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ameya · Posted: Wed Dec 19, 2012 10:27 am Post subject:

Jeh - when you start the sentence with - reported in Mumbai Mirror, it sums it all !

747-237 · Posted: Wed Dec 19, 2012 10:38 am Post subject:

If not by 31 Dec, Kingfisher can submit revival plan in 2 yrs

The government has invoked a provision wherein Kingfisher Airlilne can submit a revival plan in two years even if its flying licence expires on 31 December, reports the Economic Times.

http://www.firstpost.com/business/if-not-by-31-dec-kingfisher-can-submit-revival-plan-in-2-yrs-562517.html
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HAWK21M · Posted: Wed Dec 19, 2012 1:08 pm Post subject:

18th has gone.....31st is awaited........The story so far.....
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luvleen · Member Joined: 02 Jul 2012 Posts: 179 Location: Bombay

ameya · Posted: Thu Dec 20, 2012 11:04 am Post subject:

So far nobody has been able to get back to life.

I guess SG is one which restarted on the modiluft licence after so many years. Not sure how they managed it.

But with media attention dying down, VJM would not mind if the airline dies silently

iah87 · Member Joined: 17 Apr 2007 Posts: 2567

747-237 · Posted: Thu Dec 20, 2012 10:12 pm Post subject:

Kingfisher Airlines applies for renewal of operating licence

http://zeenews.india.com/business/news/companies/kingfisher-airlines-applies-for-renewal-of-operating-licence_66730.html
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747-237 · Posted: Fri Dec 21, 2012 6:21 am Post subject:

http://business-standard.com/india/news/ilfc-wants-aircraft-returned/496295/

ILFC wants aircraft returned

Dec 21, 2012

International Lease Finance Corp ( ILFC), the plane-leasing business of insurance giant American International Group Inc, has asked India’s aviation regulator to deregister four aircraft leased to Kingfisher Airlines Ltd after termination of a contract. This happens shortly after Germany-based DVB Bank SE, the world’s largest aircraft financer, filed a case against Kingfisher for pending dues and taking back two aircraft, which are now in Turkey.

ILFC is also seeking return of the four aircraft, one of which was impounded by Indian tax authorities after the Vijay Mallya-led airline defaulted on payments. “We are examining the matter. Apart from deregistering, we will also have to issue export certification of airworthiness for those aircraft,” according to a senior civil aviation ministry official, who requested anonymity.

ILFC is the owner of six aircraft, whereas DVB has partly financed Kingfisher’s purchase of two planes. “As far as the DVB case is concerned, we are waiting for a court judgment, as it is one of the many financers for aircraft purchase,” said the official.

Being the owner of the aircraft, ILFC has an edge in the matter as India has signed the Cape Town Convention, which seeks to protect the interests of leasing companies. According to the convention, as soon as the lease period is over, the country is committed to return the aircraft to the concerned leasing company.

“We will talk to tax authorities as CBEC (Central Board of Excise and Customs) can't impound planes leased to Kingfisher under the Cape Town convention,” the official said.

Prakash Mirpuri, a spokesman at Kingfisher, had said on December 11: “The detention of the aircraft is illegal and will send a wrong signal to companies that want to do business in India.”

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747-237 · Posted: Sat Dec 22, 2012 6:30 am Post subject:

http://www.hindustantimes.com/News-Feed/SectorsAviation/Planes-deregistered-German-bank-sues-DGCA-Kingfisher-Airlines/Article1-979139.aspx

Planes deregistered: German bank sues DGCA, Kingfisher Airlines

December 21, 2012

Germany's DVB Bank SE has sued aviation regulator Directorate General of Civil Aviation (DGCA) and Kingfisher Airlines to have two planes it financed for the troubled carrier deregistered, a possible first step towards recouping its funds.

The case underlines the problems that leasing firms and financing companies face in recovering grounded planes from Kingfisher, as airports, banks and tax authorities scramble for the crisis-hit carrier's assets.

International Lease Finance Corp (ILFC) - owned by US insurer AIG - is also struggling to take back Kingfisher planes it owns, one of which, an Airbus A-320, has been impounded by tax authorities for non-payment of dues by the carrier.

The DGCA must deregister the DVB-financed Airbus planes, now parked in Istanbul, before the bank can put them to use or lease them out.

"Our main trouble really is with the DGCA, which should deregister the aircraft," Carsten Gerlach, senior vice president of aviation finance at DVB, told Reuters.

"We have now filed a writ petition at the high court in Delhi against DGCA and also Kingfisher, strictly focused on deregistration," Gerlach said by phone from Frankfurt.

