New Delhi: In what may come as good news to crisis-hit Kingfisher Airlines, prominent banks that have lent to the airline have reportedly decided to provide a relief package to it, sources said.
NDTV has learnt that the State Bank of India will provide Rs. 1200 crore relief package to Kingfisher out of which nearly Rs. 700 crore will be provided in working capital loans.
The package will include bank guarantee and loan repayment extension, sources said.
Also, Punjab National Bank is also likely to provide a guarantee of Rs. 160-200 crore.
However, SBI denied comment on the latest development. "We cannot comment due to client confidentiality," SBI Chairman Pratip Chaudhuri told NDTV.
Civil Aviation Minister Ajit Singh welcomed the move. "If banks lend money to Kingfisher, it is all good," he said.
SBI currently has an exposure of Rs. 1400 crore to Kingfisher and has classified it as a non-performing asset in the third quarter of this year. Till yesterday, a consortium of 18 banks that have lent to Kingfisher had refused to convert any more loans into equity.
Kingfisher declared losses of 444 crores in Q3 - up from 254 crores a year ago. Kingfisher's current debt is close to 1.3 billion dollars or Rs. 7,057.08 crore. Adding to the woes of the beleaguered airline, the Income Tax department froze its accounts of Friday - a reason airline baron and Kingfisher Chairman Vijay Mallya attributed the chaos to.
The CEO of the airline was summoned by the aviation regulator, the Directorate General of Civil Aviation, on Tuesday after the private carrier cancelled a large number of flights over the weekend that has spilled onto the new week. It also witnessed resignations of at least 34 pilots on Tuesday, with several other staff members being put on notice. The airline, though, assured the DGCA that it had enough cabin crew and pilots to manage its flights. The regulator, meanwhile, has decided to go for "safety surveillance" of all of Kingfisher's operating aircraft but assured that there is no cause for concern and passengers need not be worried.
Out of Kingfisher's 64 aircraft, 28 are operational. At least 20 flights were cancelled today; yesterday, at least 34 Kingfisher flights - six from Delhi, five from Mumbai, 18 from Bangalore and five from Hyderabad - were cancelled. On Monday, the airline cancelled 30 flights; half of its flights from major metros were cancelled or delayed on Sunday. Internationally, flight operations to Bangkok, Dhaka and Kathmandu have been shut. Colombo, sources say, will be shut down shortly. Of all Kingfisher Airlines international services, only the London flight is presently operating.
Read more at: http://www.ndtv.com/article/india/sbi-to-bail-out-kingfisher-reports-178537&cp
Showing posts with label Kingfisher. Show all posts
Showing posts with label Kingfisher. Show all posts
Wednesday, February 22, 2012
Wednesday, June 1, 2011
Jet, Kingfisher, Spicejet rise on ATF price cut
Shares of Jet Airways, Kingfisher Airlines, Spicejet have surged on ATF price cut.
Shares of Jet Airways is currently trading at Rs. 459, up Rs11.45 or 3%. The stock has hit a high of Rs. 461 and a low of Rs. 450.
Kingfisher Airlines shares is currently trading at Rs. 43, up Rs1.05. The stock has hit a high of Rs. 43.80 and a low of Rs. 43.
Shares of Spicejet Ltd is currently trading at Rs41, up Rs1.20. The stock has hit a high of Rs42 and a low of Rs41.
Source: India Infoline
Shares of Jet Airways is currently trading at Rs. 459, up Rs11.45 or 3%. The stock has hit a high of Rs. 461 and a low of Rs. 450.
Kingfisher Airlines shares is currently trading at Rs. 43, up Rs1.05. The stock has hit a high of Rs. 43.80 and a low of Rs. 43.
Shares of Spicejet Ltd is currently trading at Rs41, up Rs1.20. The stock has hit a high of Rs42 and a low of Rs41.
Source: India Infoline
Wednesday, May 18, 2011
Kingfisher beats deadline, clears MIAL dues
Mumbai: Vijay Mallya-owned Kingfisher Airlines has averted a major crisis by clearing airport charges dues with the Mumbai International Airport Ltd (MIAL). The airport operator had given the airline a deadline of 14 May to clear dues outstanding from last year December.
"We have received a cheque payment for Rs105.71 crore and with that the issues regarding payment default has been resolved. The airline can operate normally from our airport," Mumbai International Airport president Rajiv Jain said.
MIAL had threatened to put the Bangalore-based carrier on a cash-and-carry mode of operations if it failed to clear dues by 14 May.
Last year December Kingfisher had promised to clear dues by February, but the cheque issued by it bounced.
Kingfisher restructured Rs750 crore of its overall debt of Rs6,900 crore last November.
Currently in the sixth year of its operations, Kingfisher Airlines is yet to turn the corner. It is likely to post losses in the fourth quarter as well.
On 6 April a consortium of 13 banks, led by the State Bank and ICICI Bank, converted Kingfisher's Rs750 crore debt into 23.37 per cent equity, valuing the airline's share at Rs64.48. With this conversion of equity shares, the promoters holding in the airline has declined to 58.6% from 66.2%.
The carrier hopes to raise around $300 million from a global depositary receipts issue once market conditions stabilise and its share price regains some of its lost value.
"We have received a cheque payment for Rs105.71 crore and with that the issues regarding payment default has been resolved. The airline can operate normally from our airport," Mumbai International Airport president Rajiv Jain said.
MIAL had threatened to put the Bangalore-based carrier on a cash-and-carry mode of operations if it failed to clear dues by 14 May.
Last year December Kingfisher had promised to clear dues by February, but the cheque issued by it bounced.
Kingfisher restructured Rs750 crore of its overall debt of Rs6,900 crore last November.
Currently in the sixth year of its operations, Kingfisher Airlines is yet to turn the corner. It is likely to post losses in the fourth quarter as well.
On 6 April a consortium of 13 banks, led by the State Bank and ICICI Bank, converted Kingfisher's Rs750 crore debt into 23.37 per cent equity, valuing the airline's share at Rs64.48. With this conversion of equity shares, the promoters holding in the airline has declined to 58.6% from 66.2%.
The carrier hopes to raise around $300 million from a global depositary receipts issue once market conditions stabilise and its share price regains some of its lost value.
Thursday, March 10, 2011
Airlines owe Rs 1,122 crore to AAI
Airlines operating within the country owe Rs 1,122 crore to Airports Authority of India, Lok Sabha was informed today.
The dues of Airports Authority of India (AAI) against Air India as on January 31, 2011 are Rs 720 crore, Minister of Civil Aviation Vayalar Ravi mentioned inside a written reply.
For Kingfisher, the figure is Rs 257.62 crore, Go Airlines - Rs 6.77 crore, Interglobe Aviation Ltd. (Indigo)- Rs 13.29 crore, Jet Airways - Rs 38.49 crore, Jet Lite (India) Ltd Rs 13.96 crore, Spicejet Ltd - Rs 16.99 crore and Paramount Airways - Rs 4.88 crore.
For others modest or non-operating airlines the dues stand at 50.13 crore.
He mentioned the matter of pending dues is taken up by the AAI with respective airlines from time to time .
The Minister mentioned steps have been taken to increase the facilities at the airports which include modernisation of Chennai and Kolkata Airports, development of 35 non-metro airports of the terminal buildings having state-of-the-art passenger facilities, user friendly amenities, very good ambiance and satellite based navigation system.
The dues of Airports Authority of India (AAI) against Air India as on January 31, 2011 are Rs 720 crore, Minister of Civil Aviation Vayalar Ravi mentioned inside a written reply.
