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Saturday, 20 October 2012

Kingfisher Airlines debacle: Dr Vijay Mallya abroad, son Siddharth hunts for calendar girls, employees in lurch :(




Kingfisher Airlines debacle: Dr Vijay Mallya abroad,  son  Shri Siddharth Mallya  hunts for calendar girls, employees in lurch   :(



When the bad times came upon Kingfishr , its founder — the king of good times Dr Vijay Mallya — was nowhere to be seen or heard.

All his personal staff was willing to say was that "VJM (his nickname) is abroad", while employees were speculating him to be in London.

While the aviation ministry had made it very clear in the past few days that it will get DGCA to suspend KFA's licence, Mallya did not come calling on either aviation minister Ajit Singh or his powerful aide Prabhat Kumar to avert this fate. "VJM left India about 20 days back on his personal plane. He travels on his personal jet, VT-VJM, and as of now there is no news of his coming back to the country," said sources.

Employees keeping track of VJM say he was last 'spotted' at South Korea's Yeongam attending the Korean Grand Prix. The F-1 team co-owned by him and Sahara India was participating there.

'Girl hunt'

Son Sidhartha Mallya — for whom Kingfisher was his 18th birthday gift from a doting dad — was oblivious of the agony of his unpaid employees.

On Friday, when the die of the licence getting suspended was cast, he tweeted: "Guys check out the 1st promo for The Hunt For The Kingfisher Calendar Girl 2013 featuring your truly." And a day earlier, he tweeted his position: "Nothing beats the post 5oclock pub rush in London....best atmosphere ever!! Love being bk here....sometimes wonder why I ever left...."

While the airline has been facing major trouble since September-end and is grounded from October 1, some of his sample tweets are: "Just spent the morning playing volleyball with 12 bikini clad models on the beach...now I understand why people hate me. HA!" Or this: "Have been fortunate enough to attend GP races all over the globe....Korea is by far the worse. Feeling for everyone who's there...."

KFA employees are speculating that Mallya senior may be in Delhi next weekend for the Greater Noida Grand Prix. They are planning to protest non-payment of wages since March and are particularly upset at the suicide committed by a colleague's wife in Delhi recently due to financial woes.

Mallya's private plane will continue to fly

The airline's licence may have been suspended, but Kingfisher promoter Vijay Mallya will still continue to globetrot in his personal Airbus Corporate Jet (ACJ) which is registered after his name as VT-VJM. He had two flying licences, a schedule operator permit for Kingfisher Airlines, which is now suspended, and a non schedule operator permit under which his super luxury 22-seater Airbus A-319 ACJ flies.

Since the latter is still valid, Mallya is unlikely to be seen in commercial flights of rival airlines. A senior airline commander said a set of six Pilots and about four airhostesses is maintained for the ACJ.

While Kingfisher Pilots and other employees have not been paid since March, the personnel for Mallya's personal plane are learnt to have been paid regularly or at least the $-250 daily allowance they get when abroad with the chairman.

 "Recently some other airline pilots had a fight with the exclusive group which flies VT-VJM over why are they flying when their colleagues aren't? The latter replied that even if the airline is shut down, they will have their job as the personal aircraft would still be needed for UB Group top brass and the chairman," said a pilot.


'Ready to become auto driver'

A pall of gloom has enveloped the world of the employees of Kingfisher Airlines after its flying licence was suspended. Those who had made several investments when the going was good are now reeling under debts, having not been paid salaries since March. Some are in a desperate hunt for jobs elsewhere.

"I was forced to change my children's school as I could not afford the fees of their earlier school. I have taken a loan of Rs 5 lakh from my father-in-law and another Rs 10 lakh from the bank. Now, I am at an absolute loss. I think I will go back to my village," said Hardayal Singh, a technician with KFA. Singh is a resident of Bihar, but was supposed to stay back to see how the crisis unfolded. But now, fearing people will start badgering him to return his loans, he wants to escape.

Many say the recent suicide by a staffer's wife in Delhi will soon be replicated by more. With the aviation market in the blues, jobs are extremely hard to come by. But some are still in the hunt. "I have waited long enough for the airline to recover. Now it's my family at stake. I can't feed or clothe my children. Our landlord threw us out in September and we have been living with my brother-in-law's family in a cramped two room house. I am sending my wide and children back to my village in UP and will hunt for another job, even if it means becoming an auto driver," said Mahesh Verma, another engineer.