However, the DGCA argues that those aircraft were not financed by DVB alone, so deregistering them would make the DGCA answerable to other financiers, who are also trying to recover their money, according to a senior government source with direct knowledge of the situation.

The DGCA and Kingfisher did not respond to requests for comment.

Meanwhile, leasing company IFCL has also asked the DGCA to deregister four Kingfisher-operated planes, but it faces separate obstacles.

These planes include an Airbus A-320 parked at Mumbai airport that was impounded by tax authorities last week after the carrier failed to settle long-pending dues.

"People just go the airport, see a plane in Kingfisher colours, and stake their claim on it," the source said, referring to the tax authorities' impounding of the Airbus.

"What they don't understand is that the plane may not belong to Kingfisher at all."

Kingfisher, owned by flamboyant liquor baron Vijay Mallya, has hit back at the tax authorities' actions, saying it is illegal for authorities to seize aircraft that are owned by foreign lessors.

"This will send a very wrong signal to any foreigner who wishes to do business in the aviation industry in India," the airline said in a statement last week.

Kingfisher has 33 scheduled passenger planes registered in India, according to data from the DGCA. It had a fleet of 64 a year back, when it was India's No. 2 carrier by market share.

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sri_bom · Member Joined: 22 Dec 2006 Posts: 2365 Location: Singapore

Etihad Airways not convinced by Kingfisher Airlines' interim revival plan: report

21-Dec-2012 10:40 AM

Etihad Airways is reportedly not convinced by Kingfisher Airlines' interim revival plan and has sought for more clarity on the carrier's plan (CNBC-TV18, 20-Dec-2012). Executives from both airlines reportedly met on 20-Dec-2012 to discuss stake sale plans but the talks reportedly remained inconclusive as Kingfisher Airlines failed to present a concrete long-term plan. Meanwhile, reports indicate Jet Airways has become the preferred airline for Etihad Airways to acquire a stake.

747-237 · Posted: Mon Dec 24, 2012 3:58 pm Post subject:

Kingfisher Airlines submits revival plan to DGCA

http://www.business-standard.com/india/news/kingfisher-airlines-submits-revival-plan-to-dgca/200477/on
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Aseem · Member Joined: 15 Dec 2006 Posts: 2841 Location: YYZ

747-237 · Posted: Tue Jan 01, 2013 7:01 am Post subject:

Kingfisher plans March restart as licence expires

The parent UB Group will inject Rs.652 crore to restart flights by March with seven planes

http://www.livemint.com/Companies/HoX8uW7MWDIwNz8IzjVSbN/Flying-permit-of-Kingfisher-expires-on-Monday.html
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Nimish · Posted: Tue Jan 01, 2013 11:54 am Post subject:

^^ Yeah right... Another lollipop from IT - they really think everyone can be fooled all the time!
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iah87 · Member Joined: 17 Apr 2007 Posts: 2567

Just why would UB group inject into a defunct airline with no hope of even breaking even for several years. What happens to all the debt ? UB group is only partially controlled by VJM and would be foolish to inject any more money into KF.

So with this announcement EY's appears to wisely choose not to invest. Now we have to see what happens to EY-9W deal.

Jeh · Posted: Fri Jan 04, 2013 2:18 am Post subject:

Kingfisher Airlines may lose airport slots

Mumbai: State-run Airports Authority of India (AAI) has warned Kingfisher Airlines Ltd, grounded since October, that it will start taking away space allotted to the troubled airline at airports across the country if it fails to submit a “functional” plan by mid-January.

The development comes as lenders are scheduled to meet representatives of Kingfisher Airlines’ management on Friday in Bangalore and rival Jet Airways (India) Ltd said it was in talks with Etihad Airways for a possible investment. If a deal takes place, it would close the door on the prospects of the United Arab Emirates (UAE) airline picking up a stake in Kingfisher.

Privately run airports, such as those in Delhi and Mumbai, have already started giving key slots held by Kingfisher Airlines to other airlines, making its planned, phased restart even more difficult.

Kingfisher submitted a restart plan to DGCA late last month. This involves a likely March resumption with seven planes, moving up to 21 in four months, with a fund infusion of Rs.652 crore from parent UB Group.
AAI chairman V.P. Agrawal said the plan submitted to DGCA was not a “functional” one. “AAI has to recover its dues from Kingfisher Airlines. If it is not submitting a concrete functional plan by mid-January, we will evacuate the assets of the airline from airports across the country. We also have plans to expedite check bouncing case against Kingfisher Airlines,” Agrawal said.

