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Our Bureau

Bangalore, Oct. 16 Kingfisher Airlines has announced its first results after taking over Deccan Aviation for the nine-month period ending March 31, 2008, with the airline’s net loss coming down by 24 per cent to Rs 188 crore.

The airline has also dropped some of the co-founders of Deccan Aviation from its board of directors and has replaced them with the nominees of the UB Group Chairman, Mr Vijay Mallya. Mr Mallya has been made the managing director of the airline and designated as chairman and the chief executive officer replacing the founder of Deccan Aviation, Capt G R Gopinath, who will now be the non-executive

vice-chairman of Kingfisher Airlines. A press statement from the airline said while the net loss has seen a reduction, its total income reduced by 5 per cent to Rs 1,545.50 crore for the same period because it booked lesser profits from the sale of aircraft purchase rights.

For the nine-month period, it made a profit of Rs 25 crore from the sale of these rights while for the same period last year, it posted a profit of around Rs 287 crore.

The revenues from operations rose marginally to Rs 1,441.40 crore.

The airline released the nine-month results for the July 01, 2007-March 31, 2008 period instead of the full year as it has changed its accounting year from June – July to April-March.

The statement said the fuel expenses of the airline rose 24 per cent to Rs 889.30 crore while interest and finance charges went up 98 per cent to Rs 77.90 crore. The lease rentals grew 19 per cent to Rs 354.70 crore and employees’ salaries was higher by 37 per cent to Rs 246.10 crore.

During its board meeting on October 15, the airline dropped Mr S N Ladhani, Col Jayanth K Poovaiah, Lt Gen N S Narahari and Mr P N Thirunarayan, all key founder members of Deccan Aviation from the board along with Ms Bala Deshpande and Mr Hitesh Patel.

Kingfisher Airlines’s shares closed flat at Rs 44.35.

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