India Suspends Kingfisher Airlines' License Amid Strike
Businessweek
The regulator's move adds pressure on Kingfisher Chairman Vijay Mallya as he seeks investments for his airline, which is struggling with 86 billion rupees ($1.6 billion) of debt after five consecutive years of losses. The carrier extended its flight ...
See all stories on this topic »
Kingfisher Airlines debacle: Mallya abroad, son hunts for calendar girls ...
Times of India
On Friday, when the die of the licence getting suspended was cast, he tweeted: "Guys check out the 1st promo for The Hunt For The Kingfisher Calendar Girl 2013 featuring your truly." And a day earlier, he tweeted his position: "Nothing beats the post ...
See all stories on this topic »

Kingfisher crash may push airfares up by 10%
Times of India
NEW DELHI: If you thought airfares were already too high, get ready to see them soar even higher. The suspension of Kingfisher Airline's licence will mean fewer seats in the market and in the coming festival and holiday season, other airlines ...
See all stories on this topic »
India Suspends Kingfisher Airlines' License
Wall Street Journal
MUMBAI—India's Directorate General of Civil Aviation on Saturday said it has suspended Kingfisher Airlines Ltd.'s license after the carrier failed to produce a plan on how it will revive its operations. The airline has canceled all of its flights ...
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Wall Street Journal
India suspends Kingfisher Airlines' licence
Reuters
Controlled by Vijay Mallya - the self-styled "King of Good Times" - and seven months behind on salary payments among other missed bills, Kingfisher's fleet has been grounded since the start of the month when a staff protest turned violent. The airline ...
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UPDATE 2-India suspends Kingfisher Airlines' licence
Reuters
Licence suspended until turnaround plan approved. * Full cancellation of licence unlikely - source. *Kingfisher suspends all future bookings. * Airline has been grounded since start of month (AddsKingfisher statement, detail). By Anurag Kotoky. NEW ...
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Indian gov't suspends Kingfisher Airlines' license, says minister
Washington Post
NEW DELHI — The Indian government on Saturday suspended the license of Kingfisher Airlines, which has been struggling to resume flights following a strike by pilots and engineers who have not been paid for months. India's Civil Aviation Minister Ajit ...
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Indian gov't suspends Kingfisher license
The Associated Press
By ASHOK SHARMA, Associated Press – 1 minute ago. NEW DELHI (AP) — The Indian government on Saturday suspended the license of Kingfisher Airlines, which has been struggling to resume flights following a strike by pilots and engineers who have not ...
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India suspends Kingfisher Airlines flights
Aljazeera.com
Indian regulators have suspended Kingfisher Airlines from flying. The airline which has been facing financial problems, has had its fleet grounded and been unable to pay its staff. Prerna Suri has more from New Delhi.
See all stories on this topic »


Thursday, 18 October 2012

Capt Michel Nadeau with Bernard Mailloux and Yanick Fournier died in a Plane Cash near Pickle Lake

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Police have released the names of the three people killed in a plane crash Wednesday near Pickle Lake.

The OPP says all were from Trois-Rivières, Que.

The pilot was 57-year-old Michel Nadeau. The other victims were passengers Bernard Mailloux, 54, and Yanick Fournier, 27.

A 53-year-old male passenger survived the crash and is in stable condition in a Winnipeg hospital.

Investigations into the accident continued Thursday.

Peter Hildebrand of the Transportation Safety Board, said staff have to bring in heavy machinery to clear away anything blocking the wreckage of the Lake 250 amphibious plane. "The aircraft itself is upside down and it's largely covered by trees and underbrush and that sort of thing when it crashed," he said. "The way it was early [Thursday] morning, you really couldn't do much with it."

The OPP and the coroner's office are also investigating at the crash site.

