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KFA grounds 15 aircraft to meet maintenance and overhaul expenses

19 Dec 2011 Evaluate

Unable to meet maintenance and overhaul expenses, cash-strapped Kingfisher Airlines (KFA) has grounded 15 aircraft. The country’s second-largest carrier’s active fleet has come down to 40 from 69 at the end of 2010. The grounded aircraft includes the wide-bodied A330s used for long hauls. About 140 pilots have put in their papers and 11 have left without the loss-making carrier giving them a clearance.

KFA is struggling to raise funds to continue operations and repay debt. The airline's request for additional working capital from its lenders is still pending with the banks.

Kingfisher Airlines, which had accumulated debt of over Rs 7,200 crore, saw its losses more than double to Rs 469 crore in the quarter ended September this year.  The airline had posted a loss of Rs 231 crore during the corresponding period in the previous year. In 2010-11, the airline incurred a loss of Rs 1,027 crore.

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