Kingfisher Airlines loss widens as cut flights.

Kingfisher AirlinesKingfisher Airlines Ltd. (KAIR), controlled by billionaire Vijay Mallya, reported a wider second-quarter loss as it cuts flights, looks for government help and asks banks to increase credit limits.

The net loss was 4.69 billion rupees ($93 million) in the quarter ended September 30, compared with 2.31 billion rupees a year earlier, Bangalore-based Kingfisher said in a statement today. Sales ascend 11 percent to 15.3 billion rupees.

Chairman Mallya will hold a press conference at noon in Mumbai, as the carrier attempts to assure investors and passengers following flight cancellations and its 16th straight loss.

Jet Airways (India) Ltd. and SpiceJet Ltd. (SJET) also lost money in the quarter as of rising fuel costs, competition from state-owned Air India Ltd. and a weaker rupee pushing up the repatriated cost of dollar-denominated debt from plane purchases.

Kingfisher was little changed at 21.55 rupees at 9:59 am in Mumbai trading. It jumped 9 percent yesterday after the Economic Times reported that it may sell real estate and amend plane leases to help over halve its 65 billion-rupee debt.


Leave a comment