For Kingfisher, the figure is Rs 257.62 crore, Go Airlines - Rs 6.77 crore, Interglobe Aviation Ltd. (Indigo)- Rs 13.29 crore, Jet Airways - Rs 38.49 crore, Jet Lite (India) Ltd Rs 13.96 crore, Spicejet Ltd - Rs 16.99 crore and Paramount Airways - Rs 4.88 crore.
For others modest or non-operating airlines the dues stand at 50.13 crore.
He mentioned the matter of pending dues is taken up by the AAI with respective airlines from time to time .
The Minister mentioned steps have been taken to increase the facilities at the airports which include modernisation of Chennai and Kolkata Airports, development of 35 non-metro airports of the terminal buildings having state-of-the-art passenger facilities, user friendly amenities, very good ambiance and satellite based navigation system.
Tuesday, February 22, 2011
Kingfisher regains No.2 spot...IndiGo ahead of AI
Indigo Airlines has gone ahead of Air India by carrying 1.71 lakh more domestic passengers than the national carrier in January this year.
Vijay Mallya-controlled Kingfisher Airlines has regained the no 2 position as compared to its competitors IndiGo Airlines and Air India. Jet Airways along with its budget arm Jetlite continues to be at the top
Indigo Airlines has gone ahead of Air India by carrying 1.71 lakh more domestic passengers than the national carrier in January this year.
The total domestic passengers carried by the Scheduled Airlines of India in January, 2011 were 49.36 lakhs. It may be recalled that the total domestic passengers carried by the Scheduled Airlines of India in December, 2010 were 52.13 lakhs.
The break-up for the month of January, 2011 is as follows:
Air India (Domestic) – 7.79 lakhs, Jet Airways –8.54 lakhs, Jet Lite – 3.72 lakhs, Kingfisher – 9.61 lakhs, Spice Jet – 7.05 lakhs, Go Air – 3.15 lakhs, IndiGo – 9.50 lakhs.
The percentage share of the carriers in the month of January, 2011 is as follows:
Air India (Domestic) – 15.8%, Jet Airways – 17.3%, Jet Lite – 7.5%, Kingfisher – 19.5%, Spice Jet–14.3%, Go Air – 6.4 % and IndiGo – 19.2%.
The seat factor of the domestic airlines in the month of January, 2011 was:
Air India (Domestic) – 69.3%, Jet Airways – 73.9%, JetLite – 74.6%, Kingfisher Airlines – 86.5%, Spice Jet – 82.6%, Go Air –83.3% and IndiGo – 88.6%.
Vijay Mallya-controlled Kingfisher Airlines has regained the no 2 position as compared to its competitors IndiGo Airlines and Air India. Jet Airways along with its budget arm Jetlite continues to be at the top
Indigo Airlines has gone ahead of Air India by carrying 1.71 lakh more domestic passengers than the national carrier in January this year.
The total domestic passengers carried by the Scheduled Airlines of India in January, 2011 were 49.36 lakhs. It may be recalled that the total domestic passengers carried by the Scheduled Airlines of India in December, 2010 were 52.13 lakhs.
The break-up for the month of January, 2011 is as follows:
Air India (Domestic) – 7.79 lakhs, Jet Airways –8.54 lakhs, Jet Lite – 3.72 lakhs, Kingfisher – 9.61 lakhs, Spice Jet – 7.05 lakhs, Go Air – 3.15 lakhs, IndiGo – 9.50 lakhs.
The percentage share of the carriers in the month of January, 2011 is as follows:
Air India (Domestic) – 15.8%, Jet Airways – 17.3%, Jet Lite – 7.5%, Kingfisher – 19.5%, Spice Jet–14.3%, Go Air – 6.4 % and IndiGo – 19.2%.
The seat factor of the domestic airlines in the month of January, 2011 was:
Air India (Domestic) – 69.3%, Jet Airways – 73.9%, JetLite – 74.6%, Kingfisher Airlines – 86.5%, Spice Jet – 82.6%, Go Air –83.3% and IndiGo – 88.6%.
Tuesday, February 15, 2011
Air India gives in, sacks COO of low-cost arm
Despite protesting to the end, the Air India management today finally gave in to pressure to dismiss Pawan Arora, chief operating officer of Air India Express, the low-cost international arm with the federal government carrier.
An AI spokesperson confirmed Arora had been asked to go and said S Chandrasekhar, director (finance), would assist Arvind Jadhav, who is chairman and managing director of both AI and AI Express, till the time a new COO was appointed.
Arora’s appointment was embroiled inside a controversy, following data surfaced that he had been earlier removed from a position of test pilot by the Directorate General of Civil Aviation (DGCA).
The civil aviation ministry had then asked the AI board to reconsider the appointment. Questions had also been raised about non-renewal of Arora’s flight instructor licence.
Arora joined the airline in October and his appointment was cancelled inside a board meeting a month after. In the meeting, the independent and federal government directors had asked the management to cancel Arora’s appointment.
The management did not and even defied a letter inside the ministry asking it to eliminate Arora. This evening, however, the ministry issued fresh and final orders, asking the management to eliminate Arora.
The airline management is calling it unfortunate and autocratic. “Neither the management nor Arora was allowed or asked to justify (his stand) in any with the meetings. If we are asked to justify now, we will do it and put the situation for the require of the professional COO for AI Express,” said a senior AI official.
The official said it was not a very good factor that another person was chosen following interviewing 170 candidates after which suddenly asked to leave. Arora did not eat calls on his cell phone.
“Such decisions will impact the standing Air India has and also the range of applicants will fall drastically following we call for applications again,” said the official.
Arora did not eat calls on his cell phone. He had served the Indian Air Force for 18 years worked with Jet Airways, Paramount Airways, Kingfisher Airlines and IndiGo. He also served at the DGCA in your year.
An AI spokesperson confirmed Arora had been asked to go and said S Chandrasekhar, director (finance), would assist Arvind Jadhav, who is chairman and managing director of both AI and AI Express, till the time a new COO was appointed.
Arora’s appointment was embroiled inside a controversy, following data surfaced that he had been earlier removed from a position of test pilot by the Directorate General of Civil Aviation (DGCA).
The civil aviation ministry had then asked the AI board to reconsider the appointment. Questions had also been raised about non-renewal of Arora’s flight instructor licence.
Arora joined the airline in October and his appointment was cancelled inside a board meeting a month after. In the meeting, the independent and federal government directors had asked the management to cancel Arora’s appointment.
The management did not and even defied a letter inside the ministry asking it to eliminate Arora. This evening, however, the ministry issued fresh and final orders, asking the management to eliminate Arora.
The airline management is calling it unfortunate and autocratic. “Neither the management nor Arora was allowed or asked to justify (his stand) in any with the meetings. If we are asked to justify now, we will do it and put the situation for the require of the professional COO for AI Express,” said a senior AI official.
The official said it was not a very good factor that another person was chosen following interviewing 170 candidates after which suddenly asked to leave. Arora did not eat calls on his cell phone.
“Such decisions will impact the standing Air India has and also the range of applicants will fall drastically following we call for applications again,” said the official.
Arora did not eat calls on his cell phone. He had served the Indian Air Force for 18 years worked with Jet Airways, Paramount Airways, Kingfisher Airlines and IndiGo. He also served at the DGCA in your year.
Wednesday, December 22, 2010
Airlines set to take off after turbulence
The year 2010 was each a year that saw a silver lining in addition to dark clouds within the aviation industry. Except Air India, which continues to face difficult times, other airlines started a steady march on the recovery right after the slowdown many years of 2008 and 2009.
What ought to be a huge relief on the Indian aviation authorities could be the fact how the US did not downgrade the Indian safety regulator, Directorate General of Civil Aviation, to sub-Saharan Africa levels. The final nod for the second airport in Mumbai right after a delay of three many years and the opening of new T3 terminal in New Delhi were a large plus for travellers.
