Kingfisher to remain in focus

K. S. Badri Narayanan Updated - December 23, 2012 at 09:23 PM.

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The stock of Kingfisher Airlines will remain in focus this week as the company sought the Directorate-General of Civil Aviation’s (DGCA) approval for an operating licence.

The regulator had suspended the airline’s permit in October following flight disruptions after employees walked out over unpaid wages.

Meanwhile, Germany’s DVB Bank SE has sued the aviation regulator and Kingfisher Airlines to seize the two planes it financed for the troubled carrier.

The case underlines the problems that leasing firms and financing companies face in recovering grounded planes from Kingfisher, as airports, banks and tax authorities scramble for the crisis-hit carrier’s assets. Despite the company struggling to fix its debts, the stock has been one of the star performers at the bourses since August.

Published on December 23, 2012 15:52