Mumbai: SpiceJet chief operating officer Sanjiv Kapoor has said his airline cannot be compared to Kingfisher Airlines because it is paying salaries to employees on time, has not grounded its fleet and has a much smaller overdue payment problem, being addressed by the management.
Over recent weeks, the Sun Group-owned no-frills brand came under a scanner following the Directorate General of Civil Aviation’s ordering of an engineering audit and over delays in handing out Tax Deducted at Source certificates to staffers. This gave rise to fear that the airline was in a serious problem.
The airline reported a loss over Rs 1,000 crore in 2013-14, five times higher than its earlier year’s loss. Its net worth has eroded and the management has been in discussion with various investors and airlines to raise capital. Kapoor, however, insists it is incorrect to compare SpiceJet with grounded Kingfisher and denied media reports that the airline had approached its founder and former director, Ajay Singh, for investment.
“We are publicly listed and everyone knows we are making a loss and that our balance sheet needs to be healthy. All we are doing is to compete fairly, do honest business and deliver a good product,’’ said Kapoor.
09/08/14 Business Standard
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Over recent weeks, the Sun Group-owned no-frills brand came under a scanner following the Directorate General of Civil Aviation’s ordering of an engineering audit and over delays in handing out Tax Deducted at Source certificates to staffers. This gave rise to fear that the airline was in a serious problem.
The airline reported a loss over Rs 1,000 crore in 2013-14, five times higher than its earlier year’s loss. Its net worth has eroded and the management has been in discussion with various investors and airlines to raise capital. Kapoor, however, insists it is incorrect to compare SpiceJet with grounded Kingfisher and denied media reports that the airline had approached its founder and former director, Ajay Singh, for investment.
“We are publicly listed and everyone knows we are making a loss and that our balance sheet needs to be healthy. All we are doing is to compete fairly, do honest business and deliver a good product,’’ said Kapoor.
09/08/14 Business Standard