But just as very good news was flowing in thick and fast right after 2 many years of gloom, the worst fears of aviation came real with India witnessing 1 of its worst ever air crashes on May possibly 22. Air India Express's flight 812 crashed at Mangalore airport, killing 158 from the 166 men and women on board.
The crash, coming amid fears which started within the troubled 2008-09 that some crises-ridden airlines may perhaps not have even adequate income to maintain their fleet airworthy, led to intense financial surveillance from the carriers. The scrutiny once more revealed that except Air India, most other critical airlines' fortunes were showing changes—thanks to a double-digit growth in domestic air travel.
This is borne by the fact that 2009 saw 445.1 lakh men and women flying inside India. But the January-November 2010 period itself saw that figure getting left behind with 468 lakh men and women flying in India. Considering about 50 lakh men and women fly in December, 2010 may perhaps witness a 16% rise more than 2009. "This growth is likely to be even more pronounced, next year, from the economy searching up. So the large upside for the year 2011 is that most airlines, barring —of course—Air India, could come to be profitable again. But simultaneously the large worry is rising oil prices with crude touching $90 a barrel. This may perhaps force fare hikes and affect air travel growth," mentioned a senior ministry official.
That worry apart, financially airlines are searching to fly to the black. Financially-strained Kingfisher got approval to restructure its mounting debts. The country's second largest low-cost carrier (LCC), SpiceJet, was finally bought more than by a south-based group with deep pockets, signalling the end of income crunch, and it, subsequently, also began overseas flights. Similarly, the largest LCC, IndiGo, is all set to launch an IPO and start international flights next year. In fact, the aviation market came a full circle this year. The sacking of 450-odd Jet Airways cabin crew staffers had signalled the beginning from the global meltdown-induced crisis for Indian airlines in 2008. This year, Jet contacted all its sacked staffers and about half of them have joined back within the past few months.
What ought to be a huge relief on the Indian aviation authorities could be the fact how the US did not downgrade the Indian safety regulator, Directorate General of Civil Aviation, to sub-Saharan Africa levels. The final nod for the second airport in Mumbai right after a delay of three many years and the opening of new T3 terminal in New Delhi were a large plus for travellers.
But just as very good news was flowing in thick and fast right after 2 many years of gloom, the worst fears of aviation came real with India witnessing 1 of its worst ever air crashes on May possibly 22. Air India Express's flight 812 crashed at Mangalore airport, killing 158 from the 166 men and women on board.
The crash, coming amid fears which started within the troubled 2008-09 that some crises-ridden airlines may perhaps not have even adequate income to maintain their fleet airworthy, led to intense financial surveillance from the carriers. The scrutiny once more revealed that except Air India, most other critical airlines' fortunes were showing changes—thanks to a double-digit growth in domestic air travel.
This is borne by the fact that 2009 saw 445.1 lakh men and women flying inside India. But the January-November 2010 period itself saw that figure getting left behind with 468 lakh men and women flying in India. Considering about 50 lakh men and women fly in December, 2010 may perhaps witness a 16% rise more than 2009. "This growth is likely to be even more pronounced, next year, from the economy searching up. So the large upside for the year 2011 is that most airlines, barring —of course—Air India, could come to be profitable again. But simultaneously the large worry is rising oil prices with crude touching $90 a barrel. This may perhaps force fare hikes and affect air travel growth," mentioned a senior ministry official.
That worry apart, financially airlines are searching to fly to the black. Financially-strained Kingfisher got approval to restructure its mounting debts. The country's second largest low-cost carrier (LCC), SpiceJet, was finally bought more than by a south-based group with deep pockets, signalling the end of income crunch, and it, subsequently, also began overseas flights. Similarly, the largest LCC, IndiGo, is all set to launch an IPO and start international flights next year. In fact, the aviation market came a full circle this year. The sacking of 450-odd Jet Airways cabin crew staffers had signalled the beginning from the global meltdown-induced crisis for Indian airlines in 2008. This year, Jet contacted all its sacked staffers and about half of them have joined back within the past few months.
Friday, November 26, 2010
Kingfisher Gets Okay for Debt-Equity Swap
Kingfisher Airlines' board has approved a debt recast plan that seeks to convert some of its debt into equity. The move will aid the company reduce its interest burden and stem losses.
Kingfisher will convert lenders' loans of as much as Rs. 1355 crore into shares. It also plans to convert founders' debt of as much as Rs. 648 crore into share capital. Kingfisher's balance loans is also repaid to lenders over nine years with a moratorium of a couple of years, it added. The airline plans to problem convertible and redeemable shares to lending banks as well as founder entities in line with its debt recast plan.
It plans to problem as much as 57.5 crore redeemable preference shares and as much as 78 crore convertible preference shares to its consortium of lenders. Its board also approved issuing as much as 64.8 crore convertible preference shares to founder entities United Breweries (Holdings) and to Kingfisher Finvest India. Under the debt restructuring package, lenders can also sanction a lot more funds as well as non-fund-based facilities, Kingfisher said. The package firmed up following a one-time relaxation in restructuring guidelines sanctioned by the Reserve Bank of India, the airline said.
Tata Motors reportedly plans to set up a second factory in Bangladesh, one of its main export destinations for commercial vehicles, in six months to cater to growing sales of smaller and light commercial vehicles.
Separately, Tata Motors reportedly plans to launch compressed natural gas (CNG)-powered trucks within the medium and heavy segments for your domestic marketplace within a year.
Communications Minister Kapil Sibal mentioned on Thursday, 25 November 2010 cellular number portability across the country is going to be implemented from 20 January 2011. Mobile number portability, which allows users to keep their phone number even if they switch operators, was to be introduced in all telecoms zones by 31 March 2010.
The board of Money Matters Financial Services will meet today, 26 November 2010, to select the futures course of action following the Central Bureau of Investigation (CBI) on Wednesday, 24 November 2010 arrested the Money Matters' chairman and a couple of other officials and also the senior executives of three state-run banks and other financial organizations inside a loan bribery case.
In a statement towards stock exchanges, Money Matters mentioned the board meeting had been called to discuss the matter in detail and select the next course of action. The CBI has mentioned that Money Matters acted being a mediator and facilitator of corporate loans and other facilities by bribing bank officials.
Money Matters mentioned the company will like to assure its shareholders, buyers and company associates that the company firmly believes in ethical practices in all company dealings. The company is fully co-operating with CBI and within the legal proceedings, it said.
Paras Pharmaceuticals has reportedly shortlisted the bids of Piramal Healthcare, Emami and unlisted Taisho Pharmaceutical Co to sell a controlling stake. As per reports, Emami could emerge the winner with its final bid of Rs. 2950 crore.
SKS Microfinance has reportedly occur under the scanner on the Insurance Regulatory Authority of India for deviating from guidelines set by the regulator on commissions and claim settlements.
Glodyne Technoserve's board approved sub-division of equity shares of Rs. 10 each into equity shares of face significance Rs. 6 each. The board also approved raising funds through equity and other methods from domestic and overseas markets.
Pratibha Industries has raised Rs. 50 crore through equity shares issued to Van Dyck, a unit of ChrysCapital V LLC. The company issued 38 lakh equity shares on preferential basis at Rs. 92 a piece to Van Dyck, it said. In addition, it issued 16.3 lakh compulsory convertible participatory preference shares at Rs. 92 a piece to Van Dyck, it added.
Soruce: India Infoline
Kingfisher will convert lenders' loans of as much as Rs. 1355 crore into shares. It also plans to convert founders' debt of as much as Rs. 648 crore into share capital. Kingfisher's balance loans is also repaid to lenders over nine years with a moratorium of a couple of years, it added. The airline plans to problem convertible and redeemable shares to lending banks as well as founder entities in line with its debt recast plan.
