, pub-6370463716499017, DIRECT, f08c47fec0942fa0 AlfaBloggers Best Bloggers Team Of Asia : India Aviation Regulator DGCA Orders Kingfisher Airlines to Stop Selling Tickets

Tuesday 9 October 2012

India Aviation Regulator DGCA Orders Kingfisher Airlines to Stop Selling Tickets

India's aviation regulator Tuesday asked Kingfisher Airlines Ltd. to stop selling tickets, soon after the cash-strapped carrier resumed bookings for flights starting this weekend.

Civil Aviation Minister Ajit Singh said Kingfisher won't be allowed to sell tickets until the Directorate General of Civil Aviation is satisfied with the carrier's plans on carrying on operations.

"They are not going to start flying again unless they have got the DGCA's permission" and the regulator is convinced about the airline's safety and financial stability, Mr. Singh said on the sidelines of a conference.

The minister's comments came after Kingfisher resumed selling tickets on its Web site and also through travel portals, and

Early last week, the airline--controlled by liquor mogul Vijay Mallya--suspended ticket sales and flight operations after pilots, technicians and engineers went on strike to protest against non-payment of salaries since March.

Concerned about the strike, especially by engineers who certify aircraft before flying, the regulator served Kingfisher a notice Friday, asking it to state by Oct. 20 why it believes its license shouldn't be cancelled.

A message on the airline's Web site says its flights will be subject to regulatory approval, but it didn't say how it will resume flights if its employees don't end their strike.

A spokesman for Kingfisher didn't respond to phone calls. and stopped selling Kingfisher tickets later in the day. But ticket sales on the airline's Web site and through are continuing.

In an emailed statement to Dow Jones Newswires Tuesday, MakeMyTrip Ltd. said it stopped ticket sales following the regulator's "comments on the operations and subsequent uncertainty on flights."

An executive at declined to comment, while executives at couldn't be contacted.

Other travel companies have refrained from selling the airline's tickets.'s Web site, for instance, showed the portal is "not displaying Kingfisher flights due to uncertainty of their operations."

Late Monday, Keyur Joshi, co-founder and group chief operating officer of MakeMyTrip, said the portal refunded passengers 600 million rupees to 700 million rupees ($11.5 million to $13.4 million) a day last week because of Kingfisher suspending its flights.

Kingfisher--named after India's highest-selling brand of beer--hasn't posted a net profit since it began operations in May 2005 and has $1.5 billion in debt. It owes millions of dollars to aircraft-leasing companies, suppliers, oil companies and to the government in taxes.

Financial woes have forced the airline to cut operations to less than a fourth of its 400-flights-a-day schedule last year. Before it suspended flights last week, it operated 12 planes, down from 64 last year. It is now India's smallest carrier by market share, down from its second-biggest a year earlier.

Tuesday, shares of Kingfisher fell 5% to 12 rupees on the Bombay Stock Exchange, where the benchmark index rose 0.5%.

The company's shares have fallen by 5%, the daily trading limit set for Kingfisher, in each of the past seven sessions.

The shares have lost much of the gains they made since Sept. 14, when the Indian government announced it would allow foreign airlines to buy stakes of up to 49% in Indian carriers.

Kingfisher had lost 69% of its market value in 2011 and a further 49% between Jan. 2 and Sept. 14 this year.

Shekhar Gupta
Capt. Shekhar Gupta [ Pilot, DIAM, M.Ae.S.I., MAOPA [USA] ] 
Blog :

India Aviation Regulator Orders Kingfisher to Stop Selling Tickets
Wall Street Journal (India)
By SANTANU CHOUDHURY And ANIRBAN CHOWDHURY. NEW DELHI--India'saviation regulator Tuesday asked Kingfisher Airlines Ltd. to stop selling tickets, soon after the cash-strapped carrier resumed bookings for flights starting this weekend. Enlarge ...
See all stories on this topic »

Wall Street Journal (India)
Aviation regulators of Asia-Pacific countries say financial stress of an ...
Economic Times
NEW DELHI: The Indian aviation regulator DGCA may have been reluctant to associate financial stress of domestic airlines with safety, after it under the spotlight for its soft-handed approach to Kingfisher Airlines, but peers from the Asia Pacific ...
See all stories on this topic »

Economic Times
Great Lakes Aviation, Ltd. Reports September 2012 Traffic
Sacramento Bee
All rights reserved. This material may not be published, broadcast, rewritten or redistributed. CHEYENNE, Wyo., Oct. 8, 2012 -- /PRNewswire/ -- Great Lakes Aviation, Ltd. (OTC Bulletin Board: GLUX.OB) today announced preliminary passenger traffic ...
See all stories on this topic »
TEXT-Fitch rates Aviation Capital's senior unsecured debt 'BBB-'
Oct 8 - Fitch Ratings has assigned a rating of 'BBB-' to Aviation Capital Group Corp.'s (ACG) $150 million Singapore Dollar senior unsecured debt issuance under its multicurrency medium-term note programme. The long-term Issuer Default Rating (IDR) of ...
See all stories on this topic »
CAG's reports on aviation, power waiting for debate: Sharad Yadav
Hindustan Times
Amid a series of scams that have rocked the Parliament in recent times, Janata Dal (U) national chief Sharad Yadav said two more reports of the comptroller and auditor general of India (CAG) onaviation and power sector, already been tabled in the ...
See all stories on this topic »
ABM to Acquire Provider of Aviation Facility Management Services
The Leading Aviation Industry Resource for News, Equipment and
NEW YORK-- ABM (NYSE:ABM), a leading provider of integrated facility solutions, today announced a definitive agreement to acquire Air Serv Corporation for approximately $158 million in cash, subject to certain closing adjustments. Air Serv, when ...
See all stories on this topic »
Sikorsky delivers S-92s to Bond Aviation
New Haven Register
Sikorsky Aircraft Corp. began delivery Monday of the first of 16 helicopters that the Stratford-based aerospace company is under contract to produce for the Bond Aviation Group. Sirkorsky delivered two S-92 helicopters to the Bond Aviation Group, a ...
See all stories on this topic »
National Aviation Hall of Fame ceremony to stay in Dayton next year
Dayton Daily News
Rhea Woltman, pilot and Mercury 13 member, accepts an enshrinement award for Geraldyn “Jerrie” M. Cobb with Eileen Collins, a 2009 NAHF award winner, at the National Aviation Hall of Fame 50th anniversary dinner and ceremony Saturday evening at ...
See all stories on this topic »
India to ask Lufthansa to help Air India join Star Alliance
Economic Times
India plans to ask Germany's Lufthansa AG to help Air India join Star Alliance,aviation minister Ajit Singh said on Tuesday, as it renews its push to become a member of the airlines network after failing to do so last year. NEW DELHI: In a subtle...
See all stories on this topic »

No comments:

Post a Comment

Note: only a member of this blog may post a comment.