Mumbai : Debt-ridden Kingfisher Airlines Friday reported a net loss of Rs.4,301.11 crore for the financial year ended March 31, 2013 against a loss of Rs.2,328.01 crore the previous year.
The airline has been defunct after its scheduled air operator’s permit was suspended by the Directorate General of Civil Aviation (DGCA) due to safety concerns and labour problems since October, 2012.
According to a regulatory filing at the Bombay Stock Exchange (BSE), the airline said it had incurred a loss of Rs.2,141.80 crore in the fourth quarter of the last fiscal — up from 1,151.52 crore during the corresponding quarter of 2011-12.
The company’s scrip at the BSE fell 4.98 percent or 0.31 percent around 3.00 p.m. at Rs.6.03 per share from its previous close of Rs.6.34.
The airline currently has accumulated losses of about Rs.16,023.46 crore as of March 31, 2013 and its net worth stood at a negative Rs.12,919.81 crore.
The airline has an estimated debt of around Rs.8,000 crore, which it owes to a consortium of banks, aircraft leasing companies, airport operators, oil marketing companies (OMCs) and other vendors.
It has also failed to clear its employees’ dues for several months.
The airline said in the filing that it has come up with detailed plans for renewal of operations.
“Based on the detailed evaluation of the current situation, plans formulated and active discussions underway with prospective investors, the management is confident of raising adequate finance, obtaining renewal of permit, rescheduling of debt and receiving continued support of the (United Breweries Group) group,” the airline said in the filing.
On April 10, 2013 the airline had submitted to the DGCA a plan to restart operations but the aviation regulator said the plans were incomplete.
The company had said that it plans to initially start operations with funding coming in from the parent UB Group, with a total fleet of seven aircraft. The funding alone was estimated at around Rs.650 crore to pay salaries, refurbish planes and fund operations.
The company earlier submitted a similar plan to the DGCA in December 2012, after the aviation regulator cancelled its flying licence over safety concerns on Oct 20, 2012.
The airline was then asked to prepare a credible revival plan and present it to the DGCA, which will take a final call on restoring the airline’s operating licence.
However, the last plan was rejected, dashing the airline’ hopes to restart in the current summer schedule.
File Photo : AFP