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Cowboys reflect on fatal plane crash, costly loss at Iowa State
NewsOK.com
Iowa State is now also linked to the day the OSU community found out that women's basketball coach Kurt Budke and assistant Miranda Serna were killed in a plane crash while on a recruiting trip in Arkansas. photo - CROWD: Iowa State fans flood the ...
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Plane crash kills one in northwest Arizona
Las Vegas Review - Journal
Authorities were responding to a fatal plane crash in northwest Arizona Thursday afternoon. Mohave County Sheriff Tom Sheahan confirmed that one person was dead at the scene of the fiery crash reported at 12:10 p.m.. Witnesses reported seeing the plane ...
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Flight instructor mourned after Pitt Lake float plane crash
The Province
The staff at Pitt Meadows' Pacific Rim Aviation Academy are mourning their colleague, instructor James Stevens this week, after the 71-year-old was killed in a float plane crash Monday afternoon. “James Stevens was a man among men and a gentle giant ...
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8 British Airmen Buried in Malaysia After 67 Years
ABC News
The remains of eight British World War II airmen were buried Thursday with military honors in Malaysia, nearly 70 years after their plane crashed while on a mission in Southeast Asia. The eight were crew members of a Royal Air Force plane that left ...
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3 killed in Pickle Lake plane crash identified
CBC.ca
Police have released the names of the three people killed in a plane crashWednesday near Pickle Lake. The OPP says all were from Trois-Rivières, Que. The pilot was 57-year-old Michel Nadeau. The other victims were passengers Bernard Mailloux, 54, and ...
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CBC.ca
Deadly Arizona plane crash blamed on disorientation
Las Vegas Review - Journal
KINGMAN, Ariz. - An updated report by the National Transportation and Safety Board indicates a veteran Lake Havasu City Fire Department captain likely suffered "spatial disorientation'' when theairplane he was flying upside down crashed in Arizona ...
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Blackall mock plane crash
Toowoomba Chronicle
BURNING cars and injured teens came together to help pull off a successful mock plane crash for the Blackall Tambo Regional Council at the Blackall airport on Tuesday. Emergency service units from Blackall Tambo worked together to react to a simulated ...
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One dead in fiery airplane crash in Yucca-area mountains
Today's News-Herald
Desert Hills Fire Department firefighters responded to reports of an airplane crash about 12:30 p.m. Thursday in the area of Interstate 40 and Santa Fe Ranch Road, or milepost 20, which is about 10 miles east of the State Route 95/I-40 interchange.
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From Booze to Boos, may sell out to Diageo Kingfisher Airlines's Dr Vijay Mallya




Once upon a time, Dr Vijay Mallya, the CEO of United Breweries and the owner of India's flagship Kingfisher beer, styled himself as "the king of good times" -- a sort of Hugh Hefner meets Richard Branson, with a swimsuit calendar, an airline, and more gold chains on his hairy exposed chest than the 1980s version of Mr. T.

Oh how the mighty have fallen.

Last month, the liquor baron who (if truth be told) made most of his fortune when he enjoyed a near-monopoly in the beer- and whisky-business of so-called "Indian Made Foreign Liquor" (IMFL) was dubbed "India's worst businessman" by FirstPost.in. And as his ego-driven Kingfisher Airlines continues to bleed cash, and employees threaten to sue him for back pay, now it appears that the one-time monarch will only be able to keep his (unbuttoned to the navel) shirt by selling a controlling interest in the crown jewel of his liquor business to Diageo, as the Times of India reports Wednesday.

According to the paper, Mallya is close to inking a deal to sell his 25 percent controling interest in the UB Group's United Spirits unit to the British liquor giant, giving a major leg up to a foreign competitor that's thirsty to drink up the fast growing Indian booze market. After the deal, Diageo will own 25 percent in the company to Mallya's 15 percent -- which will no doubt be a great thing for investors.

Meanwhile, India's Mail Today newspaper wonders if this is only the beginning. India has no bankruptcy laws, so Mallya has no way out of his plunging airline business.  Or, as the paper writes: "The question is how many Vijay Mallya group balance sheets can be de-leveraged through this modus operandi."

How did we get here from the days of parties on the Kingfisher yacht, dreams of hawking microbrews in the US, the Formula One team, and so on?

In a stellar long read on how the liquor business built the city of Bangalore -- long before the IT industry came to town -- the Caravan's Raghu Karnad recounts "how beer, arrack, rum and whiskey—and the companies that made them—irrigated the growth of Bangalore from a quaint colonial outpost to a regional capital, and onwards to the promised land of the globalisation era."

Telling of the King of Good Times' savvy father, he offers a subtle critique of his devil-may-care style of doing business.

In 1947, Vittal Mallya had been the young director of United Breweries Limited, in Madras. He bought up company shares from departing Englishmen, so that in the year that India became independent, UB moved from British to Indian hands, too. After that, the corporate history of UB developed in step with the history of Bangalore. In 1952, the year Bangalore became the legislative capital of Mysore State, UB’s headquarters were moved here, to the grounds of the Bangalore Brewery. In 1956, the year Karnataka was born, so was its best recognised export: Kingfisher.

