Kingfisher Airlines reports $380 Million Loss
Liquor baron Vijay Mallya’s Kingfisher Airlines Ltd, which was grounded since October 2012, has reported yet another quarter of loss to the tune of $380 million. While the debt-ridden Airlines is yet to win regulatory approvals from the Indian Ministry of Civil Aviation to revive the venture, its leg is dipping down in the mud of debt further and there is no hope of resumption of the operation.
Meanwhile the company has submitted revival proposals at least on two occasions to the Airlines Regulatory Authorities, to make the company back to work, with parent UB Group committing initial funding, but in vain.
The company had incurred a net loss of Rs 21.42 billion in the fourth fiscal quarter ending in March this year, while the loss was Rs. 11.5 billion last year for the same quarter. As for no, Kingfisher is estimated to owe about $2.5 billion to banks, airports and others. In fact, for reasons unknown, the company had never made a profit in its eight years of operations as per reports.
Kingfisher was once India’s No.2 Airlines Company and its flying licenses expired at the end of last year in lieu of its huge debt and resulting Pilot’s agitation for non-payment of salary.