Kingfisher Air incurs Rs 190-cr loss

Kingfisher Airlines has incurred a loss of around Rs 190 crore in its first year of operations. The airline has notched up a 9 per cent market share.
An official with the airline told Business Line that on a turnover of around Rs 700 crore, the airline has posted a loss of Rs 190 crore since it launched its operations in May, 2005. The airline's plans to raise around $200 million are expected to be under way in a month's time, the official said. It is looking at either the FCCB, private placement or the IPO route to raise funds for its expansion. It has already paid over $100 million to part-fund the aircraft purchase.
The airline has been able to get a market share of around nine per cent in a fiercely competitive market where Jet Airways leads the pack. Private airlines hold 75 per cent market share in the domestic market. Kingfisher Airlines is also adding aircraft at a furious pace with at least 10 more being added during the rest of the calendar year. By 2010, the airline will have 69 aircraft in its fleet.
22/05/06 Business Line/Moneycontrol.com

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