Kingfisher Airlines, country’s second-largest carrier and one of its lessors, AerCap Holdings NV is likely to take back two of its aircraft from Kingfisher in coming months, as both the companies could not agree on extension terms. The two jets were coming up for renewal in the next three months.
The company is planning to add a new aircraft to the fleet in December to replace one of these two. Kingfisher, India's third-largest airline by market share, has cancelled scores of flights in November and is struggling to raise funds.
Recently the company was planning to cut debt by more than half by selling its property, converting loans from its parent company into equity, and changing the terms under, which it leases aircraft. The plan will result in debt coming down from Rs 6,500 crore to Rs 3,000 crore.
