Kingfisher might be taken for dead but the airline is more resilient than expected and just came out with a recovery plan unveiled early this week…
DELHI- Suspension of international flights and from a future membership with the global alliance Oneworld, financial loses and a partial seizure of the fleet for the non-payment of airport’s fees, India’s Kingfisher Airlines is facing turbulent times. Many experts of the Indian air transport believed just two months ago that all these events would sign the death warrant of the beleaguered air carrier.
However, Kingfisher is more resilient than expected. The carrier just released plans to continue its operations with a limited fleet while carrying on with its aircraft reconfiguration programme. Kingfisher even revealed this week that it plans now to be back to full-scale operations within 12 months time. The plan will be backed by a recapitalization of the carrier which is “actively pursuing and confident of achieving”, according to in a statement accompanying its financial results. A reduced fleet of 20 aircraft will help contain losses until the situation improved. Network has been streamlined with the end of international flights and the closure of domestic destinations such as Kolkatta, Ahmedabad and Hyderabad. Kingfisher lost US$ 415 million for the financial year ending March 31, 2012. Its total debts are estimated at US$ 1.6 billion.
Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.
