Shares of State Bank of India plunged sharply by over 8 per cent on Wednesday, on concerns about its exposure to Kingfisher Airlines and reports about public sector lender giving fresh loans to the debt-ridden carrier.
The airline is expected to submit a fresh flight schedule to the DGCA.
Heineken could call a shareholder meeting to vote on his ouster from a company his father built into a family empire
Low-cost carrier Kingfisher Red will shut down in four months with the airline group chief Vijay Mallya on Wednesday saying several measures have been initiated to face financial problems caused by high interest burden and burgeoning fuel costs.
Says market share will further increase after induction of Boeing 787 Dreamliners and flights to new destinations.
Data shows of the 385 companies, which had announced their latest shareholding, fund houses cut their stake in about 200.
Tata Sons has started the process of due diligence of state-owned Air India and its subsidiary Air India Express. Sources said the group has appointed Bain and Company and Seabury Group for this purpose. Once complete, a financial bid will be submitted and a deal to take over the airline is likely to fructify by end of this year or even earlier, people involved in the process said. Simultaneously, the group has brought in veterans in the aviation business from Delta and United Airlines to prepare a plan for post-merger integration of Air India with its existing airline ventures. Tata Sons operates Vistara - a 51:49 percent joint venture with Singapore Airlines and Air Asia India, in which Tatas hold 83.67 per cent stakes.
While higher fuel costs and irrational pricing are key concerns, infusion of funds to retire debt is crucial if Kingfisher Airlines has to improve its financials.
Mallya's Rajya Sabha declaration lists investments in racing, finance and investment firms.
Noting the urgency and desire on the part of India to extradite people accused of corruption, the UK on Friday said a "legal process" is on in Vijay Mallya's matter and it has to be followed through as there cannot be any shortcut. In May last year, the fugitive businessman lost his appeals in the British Supreme Court against his extradition to India to face money laundering and fraud charges. Asked when can Mallya be extradited to India and if some kind of legal issue is still pending in the matter, new British High Commissioner to India, Alex Ellis, without pointing to any particular case, said he recognises the urgency, importance and the desire to get back people who are accused of corruption to India.
Airline may cut its fleet from the existing 64 planes over the next few months.
The list of negatives on Kingfisher Airlines is getting longer.
If Mallya does not appear before the court, he risks being declared a fugitive economic offender, besides properties linked to him being confiscated.
Finnair has said that flying from Helsinki to Bangalore and Chennai, where Finnish companies have a large business presence, is part of its expansion plans, besides leveraging from an alliance with Kingfisher Airlines in India.
SBI has already exceeded the exposure limit of Rs 1,436.1 crore (Rs 14.36 billion) in Kingfisher.
According to the department, Kingfisher owes the sum for the April-September period and Air India's is for the period between April and August.
HPCL is the largest supplier of jet fuel to Kingfisher.
The GVK Group-run MIAL issued a notice to the airline on Thursday.
After some initial take off turbulence, Gopinath is now actively steering the air cargo business steadily with equity infusion from Reliance Industries.
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.
Flight schedules to be affected more than thought earlier.
Kingfisher Airlines chief Vijay Mallya today said the company was negotiating with banks to reduce the high interest rates on its Rs 6,000 crore (Rs 60 billion) debt but maintained the air carrier was not suffering from a "huge" debt burden.
It had net loss of Rs 355.55 crore (Rs 3.55 billion) in the January-March quarter of 2010-11, Kingfisher said in a filing to the BSE.
Bollywood actress Deepika Padukone and Sidhartha Mallya, the owner of Kingfisher Airlines, judged models for the Kingfisher Calendar 2011 in Mumbai on October 26.
Ajit Mishra, vice president, research, Religare Broking, answers your stockmarket queries.
It is clear that foreign airlines have realised the growth possibilities of the Indian aviation sector and are keenly interested, the minister said.
Till now in Kingfisher, the number was not fixed and depended on the number of hours flown.
Higher economic growth and affordability will help Indian aviation firms register strong growth.
Flights to the UK and other European destinations of Air India, Jet Airways and Kingfisher Airlines remained cancelled for the sixth consecutive day today in the wake of huge clouds of volcanic ash emanating from Iceland.
It may hit Kingfisher, Paramount restructuring.
As per the latest shareholding pattern filed by Kingfisher with the stock exchanges on Wednesday, ICICI Bank held about 1.67 crore (16.7 million) shares, accounting for a 2.9 per cent stake, in the airline as on March 31, 2012.
"We have not chanced upon any leads so far," Bengaluru City Deputy Commissioner of Police (North-East Division) Basavaraj Malagatti told PTI, even as a police official said in Thiruvananthapuram "we are collecting all the details from both the airports for analysis". The investigation would look into all aspects including on how the explosive material made its way into the cargo hold, the source from where it was procured, the official said in Thiruvananthapuram.
A debate regarding the security breach at the Bangalore International Airport due to which someone managed to plant a crude bomb on a Kingfisher Airlines aircraft from Bangalore to Thiruvananthapuram is on with the authorities blaming each other for the incident.
Second deal in 4 months after tie-up with RIL for cargo airlines.
Vijay Mallya-promoted Kingfisher Airlines is flying into turbulence. More than 150 of its pilots have left in the past year-and-a-half, citing various reasons. Even though others have joined, the current shortage is estimated at 35 pilots, forcing the airline to ground some of its aircraft, cancel leaves of flight commanders, and put senior executives from the operations department on flying duty.
Mallya left the country on March 2 and has had his passport revoked.
Currently, Kingfisher offers international flights to just London and Colombo, Kingfisher Airlines Ltd vice-president (Global Sales) Siva Ramachandran said, adding that there is a proposal for including destinations like Singapore, Hong Kong, Bangkok, Kuala Lumpur, Dhaka, Dubai and Maldives.
The carrier had planned a GDR issue in December last year to reduce its debt but had failed to do so as its stock prices began slumping.
In August, IndiGo makes its international debut with a nine-aircraft fleet to fly to destinations in Southeast Asia and West Asia.
A major security lapse was reported at Nedumbassery airport in Cochin on Sunday morning after explosive chemical material was found on board Kingfisher Airline flight no 2482. The flight was detained for two hours while a thorough check was carried out after smoke was seen emanating from the cargo of the flight.It was found that a box addressed to a detergent company in Chennai contained boric acid and other chemicals which could have caused an explosion.
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