IS KFA FOR SALE?
Join Date: Mar 2008
Location: Big Blue Yonder
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Well chaps , once again , hate to have "told you so" but just go through my previous comments.Surprised no one saw it coming.But yes the industry would have corrected itself earlier if the Good Doctor had allowed Baldy Gopinath to sink.You have another storm brewing with Baldy Gopinath shutting down his cargo operation.Owes tons of money to people all around but is not going to pay up and will continue to be a celebrity.Both VM and Cap G will have the same fate.Con the world and still make it to page 3....and just a little advice to anyone planning to buy KF , just be a little intelligent.
it !!
Join Date: Jun 2007
Location: Cochin VOCI , India
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Kingfisher says capital crunch hurting salary payments
New Delhi: Kingfisher Airlines Ltd has told employees that a looming capital crunch coupled with a gloomy economic environment is making it difficult for the carrier to pay salaries on time.
The Vijay Mallya-led airline has been under financial stress for the past two years and has delayed salaries to employees for the second consecutive month. Salaries are typically disbursed on the seventh day of a month, but employees had received neither salaries nor a message explaining the delay, Mint reported on Thursday.
“You are aware that Kingfisher has been trying to raise capital for some time now. Due to uncertain economic global climate, we have not been successful yet,” chief executive Sanjay Aggarwal wrote in an email to employees on Saturday. “Higher oil prices, lean season, low yields and devaluation of rupee have all compounded the issue...causing occasional disruptions in the operations and delay in salaries.”
Kingfisher has been trying to raise up to $250-350 million (Rs. 1,222-1,7111 crore) through the issue of global depository receipts and domestic offerings or a rights issue, but has not been able to do so yet. Its lost Rs. 1,027 crore in the fiscal year ended 31 March, by when it had accumulated Rs. 7,057.08 crore in debt.
Aggarwal said 75% of employees have been paid for September and the rest can expect salaries by 17 October, adding that the airline would try to prevent a repeat. “I want you to know that we are taking all possible steps to deal with this exceptional situation,” he said in the email reassuring employees.
On 15 October, state-run oil refiner Hindustan Petroleum Corp. Ltd (HPCL) temporarily suspended supply of fuel to Kingfisher for the second time in four months, citing non-payment of dues. Several of the airline’s flights, with passengers aboard, were stranded at various airports for several hours before fuel supply was restored after a deal was struck between HPCL and Kingfisher.
On Monday, Kingfisher Airlines shares rose 0.69% to Rs. 21.80 apiece, down 71% from Rs. 75.20 a year ago, on the Bombay Stock Exchange. The benchmark Sensex fell 0.34% on Monday.
Kingfisher says capital crunch hurting salary payments - Corporate News - livemint.com
The Vijay Mallya-led airline has been under financial stress for the past two years and has delayed salaries to employees for the second consecutive month. Salaries are typically disbursed on the seventh day of a month, but employees had received neither salaries nor a message explaining the delay, Mint reported on Thursday.
“You are aware that Kingfisher has been trying to raise capital for some time now. Due to uncertain economic global climate, we have not been successful yet,” chief executive Sanjay Aggarwal wrote in an email to employees on Saturday. “Higher oil prices, lean season, low yields and devaluation of rupee have all compounded the issue...causing occasional disruptions in the operations and delay in salaries.”
Kingfisher has been trying to raise up to $250-350 million (Rs. 1,222-1,7111 crore) through the issue of global depository receipts and domestic offerings or a rights issue, but has not been able to do so yet. Its lost Rs. 1,027 crore in the fiscal year ended 31 March, by when it had accumulated Rs. 7,057.08 crore in debt.
Aggarwal said 75% of employees have been paid for September and the rest can expect salaries by 17 October, adding that the airline would try to prevent a repeat. “I want you to know that we are taking all possible steps to deal with this exceptional situation,” he said in the email reassuring employees.
On 15 October, state-run oil refiner Hindustan Petroleum Corp. Ltd (HPCL) temporarily suspended supply of fuel to Kingfisher for the second time in four months, citing non-payment of dues. Several of the airline’s flights, with passengers aboard, were stranded at various airports for several hours before fuel supply was restored after a deal was struck between HPCL and Kingfisher.
On Monday, Kingfisher Airlines shares rose 0.69% to Rs. 21.80 apiece, down 71% from Rs. 75.20 a year ago, on the Bombay Stock Exchange. The benchmark Sensex fell 0.34% on Monday.