It plans to problem as much as 57.5 crore redeemable preference shares and as much as 78 crore convertible preference shares to its consortium of lenders. Its board also approved issuing as much as 64.8 crore convertible preference shares to founder entities United Breweries (Holdings) and to Kingfisher Finvest India. Under the debt restructuring package, lenders can also sanction a lot more funds as well as non-fund-based facilities, Kingfisher said. The package firmed up following a one-time relaxation in restructuring guidelines sanctioned by the Reserve Bank of India, the airline said.
Tata Motors reportedly plans to set up a second factory in Bangladesh, one of its main export destinations for commercial vehicles, in six months to cater to growing sales of smaller and light commercial vehicles.
Separately, Tata Motors reportedly plans to launch compressed natural gas (CNG)-powered trucks within the medium and heavy segments for your domestic marketplace within a year.
Communications Minister Kapil Sibal mentioned on Thursday, 25 November 2010 cellular number portability across the country is going to be implemented from 20 January 2011. Mobile number portability, which allows users to keep their phone number even if they switch operators, was to be introduced in all telecoms zones by 31 March 2010.
The board of Money Matters Financial Services will meet today, 26 November 2010, to select the futures course of action following the Central Bureau of Investigation (CBI) on Wednesday, 24 November 2010 arrested the Money Matters' chairman and a couple of other officials and also the senior executives of three state-run banks and other financial organizations inside a loan bribery case.
In a statement towards stock exchanges, Money Matters mentioned the board meeting had been called to discuss the matter in detail and select the next course of action. The CBI has mentioned that Money Matters acted being a mediator and facilitator of corporate loans and other facilities by bribing bank officials.
Money Matters mentioned the company will like to assure its shareholders, buyers and company associates that the company firmly believes in ethical practices in all company dealings. The company is fully co-operating with CBI and within the legal proceedings, it said.
Paras Pharmaceuticals has reportedly shortlisted the bids of Piramal Healthcare, Emami and unlisted Taisho Pharmaceutical Co to sell a controlling stake. As per reports, Emami could emerge the winner with its final bid of Rs. 2950 crore.
SKS Microfinance has reportedly occur under the scanner on the Insurance Regulatory Authority of India for deviating from guidelines set by the regulator on commissions and claim settlements.
Glodyne Technoserve's board approved sub-division of equity shares of Rs. 10 each into equity shares of face significance Rs. 6 each. The board also approved raising funds through equity and other methods from domestic and overseas markets.
Pratibha Industries has raised Rs. 50 crore through equity shares issued to Van Dyck, a unit of ChrysCapital V LLC. The company issued 38 lakh equity shares on preferential basis at Rs. 92 a piece to Van Dyck, it said. In addition, it issued 16.3 lakh compulsory convertible participatory preference shares at Rs. 92 a piece to Van Dyck, it added.
Soruce: India Infoline
Tuesday, November 16, 2010
Kingfisher Airlines cuts losses by 45%
Private carrier Kingfisher Airlines has reduced its September quarter losses by 45 per cent to Rs 231 crore as against a loss of Rs 418.77 crore inside the exact same quarter a year ago. The airline saw a 24 per cent improvement in operating revenues, driven by a growth in aviation demand, focus on improving network profitability, and various cost reduction initiatives.
Sales have grown 24 per cent to Rs 1,382.72 crore when compared with Rs 1,112.70 crore. Meanwhile, shares in the business gained 2.06 per cent to close the day at Rs 81.65 on a Bombay Stock Exchange (BSE) on Monday.
Domestic revenues stood at Rs 1,038 crore compared with Rs 989 crore in Q2 FY10. This was a 5 per cent improve in income despite 18 per cent reduction in ability (seats offered). International revenues have been at Rs 345 crore compared with Rs 124 crore in Q2 FY10.
“This performance was despite 11 per cent reduction inside the quantity of departures. The overall EBITDA margin to your quarter improved to a certain 4 per cent inside the unfavorable 24 per cent reported inside the exact same quarter last year. These results have been delivered despite an estimated loss of more than Rs 73 crore because of unplanned grounding of aircraft. Adjusted for this loss, the EBITDA margin would be 8 per cent to your quarter,” said the airline in a filing towards BSE.
Source: Indian Express
Sales have grown 24 per cent to Rs 1,382.72 crore when compared with Rs 1,112.70 crore. Meanwhile, shares in the business gained 2.06 per cent to close the day at Rs 81.65 on a Bombay Stock Exchange (BSE) on Monday.
Domestic revenues stood at Rs 1,038 crore compared with Rs 989 crore in Q2 FY10. This was a 5 per cent improve in income despite 18 per cent reduction in ability (seats offered). International revenues have been at Rs 345 crore compared with Rs 124 crore in Q2 FY10.
“This performance was despite 11 per cent reduction inside the quantity of departures. The overall EBITDA margin to your quarter improved to a certain 4 per cent inside the unfavorable 24 per cent reported inside the exact same quarter last year. These results have been delivered despite an estimated loss of more than Rs 73 crore because of unplanned grounding of aircraft. Adjusted for this loss, the EBITDA margin would be 8 per cent to your quarter,” said the airline in a filing towards BSE.
Source: Indian Express
Wednesday, October 20, 2010
T3 of IGI airport to start operating from Oct 30
NEW DELHI: As soon as domestic operations begin inside integrated terminal Three (T3) on October 30, about 70% of domestic site visitors would be moving on the new terminal. Although 3 roads will consume passengers up to the Haj terminal — NH-8, the tunnel road that will be made operational by this month-end and the road from Gurgaon — only 1 road from that thing will bring about the main terminal, posing a site visitors nightmare.
A team inside civil aviation ministry led by joint secretary Alok Sinha inspected operations at the airport on Tuesday. In accordance with sources, officials pointed out that site visitors chaos would probably result right after domestic operations on the 3 main carriers — Air India, Jet Airways and Kingfisher — shift to T3. ''The tunnel road will open with only two lanes at supply and that ought to not be a problem. However, just right after the Haj terminal, after all site visitors would be pushed onto 1 road, site visitors jams will probably be a huge issue,'' stated sources.
Sources also stated that whilst everything was on schedule at the domestic side on the terminal, the entire airport experience will probably be marred if difficulties like site visitors aren't sorted out. The first four gates at T3 will probably be dedicated to domestic carriers and officials are worried that the starting on the ramp would often be crowded and keep up other traffic. A meeting is probably to be convened among Delhi International Airport (P) Ltd (DIAL) and site visitors police on October 25 to formalise a site visitors plan.
''The other issue highlighted by ministry officials was that of passenger transfer, among international and domestic and within domestic. DIAL is planning to convert IGI into a hub on the lines of Singapore and Dubai. That is a first for India and there can't be goof-ups. The issue will must be sorted out by airlines and the ministry will also keep a meeting with them right after the site visitors issue is sorted out,'' stated officials.
Source: The Times of India
A team inside civil aviation ministry led by joint secretary Alok Sinha inspected operations at the airport on Tuesday. In accordance with sources, officials pointed out that site visitors chaos would probably result right after domestic operations on the 3 main carriers — Air India, Jet Airways and Kingfisher — shift to T3. ''The tunnel road will open with only two lanes at supply and that ought to not be a problem. However, just right after the Haj terminal, after all site visitors would be pushed onto 1 road, site visitors jams will probably be a huge issue,'' stated sources.
Sources also stated that whilst everything was on schedule at the domestic side on the terminal, the entire airport experience will probably be marred if difficulties like site visitors aren't sorted out. The first four gates at T3 will probably be dedicated to domestic carriers and officials are worried that the starting on the ramp would often be crowded and keep up other traffic. A meeting is probably to be convened among Delhi International Airport (P) Ltd (DIAL) and site visitors police on October 25 to formalise a site visitors plan.
