Kingfisher stocks down further 4.8%

This, even as news report came in that the airline has agreed to pay March salaries in next 10 days

Kingfisher Airlines' stock continued to fall the fourth consecutive day, and was down 4.79% during intra-day with even as news reports came in that the airline has agreed to pay March salaries in the next 10 days.

According to media reports, the KFA CEO held a meeting with employees but it saw no participations from pilots and engineers. Reports suggested that a handful of employees from the ground staff met up with the CEO Sanjay Aggarwal at Delhi. When contacted the company for some clarity, it refrained to give any comments on the situation.

Meanwhile, Civil aviation Mnister Ajit Singh reiterated this morning that the government needs to see some concrete plans from the airline on operations, and safety. “The ball is in Kingfisher’s court. The ministry needs a proper concrete plan rather than just a status report on how it will operate, maintain schedule and if its aircraft are safe to fly.”

KFAs engineers have been on strike for the last six-days, and an earlier talk with pilots to resume work failed. Pilots and engineers have maitnained that the company pay-up salaries for the last seven months, if it expects them to rejoin.

Kingfisher Airlines has a debt of more than Rs 7,000 crore from 17 banks, which it has not serviced since January, and has accumulated losses of around Rs 8,000 crore.