Kingfisher says capital crunch hurting salary payments - Corporate News - livemint.com
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Kingfisher sacks 30 engineers
Cash-strapped Kingfisher Airlines, saddled with huge losses and debts, is learnt to have sacked 30 engineers last month.
The sacking, company sources said, comes at a time when the airline is consolidating operations, and did not rule out the possibility of more technical staff being pink slipped in the coming months.
The Vijay Mallya-led airline hasn’t made a profit since its inception in 2005. “Decisions made in the day-to-day running of the airline are not communicated, shared or discussed externally,” Kingfisher said in an email reply to the questions from HT.
“With the Indian air transport market undergoing upheaval and changes, we shouldn’t be surprised to see more engineers or flight crews leave Kingfisher,” said Saj Ahmad, a London-based aviation analyst. “If, engineers have been asked to leave, one has to ask what is happening to the eventual fleet size at Kingfisher? The real question is whether this new direction Kingfisher heads-in, actually delivers any benefits?”
“There exists some excess technical staff in Kingfisher because of reduction in fleet by 20% in last 2-3 years and since Kingfisher is consolidating operations and not expanding, allowing engineers to leave is in line with their current operational requirements,” said Kapil Kaul, South Asia CEO of Centre for Asia Pacific Aviation, an aviation consultancy and research firm.
Kingfisher sacks 30 engineers - Hindustan Times
The sacking, company sources said, comes at a time when the airline is consolidating operations, and did not rule out the possibility of more technical staff being pink slipped in the coming months.
The Vijay Mallya-led airline hasn’t made a profit since its inception in 2005. “Decisions made in the day-to-day running of the airline are not communicated, shared or discussed externally,” Kingfisher said in an email reply to the questions from HT.
“With the Indian air transport market undergoing upheaval and changes, we shouldn’t be surprised to see more engineers or flight crews leave Kingfisher,” said Saj Ahmad, a London-based aviation analyst. “If, engineers have been asked to leave, one has to ask what is happening to the eventual fleet size at Kingfisher? The real question is whether this new direction Kingfisher heads-in, actually delivers any benefits?”
“There exists some excess technical staff in Kingfisher because of reduction in fleet by 20% in last 2-3 years and since Kingfisher is consolidating operations and not expanding, allowing engineers to leave is in line with their current operational requirements,” said Kapil Kaul, South Asia CEO of Centre for Asia Pacific Aviation, an aviation consultancy and research firm.
Kingfisher sacks 30 engineers - Hindustan Times
Join Date: Sep 2008
Location: RIGHT SIDE OF GOD
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There is an ad in today's ascent for KF cabin crew (male/female,thought they only took females).Can anyone make sense of this.Why would they fire engineers and come out with an ad for cabin crew.Is this some kinda scam
Join Date: Apr 2008
Location: USA
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Wonder if we will see a turnaround if BA decides to invest given their already strong partnership with KFA
FDI to breathe fresh air into Kingfisher? Sure, say experts - Moneycontrol.com -
Kingfisher Airlines (KFA) would be the biggest beneficiary if 25% foreign direct investment (FDI) is allowed in Indian air carriers.
According to sources in the civil aviation ministry, Vijay Mallya, owner of KFA has been lobbying with the government to allow foreign airlines to invest in the Indian aviation space. Currently, 49% FDI is allowed in airport infrastructure related projects but a restriction on foreign investment in airline prevails.
Shares of KFA rallied over 4% yesterday following news of civil aviation minister Vayalar Ravi making a statement that his ministry is considering the recommendation of the Department of Industrial Policy & Promotion (DIPP) to allow foreign carriers to pick up stakes in domestic airlines.
FDI to breathe fresh air into Kingfisher? Sure, say experts - Moneycontrol.com -
Kingfisher Airlines (KFA) would be the biggest beneficiary if 25% foreign direct investment (FDI) is allowed in Indian air carriers.
According to sources in the civil aviation ministry, Vijay Mallya, owner of KFA has been lobbying with the government to allow foreign airlines to invest in the Indian aviation space. Currently, 49% FDI is allowed in airport infrastructure related projects but a restriction on foreign investment in airline prevails.
Shares of KFA rallied over 4% yesterday following news of civil aviation minister Vayalar Ravi making a statement that his ministry is considering the recommendation of the Department of Industrial Policy & Promotion (DIPP) to allow foreign carriers to pick up stakes in domestic airlines.