Kingfisher Airlines owes Rs.220 crore to AAI, which manages 115 airports across the country.

Meanwhile, a group of six lenders to the airline will meet on Friday to examine the viability of the revival plan presented to the DGCA and the bankers. According to a State Bank of India (SBI) executive, the representatives of SBI, Punjab National Bank, Bank of Baroda, Bank of India, IDBI Bank Ltd and United Bank of India will meet the senior management of Kingfisher Airlines in Bangalore. “We have not decided to pull the plug. A decision would be taken post the meeting. We cannot attend a meeting with a preconceived notion. We will listen to the airline management first,” the SBI executive said, requesting anonymity.

Kingfisher Airlines owed $2.5 billion (around Rs.13,600 crore today) to banks and majority shareholders as of 30 June, according to aviation consultant Capa.

The airline owes around Rs.7,500 crore to banks alone.

A senior official at the ministry of civil aviation was sceptical about Kingfisher’s prospects and the commitment of promoter Vijay Mallya to the airline’s resumption. “The revival plan submitted with the DGCA does not say much,” the official said on condition of anonymity. Mallya has not furnished any guarantees from the UB Group that it will inject the required Rs.652 crore, he said. “Kingfisher Airlines has not paid its employees for the last several months. And it needs to give three months’ training to its pilots before restarting operations. Bankers are not willing to lend additional funds to Kingfisher Airlines. In fact, the plight of Kingfisher Airlines has led to a situation where other airlines too are not getting funds from banks,” he added.

Mumbai International Airport Pvt. Ltd has given Delhi-Mumbai slots, critical for a domestic airline, to another private airline, according to a senior airport official. “More slots would be given to other carriers if the airline is not clearing dues to airports,” he said on condition of anonymity.

Kingfisher Airlines owes around Rs.50 crore to Mumbai airport.
Delhi airport is still holding Kingfisher Airlines’ slots as the airport has greater capacity.

“In October, the DGCA asked us to not to give away the slots of Kingfisher Airlines assuming it will submit a revival plan. As of now, we have no plan to evict the airline,” a senior Delhi airport executive said. The airline owes approximately Rs.36 crore to Delhi airport.

A fairly useful status update from Mint on the IT case. By the way, isn't that second A321 stored without a radome?!

I wonder how much longer this thread will last:?:

Saharsh · Member Joined: 24 Dec 2012 Posts: 33 Location: Noida

Seems that the king of good times is facing really tough times!!Vijay Mallya has the money to buy a 450 crore IPL team but not to pay 140 crore pending salaries to his employees??!!
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iflytb20 · Posted: Sun Jan 06, 2013 1:00 pm Post subject:

747-237 · Posted: Mon Jan 07, 2013 6:12 am Post subject:

Kingfisher Airlines may lose international rights, slots

http://economictimes.indiatimes.com/news/news-by-industry/transportation/airlines-/-aviation/kingfisher-airlines-may-lose-international-rights-slots/articleshow/17919382.cms
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Jeh · Posted: Mon Jan 07, 2013 8:51 am Post subject:

Spiderguy252 · Posted: Wed Jan 09, 2013 6:27 am Post subject:

747-237 · Posted: Wed Jan 09, 2013 3:27 pm Post subject:

Six Kingfisher slots in Mumbai intl airport given to Indigo

http://www.firstpost.com/business/six-kingfisher-slots-in-mumbai-intl-airport-given-to-indigo-581800.html
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747-237 · Posted: Wed Jan 09, 2013 5:39 pm Post subject:

Kingfisher row: Employees move court seeking co's closure

Beleaguered Kingfisher Airlines today faced fresh trouble with its employees deciding to move court seeking a formal closure of the company if it did not spell out future plans giving a time-line for clearing their salary dues of eight months.

http://www.moneycontrol.com/news/business/kingfisher-row-employees-move-court-seeking-cos-closure_805528.html
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747-237 · Posted: Thu Jan 10, 2013 3:52 pm Post subject:

Dear Colleagues

I would like to wish you all a happy new year and take this opportunity of sharing important information with you.

1. Re-Start - we have submitted a detailed restart plan to the DGCA which is in two parts. The first part deals with a limited re-start utilising 7 aircraft ramping up to 21 aircraft in 4 months. The second part is a full scale rehabilitation of our Airline growing to 57 aircraft within 12 months of recapitalization. Both plans contain detailed information on key assumptions and funding requirements including payment of outstanding salaries to employees.

2. Funding - The limited re-start plan which we target for the beginning of the 2013 summer schedule requires funding of approximately Rs. 650 crores which is committed to be provided by The UB Group and associates.