''The other issue highlighted by ministry officials was that of passenger transfer, among international and domestic and within domestic. DIAL is planning to convert IGI into a hub on the lines of Singapore and Dubai. That is a first for India and there can't be goof-ups. The issue will must be sorted out by airlines and the ministry will also keep a meeting with them right after the site visitors issue is sorted out,'' stated officials.
Source: The Times of India
Monday, October 11, 2010
Shortage of aircraft grounds school's tour
Mumbai: A holiday tour of 180 students from a prestigious Mumbai school to Chandigarh is in limbo as Kingfisher airlines is short of aircraft. The red-faced tour operator and the airline are now desperately trying to think of a way of making the tour happen without any inconvenience.
"We had booked 180 students from the Chaturbhuj Narsee Memorial School on Kingfisher Airline's Mumbai-Chandigarh flight and back, in July. The travel date is October 23, yet on the first of this month the airline informed us that they have cancelled their direct flights," said Anil Garg, managing director, Tour India tours and travels.
The students were to fly to Chandigarh on October 23 on flight IT-3601, and from there proceed to Shimla, Kullu and Manali. "The airline is asking us to go by their Mumbai-Delhi flight and then take another one to Chandigarh. But they fly smaller aircraft ATRs on the Delhi-Chandigarh route, which do not have the capacity to fly 180 students. They want us to take the students in 2-3 batches," Garg added.
The tour operator is also concerned about the rise in expenditure if they follow the airline's advice. "We will then have to reach Delhi a day in advance, which will further drive up accommodation costs. If we buy tickets from other airlines after a refund, it will cost us Rs8.85 lakh more than what we paid," he says.
When contacted, the spokesperson for Kingfisher airlines confirmed the details but said they were still working on a solution. "An Airbus 320 that was plying on that route has problems with its right engine. So, we have temporarily shut down the route and will start it again after the aircraft is back in service. We will soon be able to come up with a solution on this issue," he said.
Source: NDTV
"We had booked 180 students from the Chaturbhuj Narsee Memorial School on Kingfisher Airline's Mumbai-Chandigarh flight and back, in July. The travel date is October 23, yet on the first of this month the airline informed us that they have cancelled their direct flights," said Anil Garg, managing director, Tour India tours and travels.
The students were to fly to Chandigarh on October 23 on flight IT-3601, and from there proceed to Shimla, Kullu and Manali. "The airline is asking us to go by their Mumbai-Delhi flight and then take another one to Chandigarh. But they fly smaller aircraft ATRs on the Delhi-Chandigarh route, which do not have the capacity to fly 180 students. They want us to take the students in 2-3 batches," Garg added.
The tour operator is also concerned about the rise in expenditure if they follow the airline's advice. "We will then have to reach Delhi a day in advance, which will further drive up accommodation costs. If we buy tickets from other airlines after a refund, it will cost us Rs8.85 lakh more than what we paid," he says.
When contacted, the spokesperson for Kingfisher airlines confirmed the details but said they were still working on a solution. "An Airbus 320 that was plying on that route has problems with its right engine. So, we have temporarily shut down the route and will start it again after the aircraft is back in service. We will soon be able to come up with a solution on this issue," he said.
Source: NDTV
Tuesday, October 5, 2010
IndiGo’s big IPO may lead to re-rating of airline stocks
Mumbai: India’s leading low-fare carrier IndiGo, run by InterGlobe Aviation Pvt. Ltd, is planning to raise $500 million (Rs2,215 crore) through its initial public offering (IPO), the highest ever for an Indian airline, and this may lead to a re-rating of airline stocks, said sector analysts.
Shares of Jet Airways (India) Ltd, Kingfisher Airlines Ltd and SpiceJet Ltd are traded on Indian exchanges.
The IPO is scheduled for the last quarter of the current fiscal ending March 2011, said two persons close to the development. One of them is an airline executive and the other is an investment banker.
IndiGo has hired five investment bankers, including JM Financial Ltd, Credit Suisse Group AG, Citigroup Inc., UBS AG and Morgan Stanley for the proposed IPO.
Ahead of the IPO, IndiGo is looking at an equity placement that could result in dilution of promoters’ stake of as much as 25%. Last week, the company conducted investor roadshows in Hong Kong and Singapore for the equity placement.
“The exact details of the proposed IPO are yet to be finalized but IndiGo is planning to raise 10 times its earnings,” said one of the persons mentioned earlier. He added that the low-fare airline, which held a 16.4% market share in August through 188 flights across 22 destinations, will raise more than the Rs1,899 crore that rival and full-service airline operator Jet Airways raised five years ago.
Aditya Ghosh, president of IndiGo, did not return calls made to his mobile phone nor did he reply to text messages.
“The IPO is expected to leverage the success story of IndiGo,” said Kapil Kaul, India chief of Sydney-based aviation consultancy Centre for Asia Pacific Aviation, adding that the airline’s valuation would set the benchmark for industry stocks.
“This could be significantly higher than low-fare airline stock and even higher than full-service carriers such as Jet Airways,” he added.
A successful and large IPO by IndiGo could put pressure on other stocks of airline companies such as Jet Airways and Kingfisher Airlines that are also competing to raise funds from the market.
On Monday, airline stocks took a beating, with all three listed airlines losing value even as the Bombay Stock Exchange’s benchmark index, the Sensex, rose 0.15% to close at 20,475.73 points.
SpiceJet slipped 3.25% to close at `74.40, Jet Airways—India’s largest carrier by traffic—fell 1.26% to `806.15, and Kingfisher fell 1.75% to `73.05.
Since January, Jet Airways has risen 45.74%, SpiceJet 31.1% and Kingfisher 15.59%.
Read more: http://www.livemint.com/2010/10/04234454/IndiGo8217s-big-IPO-may-lea.html
Shares of Jet Airways (India) Ltd, Kingfisher Airlines Ltd and SpiceJet Ltd are traded on Indian exchanges.
The IPO is scheduled for the last quarter of the current fiscal ending March 2011, said two persons close to the development. One of them is an airline executive and the other is an investment banker.
IndiGo has hired five investment bankers, including JM Financial Ltd, Credit Suisse Group AG, Citigroup Inc., UBS AG and Morgan Stanley for the proposed IPO.
Ahead of the IPO, IndiGo is looking at an equity placement that could result in dilution of promoters’ stake of as much as 25%. Last week, the company conducted investor roadshows in Hong Kong and Singapore for the equity placement.
“The exact details of the proposed IPO are yet to be finalized but IndiGo is planning to raise 10 times its earnings,” said one of the persons mentioned earlier. He added that the low-fare airline, which held a 16.4% market share in August through 188 flights across 22 destinations, will raise more than the Rs1,899 crore that rival and full-service airline operator Jet Airways raised five years ago.
Aditya Ghosh, president of IndiGo, did not return calls made to his mobile phone nor did he reply to text messages.
“The IPO is expected to leverage the success story of IndiGo,” said Kapil Kaul, India chief of Sydney-based aviation consultancy Centre for Asia Pacific Aviation, adding that the airline’s valuation would set the benchmark for industry stocks.
“This could be significantly higher than low-fare airline stock and even higher than full-service carriers such as Jet Airways,” he added.
A successful and large IPO by IndiGo could put pressure on other stocks of airline companies such as Jet Airways and Kingfisher Airlines that are also competing to raise funds from the market.
On Monday, airline stocks took a beating, with all three listed airlines losing value even as the Bombay Stock Exchange’s benchmark index, the Sensex, rose 0.15% to close at 20,475.73 points.
SpiceJet slipped 3.25% to close at `74.40, Jet Airways—India’s largest carrier by traffic—fell 1.26% to `806.15, and Kingfisher fell 1.75% to `73.05.
