Kingfisher Airlines viability requires funds: Auditor

Mumbai: Kingfisher Airlines needs a capital infusion to remain viable, its auditors have said, pushing the carrier's shares to near historic lows on Thursday, amid fierce competition in a fast-growing airline sector with big expansion plans.
Loss-making Kingfisher, controlled by flamboyant liquor tycoon Vijay Mallya, disputed any question of its survival, but the airline has fallen short in its efforts to raise equity and early this year ceded a stake to its lenders as part of a debt reorganisation.
"After its debt restructuring people thought there could be some relief, but what happened is that even the general economy went into a slowdown. All in all we are bearish on aviation," said Jagannadham Thunuguntla, research head at SMC Capital.
15/09/11 Reuters/Economic Times

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Categories: Kingfisher Sep 2011