3. DGCA - we have met with the DGCA and are in the process of submitting additional data and no-objection letters from key vendors as required by them. The factual position is that the Civil Aviation Regulations provide for a time period of upto two years to renew an Airline's scheduled operating permit from the date of expiry. We are on safe ground here. We will make all necessary efforts to satisfy the DGCA in order to secure renewal of our AOP.

4. Banks - we are meeting with our consortium of banks regularly and keeping them fully informed every step of the way. They have requested our urgent attention to certain overdues which we are addressing with them. The banks have been very co-operative and patient. There has been no discussion at all on recall of loans, enforcement of securities, etc.as reported in the media. On the contrary, the banks have expressed their keen desire to see Kingfisher fly again.

5. Prospective Investors - we have been in discussion with prospective strategic as well as financial investors for over a year. A large part of any investment decision hinged upon the Government's policy of FDI in Aviation by foreign Airlines. This new dispensation was announced on September 14, 2012 until which time discussions were stalled. The Aviation Industry in India is a seriously complex one including high costs resulting from excessive taxation and monopolies. Investors need to be convinced about the long term prospects of their proposed investment in Kingfisher and this takes time. Please rest assured that we are in discussion with multiple investors and remain confident that we will secure a deal.

6. Media - as you know, the media has continued their negative reporting on Kingfisher. I would urge each one of you to be particularly careful in any interaction you may have with them. Unfortunately, considerable management time is spent correcting or clarifying media reports than in transactional discussions.

I appeal to each one of you to stand together in solid support of your organisation. We need to single mindedly focus on being back in the air and to win back the confidence of our loyal guests.

Best Regards,
Vijay Mallya
Member of Parliament
Chairman and Managing Director
KINGFISHER AIRLINES LIMITED
A UB Group Company

http://profit.ndtv.com/news/corporates/article-vijay-malla-shares-revival-plan-with-kingfisher-employees-in-letter-full-text-315920
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patkini · Member Joined: 27 Oct 2007 Posts: 313 Location: BOM

Jeh · Posted: Fri Jan 11, 2013 12:36 am Post subject:

Can they do this? Most of the aircraft aren't owned by Kingfisher.

Service Tax Dept serves notice to Kingfisher, `impounds' all aircraft

In more trouble for beleaguered Kingfisher Airlines, Service Tax Department has issued a notice to the carrier, "impounding" all its aircraft, department sources said here tonight. According to the notice, the airline cannot fly outside the registered airport premises. The grounded airline owes around Rs. 190 crore to the Service Tax Department, of which Rs. 127 crore are under litigation.
The notice was issued a fortnight ago, sources said.

The sources also said the department has enlisted the help of the Customs to impound the aircraft.

Jeh · Posted: Fri Jan 11, 2013 2:52 am Post subject:

Ouch.

Mallya’s private jet ‘grounded’ over pending dues

The service tax department took "temporary custody" of Vijay Mallya's personal jet, an Airbus Corporate Jet costing approximately Rs. 443.85 crore at the Mumbai airport on Tuesday against the pending dues worth Rs. 70 crore. This is the third aircraft belonging to the cash-strapped airline that was detained by the department over pending dues. "We have taken temporary custody of the aircraft which means the airline cannot use it until they clear the pending dues," said Sushil Solanki, service tax commissioner, Mumbai.
The Kingfisher Airlines, however, denied the claim. "The Airbus Corporate jet VT-VJM, has not been impounded and is not capable of being impounded as the aircraft is not owned by Kingfisher Airlines which is merely the operator under the non-scheduled operators permit," said the spokesperson.

The spokesperson added that CJ Leasing Limited a company based in Cayman Islands owns the aircraft and it is currently mortgaged with the Deutsche Bank in London.

Interestingly the airline had given the same argument to deny the detention of one of its turboprop aircraft VT-KAR in December. "No other aircraft other than Airbus A320 passenger jet (VT-DNZ) and an ATR-72-500 (VT-KAR) have been impounded," said the spokesperson on Thursday.

