This case study focuses on computing the value of concessions (subsidies) offered to select passenger segments, particularly students and senior citizens, by a state-owned public transport corporation. In its current form, however, the subsidy structure is telescopic and does not correlate with value of services offered and fares paid by the respective passenger segments. Only 80% of the subsidy claims are reimbursed by the government. Reasonable assumptions and a certain level of transparency and accuracy are prerequisites to realize the subsidy claims from government. There are multiple approaches to computing the subsidy. This case considers five forms of two instruments: passes (red, blue, green, and yellow for students) and tokens (for senior citizens). The subsidy computation is approximate in the absence of a correlation between value of services used and fares paid. The management is confronted with the following alternatives: (a) work within the existing subsidy policy and drive a hard bargain for their subsidy claims; (2) leverage information technology to track the services utilized by the relevant segments; and (c) re-engineer the subsidy policy to correlate the value of services utilized with fares paid. Evaluating these three options requires careful consideration related to investment in technology, degree of accuracy in subsidy computation and ability to convince political dispensation.