Sorry for not informing DGCA - Kingfisher CEO

New Delhi: Ailing Kingfisher Airlines CEO Sanjay Agarwal put up a brave front on Friday and while speaking exclusively to Network 18 defended the flight cancellations as part of strategy. Agarwal said, "Cancellation of flights was a well thought, pre-determined plan. Cancelled flights on non-profitable routes and for reconfiguration of seats."

Agarwal said that they had first planned to cancel flights for a shorter duration so thought need not be required to notify the Directorate General of Civil Aviation (DGCA).

"We apologise to DGCA for not keeping them in loop, " added the CEO.

Nine more flights were cancelled in Mumbai and 40 flights withdrawn from all over the country on Saturday.

DGCA on Friday said Kingfisher Airlines have assured it that at any given point of time not more than three of their aircraft would be out of use and maintained the government is keeping an eye on whether airlines were using their slots.

Pointing out that Kingfisher Airlines has sent a reply explaining why its aircraft were not flying, DGCA head Bharat Bhushan said the airline has given reconfiguration of the planes as the reason.

Sources told CNN-IBN that the ground staff have not been paid for three months.

With his cash-strapped airline hitting a air pocket, Kingfisher chief Vijay Mallya tweeted on the crisis. He said, "Is it Kingfishers duty 2 fly on loss-making routes when State Governments tax heavily? Or should we be financially prudent and fly profitably? Every Government has gone out of the way to support airlines and connectivity. In India airlines are over taxed and over charged. Wonder why?"

The stocks of the airline plunged to an all-time low to 19.1 per cent in early trading on the Bombay Stock Exchange to a record low before recovering to 9.45 per cent.

Kingfisher needs over Rs 1000 crore in working capital loans to tide over its current crisis.
Oil companies to whom Kingfisher owes over Rs 200 crore have already threatened to stop supplies, and airports too could follow.

Reaching out to the Aviation Ministry was the last resort. With employees also agitated over delayed salaries, troubles are far from over for the airline that once flew the good times.

And it is not just Kingfisher Airlines in trouble. Even Jet Airways has flown into bad weather, posting a net loss of Rs 714 crore for the quarter ending in September.

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