These two aircraft were impounded in December against pending dues worth approximately Rs. 200 crore.

http://www.hindustantimes.com/News-Feed/SectorsAviation/Mallya-s-private-jet-grounded-over-pending-dues/Article1-987946.aspx

theflyingsikh

Kingfisher Airlines take-off plan hits hurdle.

http://businesstoday.intoday.in/story/kingfisher-airlines-take-off-plan-hits-hurdle/1/191472.html
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HAWK21M · Posted: Sun Jan 13, 2013 3:48 pm Post subject:

Are the staff passes being renewed.....
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747-237 · Posted: Wed Jan 16, 2013 12:59 pm Post subject:

http://www.firstpost.com/business/kingfisher-gets-noc-from-oil-and-aircraft-leasing-cos-stock-up-590279.html

Kingfisher gets NOC from oil, aircraft leasing cos

Jan 16, 2013

Kingfisher Airlines has been given a “no objection certificate” from oil companies and some aircraft leasing companies to restart operations, a senior regulatory source told CNBC-TV18 today, following which the airline’s shares shot up 6 percent.

However, the airline has still not obtained a no object certificate from airports, DGCA sources said.

While the airline has appraised the DGCA of the current situation, it has still not made any commitment of funding from the UB group to restart the airline’s operations.
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iah87 · Member Joined: 17 Apr 2007 Posts: 2567

Some aircraft leasing companies never learn, KF stiffed many companies, but it does not seem to bother some. Oil companies went on a cash and carry basis, hence were successful in clearing most of their dues with KF. As long as KF would continue that, they dont care.

747-237 · Posted: Sat Jan 19, 2013 5:11 am Post subject:

http://timesofindia.indiatimes.com/business/india-business/AAI-to-give-away-KFA-slots-if-demanded/articleshow/18083251.cms

AAI to give away KFA slots if demanded

"They have a lot of slots, especially for the smaller turboprops, which we are now to give to whoever wants them. The PPP metro airports are also going to follow suit and do the same," said a senior official.
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shivendrashukla · Posted: Sat Jan 19, 2013 3:14 pm Post subject:

I fail to understand why VJM is so hell bend on restarting his airline when he knows that:

1. He will likely never be able to clear the debt that his airline has accumulated.

2. No one will buy his airline with so much of debt.

3. He needs a hell lot of NOC's to get his airline back into air. How will he manage to do that??

4. Even by some miracle, he does manage to get his airline airborne, is he, by some divine intervention, expecting the airline to start making money immediately and wipe out the debt??

What is he thinking right now??

-Shivendra

jasepl · Member Joined: 26 Jul 2008 Posts: 4257 Location: bund-bay

Spiderguy252 · Posted: Sat Jan 19, 2013 7:09 pm Post subject:

shivendrashukla · Posted: Sat Jan 19, 2013 10:43 pm Post subject:

So essentially, he doesn't care two hoots about his airline and is trying to take 1.2 billion people for a ride...

The_Goat · Posted: Sat Jan 19, 2013 11:59 pm Post subject:

sri_bom · Member Joined: 22 Dec 2006 Posts: 2365 Location: Singapore

747-237 · Posted: Tue Jan 22, 2013 9:55 pm Post subject:

http://www.livemint.com/Companies/fcLOfyBnIuby8LHyLiX2JL/ILFC-says-six-Airbus-A320s-of-Kingfisher-held-hostage-in-I.html

ILFC says six Airbus A320s of Kingfisher ‘held hostage’ in India

Aircraft leasing firm says government bodies aren’t cooperating

Jan 22 2013

International Lease Finance Corp. (ILFC) is struggling to retrieve six Airbus SAS aircraft in India formerly operated by Kingfisher Airlines Ltd, saying it’s being held hostage by local government authorities.

The world’s second-biggest aircraft leasing company had sought to repossess the planes, saying the airline was in default of contract conditions. While the civil aviation authority said it has already deregistered four aircrafts and will soon proceed with the other two, ILFC still can’t get them back because other government bodies have yet to cooperate, ILFC chief executive officer Henri Courpron said on Tuesday.

“Deregistration is only one of the steps you need to get the airplanes out of the country,” Courpron said in an interview in Dublin at a conference sponsored by Airline Economics. “There are other authorities in the country, like airports and tax authorities, who have an axe to grind against Kingfisher and we are being held hostage to this process.”

ILFC is losing monthly revenue on renting the aircraft because it cannot commit to leasing the single-aisle planes to another customer until it knows when it can repossess them. Courpron said he doesn’t know when he may get the aircraft back, and negotiations with local authorities continue.

Arun Mishra, director general of civil aviation, said the proper measures have already been taken.

“As far as we’re concerned, we’ve deregistered four aircrafts belonging to ILFC and the remaining two aircrafts, we’ll be deregistering them soon,” he said by telephone.
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iah87 · Member Joined: 17 Apr 2007 Posts: 2567

The various leasing companies struggles with Kingfisher will have negative effect on future Indian carriers trying to lease, especially startups. Right now even for established ones, the insurance rates will have higher.