Kingfisher Airlines re-shuffles 30 flights
At least 13 flights from Mumbai have been cancelled, while reports say there has been no operation from Kolkata.
PTI
- Mar 12, 2012,
- Updated Mar 12, 2012 9:40 PM IST
Trouble for cash-strapped Kingfisher Airlines again erupted on Monday with at least 30 flights either being cancelled or clubbed as several pilots and other staffers failed to report for work to protest delays in salary payments . Govt to hurt more if Kingfisher shuts down
The International Air Transport Association (IATA) had suspended it from participating in its Clearing House, Billing and Settlement Plan (BSP) and Cargo Accounts Settlement System (CASS).The BSP and the CASS programmes facilitate and simplify the sale of tickets and booking of cargo through travel and freight agents, both domestic and international. The suspension from the BSP and the CASS means that the airline would not be able to use these platforms to settle its sales and bookings with the IATA-recognised travel and cargo agents.Kingfisher's suspension from the IATA Clearing House (ICH) implied that it would not be able to settle accounts for services provided to them by other airlines or related companies.The freezing of the airline's bank accounts by the income and service tax authorities, as also by customs and excise department, has dealt a severe blow to it, by squeezing its liquidity position.The airline was hit hard on Saturday when state-run HPCL stopped jet fuel supplies, causing some cancellations and delays to some other flights. Fuel supplies were, however, resumed on Sunday. Kingfisher owes Rs 515-520 crore in fuel bills along with interest.Kingfisher, which reported a net loss of Rs 444.26 crore in the December quarter, has never made a profit since inception in May 2005. It suffered a loss of Rs 1,027 crore in 2010-11 and has a debt of Rs 7,057.08 crore. Advertisement
Trouble for cash-strapped Kingfisher Airlines again erupted on Monday with at least 30 flights either being cancelled or clubbed as several pilots and other staffers failed to report for work to protest delays in salary payments . Govt to hurt more if Kingfisher shuts down
The International Air Transport Association (IATA) had suspended it from participating in its Clearing House, Billing and Settlement Plan (BSP) and Cargo Accounts Settlement System (CASS).The BSP and the CASS programmes facilitate and simplify the sale of tickets and booking of cargo through travel and freight agents, both domestic and international. The suspension from the BSP and the CASS means that the airline would not be able to use these platforms to settle its sales and bookings with the IATA-recognised travel and cargo agents.Kingfisher's suspension from the IATA Clearing House (ICH) implied that it would not be able to settle accounts for services provided to them by other airlines or related companies.The freezing of the airline's bank accounts by the income and service tax authorities, as also by customs and excise department, has dealt a severe blow to it, by squeezing its liquidity position.The airline was hit hard on Saturday when state-run HPCL stopped jet fuel supplies, causing some cancellations and delays to some other flights. Fuel supplies were, however, resumed on Sunday. Kingfisher owes Rs 515-520 crore in fuel bills along with interest.Kingfisher, which reported a net loss of Rs 444.26 crore in the December quarter, has never made a profit since inception in May 2005. It suffered a loss of Rs 1,027 crore in 2010-11 and has a debt of Rs 7,057.08 crore. Advertisement
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