Since January, Jet Airways has risen 45.74%, SpiceJet 31.1% and Kingfisher 15.59%.
Read more: http://www.livemint.com/2010/10/04234454/IndiGo8217s-big-IPO-may-lea.html
Monday, October 4, 2010
Airline debt recast hinges on RBI cues
The debt restructuring of domestic carriers Kingfisher Airlines and Paramount could be delayed, as banks have decided to approach Reserve Bank of India for fresh sweeteners. Bankers said that in response to an earlier request, RBI had allowed a second debt restructuring for aviation companies. But the package does not address the issue of provisioning — a key element to the plan.
Whenever the interest rate on a loan is reset or the tenure is extended to soften terms for a borrower, banks have to treat the arrangement as restructuring. This requires higher provisioning. Banks now want RBI to allow them to treat the restructured aviation loans as a standard asset, which requires lower provisioning.
They had cited the example of the real estate sector and the special dispensation given at the height of the financial crisis to argue their case. The banking regulator, however, allowed only a marginal relaxation in provisioning.
Bankers said the benefit of a second restructuring would only be available to a few lenders, as most had not yet reworked the terms of earlier loans. “This is hardly a benefit. We will wait until we get an exemption from higher provisioning,” said the head of a public sector bank. Another banker said lenders would take up the issue with RBI again.
While there is no consortium arrangement in lending to airlines, most large banks have an exposure to Air India, Kingfisher and Jet. The restructuring will be particularly crucial for Kingfisher. The promoters of Paramount, on the other hand, are looking to repay the airline’s debt from accruals from other group companies.
In the case of Kingfisher, the proposal includes allowing a two-year moratorium on short-term debt, lowering the interest rate and converting part of the domestic debt into external commercial borrowings or cumulative convertible preference shares. The airline had a combined debt of Rs 7,413 crore at the end of December 2009. It posted losses of Rs 1,647 crore at the end of March 2010.
When the proposal for industry-wide debt restructuring was last sent to RBI, central bank Deputy Governor Usha Thorat had told a gathering of bank chiefs and government officials that bank balance sheets were looking healthy enough for them to meet the burden of higher provisioning. Soon after, RBI had allowed banks to go for a second restructuring.
Source: Business Standard
Whenever the interest rate on a loan is reset or the tenure is extended to soften terms for a borrower, banks have to treat the arrangement as restructuring. This requires higher provisioning. Banks now want RBI to allow them to treat the restructured aviation loans as a standard asset, which requires lower provisioning.
They had cited the example of the real estate sector and the special dispensation given at the height of the financial crisis to argue their case. The banking regulator, however, allowed only a marginal relaxation in provisioning.
Bankers said the benefit of a second restructuring would only be available to a few lenders, as most had not yet reworked the terms of earlier loans. “This is hardly a benefit. We will wait until we get an exemption from higher provisioning,” said the head of a public sector bank. Another banker said lenders would take up the issue with RBI again.
While there is no consortium arrangement in lending to airlines, most large banks have an exposure to Air India, Kingfisher and Jet. The restructuring will be particularly crucial for Kingfisher. The promoters of Paramount, on the other hand, are looking to repay the airline’s debt from accruals from other group companies.
In the case of Kingfisher, the proposal includes allowing a two-year moratorium on short-term debt, lowering the interest rate and converting part of the domestic debt into external commercial borrowings or cumulative convertible preference shares. The airline had a combined debt of Rs 7,413 crore at the end of December 2009. It posted losses of Rs 1,647 crore at the end of March 2010.
When the proposal for industry-wide debt restructuring was last sent to RBI, central bank Deputy Governor Usha Thorat had told a gathering of bank chiefs and government officials that bank balance sheets were looking healthy enough for them to meet the burden of higher provisioning. Soon after, RBI had allowed banks to go for a second restructuring.
Source: Business Standard
Thursday, September 30, 2010
Kingfisher Airlines appoints Sanjay Aggarwal as its CEO
S.R. Gupte, Vice Chairman, will continue to Chair the Executive Committee of which Sanjay will become a member with immediate effect.
Kingfisher Airlines has announced the appointment of Sanjay Aggarwal as Chief Executive Officer
S.R. Gupte, Vice Chairman, will continue to Chair the Executive Committee of which Sanjay will become a member with immediate effect.
Sanjay’s most recent assignment was as CEO of Spicejet Limited which he successfully turned into profit. He has a good understanding of the Indian Aviation industry and the various unique business imperatives in India.
Prior to joining Spicejet, Sanjay was COO of Flight Options, the world’s second largest private jet provider. He also spent four years with Marriott International as Senior Director – Information Technology, Strategic and Operations Planning.
Sanjay has also worked for US Airways for six years and brings with him a unique blend of Airline and Hospitality experience which is the hallmark of Fly Kingfisher Airlines.
Source: India Infoline
Kingfisher Airlines has announced the appointment of Sanjay Aggarwal as Chief Executive Officer
S.R. Gupte, Vice Chairman, will continue to Chair the Executive Committee of which Sanjay will become a member with immediate effect.
Sanjay’s most recent assignment was as CEO of Spicejet Limited which he successfully turned into profit. He has a good understanding of the Indian Aviation industry and the various unique business imperatives in India.
Prior to joining Spicejet, Sanjay was COO of Flight Options, the world’s second largest private jet provider. He also spent four years with Marriott International as Senior Director – Information Technology, Strategic and Operations Planning.
Sanjay has also worked for US Airways for six years and brings with him a unique blend of Airline and Hospitality experience which is the hallmark of Fly Kingfisher Airlines.
Source: India Infoline
Kingfisher to launch $250 million GDR issue
Kingfisher Airlines would launch a $250-million GDR issue shortly, and is also in the process of restructuring of its debt with a consortium of bankers, Chairman Vijay Mallya said today.
Speaking at the annual general meeting and later addressing reporters, the UB Group Chairman Mallya said the debt recast is expected to be completed in the "next month or so," which would be immediately followed by the GDR issue.
Stating that RBI has sanctioned the debt restructuring plan, he said the Airlines is currently working with the consortium of banks on recasting the entire debt.
"In broad terms, about 30 per cent of the total debt would be converted by banks into capital," Mallya said, adding, the UB Holdings which held its AGM earlier today, passed a resolution to convert Rs 735 crore of loans also into capital.
"There would be an interest reduction to an average of 11 per cent," he said. The Airlines would now have to make the repayment over a period of nine years, with a two-year moratorium.
Mallya added that the debt restructuring package also calls for Rs 900 crore of additional facility to be provided by the banks to the Airlines.
Once the debt restructuring exercise is completed, Kingfisher would immediately launch the $250 million GDR issue. "....We are completely committed to fund-raising (GDR issue) immediately after the bank restructure is over".
"...We are going to be in the US next week with some preliminary road-shows. We have already met a whole bunch of investors in the US, Europe, Hong Kong and Singapore...All of whom have expressed strong interest in investing in Kingfisher", Mallya said.
He said Kingfisher is now casting its net "further and wider" to make sure that when it launches the issue, there is sufficient investor interest to subscribe to it.
Clearly, Kingfisher has a clearcut direction and financial road-map which is it's working on, he said.
On alteration of debt-equity ratio after the debt recast exercise and GDR issue, Mallya noted that it depends on the price at which Kingfisher issued the shares.
Source: Business Standard
Speaking at the annual general meeting and later addressing reporters, the UB Group Chairman Mallya said the debt recast is expected to be completed in the "next month or so," which would be immediately followed by the GDR issue.
Stating that RBI has sanctioned the debt restructuring plan, he said the Airlines is currently working with the consortium of banks on recasting the entire debt.