Vittal Mallya was “like a quiet chartered accountant”, said one senior state bureaucrat, a numbers man with a receding hairline and a demure personality. It is a piece of UB lore that when his son Vijay lost a one paisa coin while playing, his father made sure to make a note against his account. After Vittal Mallya’s death, Grant Road, the street where his brewery sits, was renamed in his honor. But it was appropriate for other reasons too: Vittal Mallya Road was a wealthy area, as central as could be, yet it was quiet, low-profile and of a piece with an earlier Bangalore.

Contrast that to FirstPost.in's send-up of the modern liquor baron.

Point 1: There's a reason that Jack Welch wears a suit, not a bunch of gold chains.

Hubris: Mallya’s Kingfisher foray had all the wrong reasons for entry and staying the course to disaster. He entered the business for the glamour it brought to his portfolio (which is why, in any Kingfisher flight, Mallya talks to you directly on the video), rather from any special understanding of competitive advantage. He wanted to be India’s Richard Branson, forgetting the success is not easily copied.

Point 2: Just because you can run a near-monopoly, selling a recession-proof product, doesn't make you a business genius.

[Mallya] failed to understand the difference between running a business with 25-35 percent margins (booze) and one with 1-2 percent margins, or even losses for long periods of time (aviation). He failed to see his managerial limitations in this newbusiness where he didn’t have a clue on how to run it.

Point 3: When everybody thinks you're crazy, it doesn't necessarily mean you're "thinking out of the box."

Denial of risk: It is one thing to blunder into an unprofitable business, quite another to bet the farm on it. But this is precisely what Mallya has done. He has staked almost his entire liquor business to save a sinking airline. Today, if Mallya is talking to Diageo to sell a stake in United Spirits, it is largely because he has pledged too much of his liquor business and his personal assets to keep Kingfisher afloat. He threw away his good business to rescue the bad. Did Mallya not understand, at least as late as 2010-11, when everyone knew how the aviation business was going down hill?







Kingfisher extends lockout; to meet staff on Monday again
Daily News & Analysis
The management of Kingfisher Airlines (KFA), grounded since September 29, will be meeting striking pilots and engineers again on Monday in a bid to end the three-week imbroglio, senior pilots said on Wednesday , indicating the crippled airline will ...
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India: Kingfisher's Vijay Mallya, from booze to boos, may sell out to Diageo
GlobalPost (blog)
Once upon a time, Vijay Mallya, the CEO of United Breweries and the owner of India's flagshipKingfisher beer, styled himself as "the king of good times" -- a sort of Hugh Hefner meets Richard Branson, with a swimsuit calendar, an airline, and more ...
See all stories on this topic »
India's Kingfisher to extend grounding of flights: CEO
Reuters
Oct 17 (Reuters) - India's Kingfisher Airlines will extend the date to restart the carrier's operations, its chief executive Sanjay Aggarwal told reporters, after a meeting with employees. Kingfisher said last week that its planes, grounded since Oct ...
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Kingfisher Airlines gets no 'boarding pass' this winter
Deccan Herald
Cash-strapped Kingfisher drew a blank as the aviation regulator approved the winter schedule on Wednesday, allotting more flights to low-cost carriers IndiGo, SpiceJet and GoAir this season than what they operated last year. Kinfisher's flight schedule ...
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Kingfisher brings in former AI boss to negotiate with staff
Livemint
Mumbai: Cash-strapped Kingfisher Airlines Ltd has brought in former chairman and managing director of Air India Ltd and current vice-chairman of UB Group, Subhash R. Gupte, to pacify its striking employees, said two people aware of the developments ...
See all stories on this topic »

Livemint
DGCA rejects Kingfisher's winter schedule
Peninsula On-line
New Delhi: India's civil aviation regulator yesterday rejected the winter schedule of the troubledKingfisher Airlines. According to the Directorate General of Civil Aviation (DGCA), the passenger carrier's winter schedules for flight arrivals and ...
See all stories on this topic »
Kingfisher lockout to continue as talk fail
India Today
Liquor baron Vijay Mallya-owned Kingfisher Airlines, which has been grounded since September 29, on Wednesday said it would have to extend the October 20 deadline it had set for itself to resume operations. A meeting with the striking employees has ...
See all stories on this topic »


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Airline Union To Hold Press Conference On Planned AA Job Outsourcing

American puts up 'help wanted' sign after buyouts
Boston.com
American Airlines said Wednesday that it will post job openings for 1,500 flight attendants next month. It will start hiring in ... That may seem like a strange move for a company trying to cut labor costs under bankruptcy protection. But the airline ...
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Airline Union To Hold Press Conference On Planned AA Job Outsourcing
CBS Local
Passenger Scarlet Gonzalez said she was worried the cuts could mean even longer lines at the airport. “It's gonna take you twice as long to get to where you need to be,” Gonzalez ... While any job loss is difficult, we now expect the need to furlough ...
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Kingfisher Airlines Is No more an Airlines ? Stares at licence suspension




Kingfisher Airlines stares at licence suspension  ? 

