Kingfisher should infuse Rs 2,000 crore for revival: SBI chief
Quotes

Kingfisher should infuse Rs 2,000 crore for revival: SBI chief

Last Updated: Tuesday, January 22, 2013, 21:15
 
 Comment 1
 
Kingfisher should infuse Rs 2,000 crore for revival: SBI chief
Bhubaneswar: Kingfisher Airlines needs to invest at least Rs 2,000 crore to restart its operations, said one of its lender SBI's Chairman Pratip Chaudhuri.

SBI is the lead banker in the 17-lender consortium that extended Rs 7,000 crore loans to the now grounded Kingfisher Airlines. The state-run bank has an exposure of Rs 1,500 crore to the carrier. The debt has not been serviced since January, 2012.

To a question, Chaudhuri also said right now SBI is not contemplating any legal action against the carrier as the door for negotiations is still open.

"In order to restart operations, Kingfisher Airlines needs to infuse at least Rs 2,000 crore as capital. We are still holding talks with the company and following up also," Chaudhuri told reporters here.

Chaudhuri said the bank was holding talks with the carrier every week.

If necessary, some buildings and non-core assets might be disposed, he said.

Kingfisher is saddled with mounting losses and debts. It has been grounded since October 1 following strike by pilots over non-payment of salaries. The airline's licence has also been temporarily suspended and aviation regulator DGCA has told the airline that it will be restored only when it submits a revival plan.

As per the revival plan submitted to DGCA last year, Kingfisher had said it would require about Rs 652 crore over the next 12 months for running its operations.

PTI



First Published: Tuesday, January 22, 2013, 21:15


Comments


comments powered by Disqus
Top Businesswomen in India
Top Businesswomen in India
World`s top ten billionaires 2014
World`s top ten billionaires 2014
Geneva Auto Show 2014
Geneva Auto Show 2014
Sony Xperia Z2 smartphone & tablet
Sony Xperia Z2 smartphone & tablet
Mobile World Congress 2014
Mobile World Congress 2014

Web Wrap
Contact Us : Privacy Policy : Legal Disclaimer
Copyright © Zee Media Corporation Ltd. All rights reserved