"In broad terms, about 30 per cent of the total debt would be converted by banks into capital," Mallya said, adding, the UB Holdings which held its AGM earlier today, passed a resolution to convert Rs 735 crore of loans also into capital.
"There would be an interest reduction to an average of 11 per cent," he said. The Airlines would now have to make the repayment over a period of nine years, with a two-year moratorium.
Mallya added that the debt restructuring package also calls for Rs 900 crore of additional facility to be provided by the banks to the Airlines.
Once the debt restructuring exercise is completed, Kingfisher would immediately launch the $250 million GDR issue. "....We are completely committed to fund-raising (GDR issue) immediately after the bank restructure is over".
"...We are going to be in the US next week with some preliminary road-shows. We have already met a whole bunch of investors in the US, Europe, Hong Kong and Singapore...All of whom have expressed strong interest in investing in Kingfisher", Mallya said.
He said Kingfisher is now casting its net "further and wider" to make sure that when it launches the issue, there is sufficient investor interest to subscribe to it.
Clearly, Kingfisher has a clearcut direction and financial road-map which is it's working on, he said.
On alteration of debt-equity ratio after the debt recast exercise and GDR issue, Mallya noted that it depends on the price at which Kingfisher issued the shares.
Source: Business Standard
Wednesday, September 29, 2010
Kingfisher Trying to Rope in Former SpiceJet Official
MUMBAI: Vijay Mallya-owned private air-carrier, Kingfisher Airlines is in talks with a top former executive of the budget airline, SpiceJet to take him onboard and a final decision on the issue is expected shotly, sources said.
"The former Chief Executive Officer of SpiceJet Airlines, Sanjay Aggarwal, and Kingfisher Airlines' Chairman, Vijay Mallya are in touch for quite some time. A meeting between the two is slated for later this week," industry sources familiar with the development said here on Wednesday.
If the talks fructify, Aggarwal may be appointed for a top job in Kingfisher as early as October, they said.
Aggarwal, who is credited with flying SpiceJet into profit in FY 10, the first time since its inception in 2005, quit the job in July after Chennai-based media baron, Kalanithi Maran bought 37.7 per cent stake with a 20 per cent open offer, following the US investor deciding to offoad his stake.
If Aggarwal comes onboard, his immediate task would be to turnaround the debt-ridden, loss-making airline, sources said.
Aviation industry research and analysis provider, Centre for Asia Pacific Aviation (CAPA) in its mid-year review of the domestic airlines in July this year had stressed on the need of CEO and COO in the airline.
"In order to ensure that the airline (Kingfisher) pursues a disciplined turnaround, a new organisation structure needs to be established with the induction of a CEO and COO," the report had said.
As on March 31, 2010, Kingfisher Airlines' debt stood at Rs 6,000-crore, the largest for any domestic private air carrier. Besides, the company posted a loss of Rs 1647-crore in FY 10.
Even in the first quarter of the current fiscal, airline posted a loss of Rs 187-crore.
Source: The Economic Times
"The former Chief Executive Officer of SpiceJet Airlines, Sanjay Aggarwal, and Kingfisher Airlines' Chairman, Vijay Mallya are in touch for quite some time. A meeting between the two is slated for later this week," industry sources familiar with the development said here on Wednesday.
If the talks fructify, Aggarwal may be appointed for a top job in Kingfisher as early as October, they said.
Aggarwal, who is credited with flying SpiceJet into profit in FY 10, the first time since its inception in 2005, quit the job in July after Chennai-based media baron, Kalanithi Maran bought 37.7 per cent stake with a 20 per cent open offer, following the US investor deciding to offoad his stake.
If Aggarwal comes onboard, his immediate task would be to turnaround the debt-ridden, loss-making airline, sources said.
Aviation industry research and analysis provider, Centre for Asia Pacific Aviation (CAPA) in its mid-year review of the domestic airlines in July this year had stressed on the need of CEO and COO in the airline.
"In order to ensure that the airline (Kingfisher) pursues a disciplined turnaround, a new organisation structure needs to be established with the induction of a CEO and COO," the report had said.
As on March 31, 2010, Kingfisher Airlines' debt stood at Rs 6,000-crore, the largest for any domestic private air carrier. Besides, the company posted a loss of Rs 1647-crore in FY 10.
Even in the first quarter of the current fiscal, airline posted a loss of Rs 187-crore.
Source: The Economic Times
Friday, September 17, 2010
Now, Airlines Pay up for Hassling Fliers
NEW DELHI/MUMBAI: Following a DGCA directive, airlines have for the first time compiled figures for the number of passengers affected by delays, cancellations and denial of boarding passes despite arriving at the airport on time: A staggering 46,228 flyers in August alone.
And this isn't even a comprehensive list, for Air India and Jet, two of the largest domestic carriers, are yet to comply fully with the directive.
As a result of the findings, in a first, 13 of the 71 passengers who were wrongly denied boarding passes were compensated in the range of Rs 3,000 and Rs 5,000, apart from a full refund.
The airlines, including Kingfisher, SpiceJet, IndiGo and Go Air, faced delays of over two hours in August. While the four airlines have a combined market share of 54.7%, Jet-JetLite and AI (domestic) that enjoy the remaining 45.3% domestic slice have not said how many of their flyers faced delays of over two hours.
Industry sources say these numbers could have crossed a lakh had the two majors, Air India and Jet, complied. Jet, like other airlines (except AI), admits to providing meals and refreshment to passengers inconvenienced by delays. Some said they put delayed passengers on other flights.
Similarly, 5,178 domestic passengers who were supposed to be airborne in August were left stranded by sudden cancellations. Kingfisher, SpiceJet and Go account for this collective figure. Interestingly, Jet and JetLite have told the aviation ministry that none of their passengers were affected by cancellations.
This despite the fact that DGCA figures show the overall industry flight cancellation rate was 3.1% last month. But JetLite and Jet topped this list with 10.5% and 6.6%, respectively, of their flights being cancelled. DGCA is going to seek an explanation from Jet on this.
And, finally, of all domestic airlines, only Kingfisher admitted to having denied boarding to 71 passengers. AI did not give any figure. Denial of boarding occurs when airlines overbook to make up for last-minute no shows. Kingfisher told the government that 13 such passengers were refunded and compensated while the rest 58 were accommodated on other flights.
Source : The Economic Times
And this isn't even a comprehensive list, for Air India and Jet, two of the largest domestic carriers, are yet to comply fully with the directive.
As a result of the findings, in a first, 13 of the 71 passengers who were wrongly denied boarding passes were compensated in the range of Rs 3,000 and Rs 5,000, apart from a full refund.
The airlines, including Kingfisher, SpiceJet, IndiGo and Go Air, faced delays of over two hours in August. While the four airlines have a combined market share of 54.7%, Jet-JetLite and AI (domestic) that enjoy the remaining 45.3% domestic slice have not said how many of their flyers faced delays of over two hours.
Industry sources say these numbers could have crossed a lakh had the two majors, Air India and Jet, complied. Jet, like other airlines (except AI), admits to providing meals and refreshment to passengers inconvenienced by delays. Some said they put delayed passengers on other flights.
Similarly, 5,178 domestic passengers who were supposed to be airborne in August were left stranded by sudden cancellations. Kingfisher, SpiceJet and Go account for this collective figure. Interestingly, Jet and JetLite have told the aviation ministry that none of their passengers were affected by cancellations.
This despite the fact that DGCA figures show the overall industry flight cancellation rate was 3.1% last month. But JetLite and Jet topped this list with 10.5% and 6.6%, respectively, of their flights being cancelled. DGCA is going to seek an explanation from Jet on this.