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Kingfisher Airlines Is No more an Airlines ?
Stares at licence suspension


Grounded Kingfisher faces another hurdle in getting airborne again.

NEW DELHI: Crisis-ridden Kingfisher Airlines could be on the verge of having its flying licence suspended. Like scores of its unpaid employees, vendors and service providers, the aviation ministry is also going to look for real money - and not just promises or timelines to pay - in the reply the airline has to file to Directorate General of Civil Aviation (DGCA)'s notice by Saturday.

Unless convinced that Kingfisher has the resources to operate as a schedule airline and maintain its timetable of flights with full safety, highly placed aviation authorities say they will go for licence suspension. "Kingfisher is on cash and carry by most service providers. We do not want a situation where the airline restarts operations and then keeps flying in fits and starts whenever its unpaid employees are not on strike and the service providers refusing to service it. We have seen enough of that since last November," said a senior official.


A formal decision on the airline's licence could be taken next week. "Kingfisher has not even asked for extension of the 15-day deadline to reply to the same. We have not even heard from the airline brass since October 2 when they were summoned to explain their position. Kingfisher promoter Dr Vijay Mallya is expected to be in Delhi next week as the Formula One Indian Grand Prix will take place at Greater Noida and that time he may speak what he has in mind for the airline," said an official.



Kingfisher Airlines stares at licence suspension
Times of India
NEW DELHI: Crisis-ridden Kingfisher Airlines could be on the verge of having its flying licence suspended. Like scores of its unpaid employees, vendors and service providers, the aviation ministry is also going to look for real money - and not just ...
See all stories on this topic »
Kingfisher Airlines extends lockout until 5 November
Livemint
12 05 AM IST. New Delhi: Kingfisher Airlines Ltd has again extended its lockout till 5 November, stretching the shutdown that began on 1 October because of an employee protest and was to end this Saturday. The cash-strapped carrier has closed ticket ...
See all stories on this topic »

Livemint
Kingfisher Airlines shares down 5 per cent, hit lower circuit
Business Today
Kingfisher Airlines shares fell about 5 per cent on Thursday after the company's meeting with the striking employees failed to resolve the deadlock. The management, led by Chief Executive Sanjay Aggarwal and HR head Hitesh Patel met the representatives ...
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Business Today



Kingfisher may push re-launch to Nov 5
Hindu Business Line
Kingfisher may push re-launch to Nov 5. Ashwini Phadnis. Share · Comment · print ·. T+ · T- · Tweet. New Delhi, Oct. 18: Has Kingfisher Airlines put off its re-launch till November 5? While airline officials declined to say anything on the issue ...
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Kingfisher Airlines stock hits lower circuit; down 5%
Moneycontrol.com
Kingfisher Airlines scrip today fell by about 5 per cent after the company's meeting with the striking employees failed to resolve the deadlock over unpaid salaries. Shares of the company opened weak and soon fell by 4.76 per cent to touch the lower ...
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Moneycontrol.com
Kingfisher crisis: No winter schedule for Mallya's airlines
India Today
Kingfisher Airlines on Wednesday said it would have to extend the October 20 deadline it had set for itself to resume operations. A meeting with the striking employees has failed to resolve the deadlock, it was learnt. Check bounce case: Meanwhile, GMR ...
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India Today
DGCA rejects Kingfisher Airlines winter schedule; stock down
Economic Times
MUMBAI: Kingfisher Airlines continued to drag lower after the Directorate General of Civil Aviation (DGCA) rejected giving it an approval to the winter schedule of flights. The regulator, which has already served a show-cause notice threatening to ...
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Kingfisher Air slips 5% on likely suspension of licence
Moneycontrol.com
Kingfisher Air slips 5% on likely suspension of licence. r Airlines slipped 5% to Rs 12 after the civil aviation minister said that the airport regulator may suspend or cancel the company's flying licence. Source: Moneycontrol.com. Share · Tweet ...
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