Though private airports did not spell out the exact sum owed by Kingfisher, in strict confidentiality one of the private airport operators confirmed that the airline was the biggest defaulter with them. Airport charges include landing, parking, terminal and route navigation levy. Though AAI has enforceable bank guarantees, private airport operators do not have this facility.
In its revival plan submitted to aviation regulator Directorate General of Civil Aviation on Wednesday, the cash-strapped airline is understood to have said that it has requested the Airports Authority of India to allow them to fly on cash-and-carry basis, that is pay for the services as and when the airline avails of them.
The letter came on a day when at least 16 Kingfisher flights, 10 from Mumbai and six from Delhi, were cancelled due to the strike.
Kingfisher Airlines Ltd has been directed by the Delhi High Court to pay Rs 52.61 lakh to a pilot.
"On-time performance is no longer a luxury, it is a necessity. On-time service, too, is said to have helped IndiGo become the second-biggest airline. People fly to be on time and for point-to-point travel. IndiGo seems to have got its fundamentals right," says Amber Dubey, director (aerospace & defence) at global consultancy firm KPMG.
IndiGo gained a market share of 14.7 per cent, closely followed by Kingfisher Red at 13.3 per cent whereas Kingfisher slipped two notches to the fifth position at 11.6 per cent. Kingfisher stood at No.3 in October, followed by Kingfisher Red and IndiGo at fourth and fifth, respectively.
Airline may cut its fleet from the existing 64 planes over the next few months.
With promoters unable to raise money, airline may find it difficult to sustain curtailed operations.
Earlier this year, Kingfisher Airlines had acquired 26 per cent stake in low-cost carrier Deccan Aviation for Rs 550 crore (Rs 5.5 billion). The company also made an open offer for another 20 per cent stake in Deccan Aviation. The open offer was oversubscribed. It received bids for 35 million equity shares against the issue size of 27 million shares.
Maintaining that the management was working to get fresh investment 'in the next few months', the Kingfisher CEO said no potential investor would put money in an airline that was not operational and neither would passengers return till operations commenced.
On October 5, the Directorate General of Civil Aviation, or DGCA, finally wrote to the troubled Kingfisher Airlines, asking it to show cause why its licence should not be revoked.
After rationalising flights and routes, major domestic airlines like Kingfisher, Jet Airways and SpiceJet are introducing sharp cutbacks in staff and salaries to cope with slower passenger growth and rising aviation turbine fuel costs. Manpower typically accounts for 10-15 per cent of an airline's total costs.
All flights into and out of the UK were cancelled for safety reasons, with all major airports ordered closed.
Vijay Mallya, who had a meeting with the employees including pilots and engineers late on Monday night, had assured them that their dues would be paid in a staggered manner by April 10.
Nine flights from Bengaluru and at least three from Delhi were cancelled till this afternoon as several pilots did not report for duty, airline officials said.
Upon receiving suspension order from the Directorate General of Civil Aviation on Saturday, Aggarwal wrote to employees seeking their backing.
The board of Deccan Aviation, India's largest budget carrier, will meet in Bangalore on Wednesday to consider the merger with the UB Group's Kingfisher Airlines, which bought a stake in the carrier recently.
The company hiked its loan limit to the debt stricken carrier to Rs 750 cr from Rs 300 cr.
The Rs 3.6-crore (Rs 36-million) payable by Kingfisher in the court would cover the dues for three months -- July, August and September.
After hearing Kingfisher's plea, the COMPAT observed that the CCI had acted beyond its scope in the matter and set aside the penalty.
At least 34 flights of Kingfisher airlines were cancelled on Tuesday with the Vijay Mallya-owned carrier maintaining these were planned curtailments.
A Mumbai to Bengaluru Kingfisher Airlines flight had to make an emergency landing at the Mumbai airport soon after take-off after its landing gear malfunctioned on Tuesday.
Kingfisher Airlines is exploring hiving off its engineering department into a separate maintenance, repair and overhaul (MRO) unit. This is one of several measures being considered by the airline management to tide over its current financial crisis.
The data of the director general of civil aviation, which publishes monthly data on registration, deregistration and change of ownership of the aircraft, showed that in December 2008, Kingfisher returned six Airbus and one ATR aircraft to the lessors.
Faced with a cash crunch resulting in several employees not getting salaries and dues for over three months, the airline also did not rule out a lay off.
This reduction is likely to increase the average load factor, currently around 75 per cent, and the yields thereby.
Airline had promised them salaries by Diwali.
The results are required to be disclosed by listed companies on stock exchange platform for benefit of investors.
As over 40 flights were cancelled across the country on Tuesday, the airline informed DGCA that it had 28 functional aircraft, out of 64 planes in November last.
Aviation consultancy CAPA on Thursday said allowing domestic airlines to take advance bookings from April 15 is "unfair" to consumers since a decision on lifting the nationwide lockdown is yet to be taken. During the lockdown period only special flights approved by aviation regulator Directorate General of Civil Aviation, medical evacuation flights and those carrying cargo, including medical equipment, to and from different parts of the country are operational.
Move follows income tax department's decision to lift freeze on some bank accounts
A section of Kingfisher pilots have reported sick in protest against non-payment of salaries.
Claiming that their salaries had still not been cleared, a section of Kingfisher Airlines staff including engineers and pilots is mulling the option of moving the Labour Court to expedite settlement of their dues.
Last Tuesday, chairman of the crisis-hit airline Vijay Mallya assured his employees that their salaries would be disbursed in a staggered manner from April 4 to 10.
Kingfisher Airline employees, who have not received their May salary despite an assurance from the airline management, are likely to chalk out an action plan next week, if they do not receive their dues by November 17.
Kingfisher has hastened to point out that a suspension was not a cancellation.
ILFC urges India to release six jets held 'hostage' after Kingfisher failed to pay for them.
The airline was considering selling two properties worth Rs 120 crore for partial loan repayment.
Premier airlines, British Airways and Kingfisher Airlines, are likely to announce a codeshare agreement next month which would facilitate seamless travel for passengers, who can also enjoy benefits while travelling on each other's networks.
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