And, finally, of all domestic airlines, only Kingfisher admitted to having denied boarding to 71 passengers. AI did not give any figure. Denial of boarding occurs when airlines overbook to make up for last-minute no shows. Kingfisher told the government that 13 such passengers were refunded and compensated while the rest 58 were accommodated on other flights.
Source : The Economic Times
Air traffic up 19.3 pc; Jet Airways leads
MUMBAI: Passengers carried by domestic carriers rose 19.3 percent to 33.9 million passengers in Jan-Aug with Jet Airways recording the highest market share among domestic carriers, government data showed.
Jet Airways and its budget arm, Jetlite, recorded a combined market share of 27 percent in August while Kingfisher Airlines had a 20 percent share of the aviation market. State-run Air India had a 18.3 percent market share and budget airline SpiceJet had a market share of 12.6 for the month, data from the federal civil aviation ministry showed.
Seat factors for August - historically a lean season for carriers - dipped for Jet and SpiceJet. Jet recorded a seat factor of 70.4 percent in August compared with 73.8 percent in July while SpiceJet's seat factor fell to 70.3 percent from 76.8 percent. Kingfisher recorded a seat factor of 80.9 percent from 79.3 percent last month, the data showed.
Source : The Economic Times
Jet Airways and its budget arm, Jetlite, recorded a combined market share of 27 percent in August while Kingfisher Airlines had a 20 percent share of the aviation market. State-run Air India had a 18.3 percent market share and budget airline SpiceJet had a market share of 12.6 for the month, data from the federal civil aviation ministry showed.
Seat factors for August - historically a lean season for carriers - dipped for Jet and SpiceJet. Jet recorded a seat factor of 70.4 percent in August compared with 73.8 percent in July while SpiceJet's seat factor fell to 70.3 percent from 76.8 percent. Kingfisher recorded a seat factor of 80.9 percent from 79.3 percent last month, the data showed.
Source : The Economic Times
Thursday, September 16, 2010
Kingfisher, BA enter code-sharing agreement
Kingfisher Airlines Monday said it has entered into a code sharing arrangement with British Airways (BA) under which both the carriers will use each other's flight network to and from India, Sri Lanka, Britain and Europe from Sep 15.
A code sharing agreement allows one airline to use another's flight code on its own ticket, thus allowing its passengers to travel on the other airline's flights. Such a move helps carriers to expand their network without actually incurring costs of deploying its own fleet.
"The codeshare with British Airways will mean that our guests from India will now be able to fly seamlessly to nine new European cities," said Vijay Mallya, chairman and chief executive, Kingfisher Airlines.
According to the airline, its code will be placed on nine BA routes from Heathrow to the British region and continental Europe, while BA's code will be placed on 11 domestic Indian routes and one route to Sri Lanka operated by Kingfisher Airlines.
This is the first time that BA has entered into a code sharing agreement with an Indian airline.
A code sharing agreement allows one airline to use another's flight code on its own ticket, thus allowing its passengers to travel on the other airline's flights. Such a move helps carriers to expand their network without actually incurring costs of deploying its own fleet.
"The codeshare with British Airways will mean that our guests from India will now be able to fly seamlessly to nine new European cities," said Vijay Mallya, chairman and chief executive, Kingfisher Airlines.
According to the airline, its code will be placed on nine BA routes from Heathrow to the British region and continental Europe, while BA's code will be placed on 11 domestic Indian routes and one route to Sri Lanka operated by Kingfisher Airlines.
This is the first time that BA has entered into a code sharing agreement with an Indian airline.
Tuesday, September 7, 2010
Airlines cancel flights to Kolkata due to bandh
NEW DELHI: Airlines have cancelled their flights to and from Kolkata tomorrow in the wake of 24-hour long bandh call given by central trade unions to protest against price rise.
Kingfisher has cancelled 29 flights, including one international, while Jet Airways and its low cost arm JetLite have cancelled a total of 70 flights to and from the city.
Central trade unions and workers and employees federations have called the strike on September 7 protesting the rise in prices of essential commodities and petroleum products.
Both the airlines have cancelled their flights to and from Mumbai, New Delhi, Silchar, Bagdogra, Aizwal, Ranchi, Agartala, Bhubaneshwar, Guwahati, Patna, Chennai, Imphal, Vishakhapatnam, Bangalore and Port Blair.
Kingfisher has cancelled their Dhaka flight while Jet their flight to Bangkok.
Jet has preponed their Kolkata-Dhaka flight (9W-274) which would depart Kolkata at 5.30 am, while the Dhaka-Kolkata flight (9W-273) would remain postponed for tomorrow and will operate on Wednesday.
The flight would take-off from Dhaka at 0530 hrs and arrive in Kolkata at 0545 hrs (local time).
Apart from it, Jet has rescheduled their Delhi- Bagdogra-Guwahati-Delhi flight (9W-2285) which would depart Delhi at 11:15 am and arrive Guwahati at 01:45 pm.
Kingfisher has also rescheduled two of its flights, one from Bangalore and other to Hyderabad tomorrow.
The airlines has preponed the departure of its Kolkata-Hyderabad flight (IT 3434) which usually departs the West Bengal capital at 6:50 am would depart at 05:35 am.
Also its Bangalore-Kolkata flight (IT-3419), which originally departs Bangalore at 8.40 pm, will now take-off from there at 4.00 am on Wednesday and arrive Kolkata at 6:15 am.
"Guests are requested to note that there would be no transportation available to and from Kolkata airport while the bandh is in force," a Kingfisher spokesperson said in a statement.
The airlines have requested the passengers to contact their call centers to know about the status of their flights.
Source: http://economictimes.indiatimes.com/news/news-by-industry/transportation/airlines-/-aviation/Airlines-cancel-flights-to-Kolkata-due-to-bandh-/articleshow/6507900.cms
Kingfisher has cancelled 29 flights, including one international, while Jet Airways and its low cost arm JetLite have cancelled a total of 70 flights to and from the city.
Central trade unions and workers and employees federations have called the strike on September 7 protesting the rise in prices of essential commodities and petroleum products.
Both the airlines have cancelled their flights to and from Mumbai, New Delhi, Silchar, Bagdogra, Aizwal, Ranchi, Agartala, Bhubaneshwar, Guwahati, Patna, Chennai, Imphal, Vishakhapatnam, Bangalore and Port Blair.
Kingfisher has cancelled their Dhaka flight while Jet their flight to Bangkok.
Jet has preponed their Kolkata-Dhaka flight (9W-274) which would depart Kolkata at 5.30 am, while the Dhaka-Kolkata flight (9W-273) would remain postponed for tomorrow and will operate on Wednesday.
The flight would take-off from Dhaka at 0530 hrs and arrive in Kolkata at 0545 hrs (local time).
Apart from it, Jet has rescheduled their Delhi- Bagdogra-Guwahati-Delhi flight (9W-2285) which would depart Delhi at 11:15 am and arrive Guwahati at 01:45 pm.
Kingfisher has also rescheduled two of its flights, one from Bangalore and other to Hyderabad tomorrow.
The airlines has preponed the departure of its Kolkata-Hyderabad flight (IT 3434) which usually departs the West Bengal capital at 6:50 am would depart at 05:35 am.
Also its Bangalore-Kolkata flight (IT-3419), which originally departs Bangalore at 8.40 pm, will now take-off from there at 4.00 am on Wednesday and arrive Kolkata at 6:15 am.
"Guests are requested to note that there would be no transportation available to and from Kolkata airport while the bandh is in force," a Kingfisher spokesperson said in a statement.
The airlines have requested the passengers to contact their call centers to know about the status of their flights.
Source: http://economictimes.indiatimes.com/news/news-by-industry/transportation/airlines-/-aviation/Airlines-cancel-flights-to-Kolkata-due-to-bandh-/articleshow/6507900.cms
Subscribe to:
Posts (Atom)