to ensure that financial plans
and policies are developed and
implemented in relation to Buddha
Airs objectives. They work closely
with internal and external auditors
to maintain clean and transparent
audit records.

Details of Direct & Indirect Tax

Period from 2004/05 to 2013/2014

Indirect Tax

(CUSTOM, VAT & TDS)

direct Tax
(CORP.)

25,54,48,360
2,50,00,000

20,97,59,602
2,00,00,000

17,80,63,646

14,81,26,942

1,50,00,000

12,87,74,684
10,77,37,953

"IFC's investments in Buddha

Air are helping expand access
to better air travel services for
Nepal's population and support
development of infrastructure in
the country. Besides offering a
reliable and faster travel option,
Buddha Air is also contributing
to the growth of tourism industry
and economic growth in Nepal."

9,56,74,197

1,00,00,000

7,95,55,268
5,79,14,317

6,54,55,000

5,00,00,000

5,83,80,251

5,05,15,389

4,17,31,563

4,04,84,484
3,12,10,868

2,12,00,487

79,36,608

0
04-05

3,38,45,334

3,21,98,655

63,80,445

05-06

06-07

07-08

08-09

09-10

10-11

11-12

12-13

13-14

REVENUE COMPARISON
2008/092013/14

(in US$)

1,56,38,355

81,34,216

08/09

90,45,690

1,48,45,291

1,01,60,039

75,21,543

09/10

10/11

11/12

12/13

13/14

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everest
experience

20

Photo: Capt. A.G. Sherpa

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21

trip to Nepal will be incomplete without an

Everest Experience to indulge in the majestic
views of the Himalayas. Every passenger is
guaranteed a window seat, from where they can
get a close-up view of nine majestic peaks like
Mt. Everest and Mt. Manaslu and even view the
Khumbu Glacier. A 50 minute flight on Buddha
Airs Everest Experience makes it a memorable
and cherished experience.

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Buddha
Holidays

22

he intention and vision to provide the best

travel experience led to the establishment
of Buddha Holidays.
Buddha Holidays is a 100%
owned subsidiary of Buddha
Air. It is a web-based travel
company that provides the best
and most affordable holiday
packages in Nepal and India
(Varanasi).
It provides the best travel
packages at the most affordable
prices and promises to deliver
the places, sights and activities
mentioned on its itineraries. This makes it
a trustworthy brand among the customers.

Varanasi Flight and

Holiday Packages
Recognizing the religious connection
between the two ancient cities of
Kathmandu and Varanasi, Buddha
Air has been operating flights
to Varanasi for three years. The
duration of the flight is about 50
minutes.
The establishment of Buddha
Holidays gives options for you to tour
Varanasi with the two pilgrimage
packages offered Classic Kashi
and On Buddhas Trail. Besides
Varanasi, Sarnath and Bodhgaya
are also included in the itineraries.
These religious states hold immense
religious value to Hindus and
Buddhists. Varanasi is where most
Hindus go to get salvation, Bodhgaya
is where Lord Buddha attained
enlightenment and Sarnath is where
he gave his first sermon.

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23

uddha Air firmly believes that as a responsible

organization, it should be instrumental to
transformative changes that help the economy of
Nepal.
Buddha Airs Corporate Social Responsibility (CSR)
is aimed towards assisting the rural farmers to
increase their cereal crop yields through innovative
and appropriate technology transfer, reduction
of cost of production and loss and wastage
and increase in productivity; which ultimately
addresses the food grain crisis.
The prevalent problem of fragmented cereal crop
farmland ownership, flight of agriculture labor
and non availability of cheap working capital
has cumulated in productivity decrease and
unsustainable farming.
We believe that every dark cloud has a silver
lining, therefore through Nepal Krishi Company
(NKC) a non-profit organization we have been
able to solve this problem by organizing the small
farmers into scale economy cooperatives that
provides solutions to above mentioned problems.

philanthropy

We are working on a pilot project with four

cooperatives focused on winter crop (wheat and
maize) cultivation in over 400 hectare land of
Sunsari district. Once we evaluate this program as
successful, we plan to work for paddy farming.
Buddha Air has
contributed Rs. 15 million
for the betterment of
Nepali farmers.It has also
donated Rs 8, 46,000 to
NKC for the purpose of
proper grain storage for
agricultural cooperatives
associated with it. The
stored grains are made available to the market
after appropriate prices are set allowing farmers
to receive increased profits of up to 20% to 25%.

The recent landslides

and flood disasters
that occurred due to
incessant rainfall left
many people dead
and the victims of the
disasters displaced.
Buddha Air made a
small donation of
Rs 1.5 Million to the
Prime Ministers Relief
Fund to provide relief
to the victims of the
disasters.

Buddha Air

Photographed by: Skanda Gautam

Head Office: P.O.Box 2167, Kathmandu, Nepal, Telephone: 977-1-5521015, Fax: 977-1-5537726 Email: buddhaair@buddhaair.com
City Sales Office Hattisar, Kathmandu, Telephone: 977-1-4437025, 4437677, Fax: 977-1-4436033