Kingfisher Airlines has lost its international and domestic flying rights following a decision by the Indian government. Following the move, rights will be handed to competitors, marking a further decline in the fortunes of the airline.
Kingfisher Airlines has taken one more step toward the edge, with the Indian airline losing its flying permit after a deadline to renew its suspended license expired. The debt-ridden carrier has been grounded since October after repeated strikes by employees over unpaid wages.
Kingfisher Airlines has confirmed it is in talks with Etihad Airways over potentially taking an equity stake in the troubled India carrier. A number of other investors are believed to be interested in the airline, which is battling for survival.
Indian officials have seized an aircraft owned by troubled airline Kingfisher after the carrier failed to pay taxes. The beleaguered airline owes millions of rupees to the Indian Service Tax Department.
Things have gone from bad-to-worse for Vijay Mallya, owner of the beleaguered Kingfisher Airlines, with a court in India issuing a warrant for his arrest. Mallya has been battling to keep his sprawling business empire afloat in recent months as debts continue to mount.
India’s Kingfisher airline has grounded its fleet for an additional week after talks with angry workers about unpaid wages failed. The struggling carrier was forced to suspend flights on October 1st for three days after staff went on strike.
Management at the benighted Kingfisher Airlines have taken the decision to partially lock out staff after threats were made against the company. “Acts of criminal intimidation by the same class of recalcitrant employees who have regrettably chosen to take law into their own hands” were blamed for the airline, which has been forced to ground flights.
Kingfisher Airlines has confirmed it will suspender overseas routes as it seeks to refinance its operations and stave off bankruptcy. However, the Indian carrier will hold on to its licence and continue to operate domestic departures, it was confirmed earlier.
British Airways has suspended its code-share agreement with struggling Indian carrier Kingfisher Airlines. This is the latest blow for the troubled carrier, which has been operating a reduced service in recent weeks with a number of cancelled flights.
The International Air Transport Association (IATA) has suspended Kingfisher Airlines from the global clearing system for the second time this year after the Indian carrier failed to make payments that were due.
Airline alliance oneworld has postponed the entry of Indian airline Kingfisher as doubts over its economic viability to continue to plague the carrier. Kingfisher has been expected to join the alliance later this week, but has now been given time to “strengthen its financial position”.
Kingfisher Airlines has been forced to ground aircraft in its fleet as it continues to battle a severe shortage of cash. A Kingfisher executive told reporters the airline had grounded 15 of its planes as speculation mounted the carrier was unable to meet maintenance and overhaul expenses.