It is a happy news to the Indian air travellers that most of the airlines in india are going to reduce their airfares. Followed by Air India and Jet Airways the India's leading private air-carrier Kingfisher Airlines would cut fares across its network from January 1, 2009.
Vijay Mallya, chairman of Kingfisher Airlines, while making the announcement, did not specify the actual percentage of cut in fares. He said the current low prices of Air Turbine Fuel or ATF had made it possible to offer five-star flying at low fares.
Kingfisher had earlier demanded that the government classify ATF in the declared goods category before the airline reduced its fares. The classification would enable a uniform 4% sales tax on ATF across the country and the proposal is now before Parliament.
Many state governments are against this as it could decrease their revenues. Currently, the sales tax varies from 4% to 32% and accounts for over 35% of airlines' operational cost
Showing posts with label Kingfisher Airlines. Show all posts
Showing posts with label Kingfisher Airlines. Show all posts
Tuesday, December 30, 2008
Saturday, November 15, 2008
No to Onboard Service Cuttings in the Airlines in India
If there is one area that airlines are refusing to touch even when they are flying low, it is their service offerings.
Some like Vijay Mallya-owned full-services carrier Kingfisher Airlines Ltd and Jeh Wadia’s budget airline GoAir are even introducing new services to boost demand and earnings.
Kingfisher, which is buried under the crushing dues owed to the Airports Authority of India (AAI), aircraft leasing firm GE Commercial Aviation Services (GECAS) and others, is revisiting its plans of serving free meals onboard its value service class Kingfisher Red. After a delay of about a month, Kingfisher will be going ahead with its plans to offer free meals on Kingfisher Red from November 20.
GoAir has also added business class on all its flights, where some rows will have two seats occupied on either side of the aisle even though there will be three seats per row.
This goes against the true low-cost airline model, which permits only economy seats on all flights. The fares for the business class seats, which will be branded as GoComfort, will be higher than for the other seats.
Others like Jet Airways, JetLite, SpiceJet and IndiGo may not be adding new frills but they are not even trimming them. A spokeswoman for full-services airline Jet Airways said, “Our services will continue to be what they were, whenever they were introduced.”
Kingfisher’s plan to serve snacks on its aircraft was deferred “due to logistics issues on the ground with external stakeholders,” said the full-services carrier’s spokesperson. In September, Kingfisher Airlines had announced that it would start serving free meals on Kingfisher Red (erstwhile Air Deccan and Simplify Deccan) from October. “We had some issue with the packers,” said a Kingfisher Airlines executive, who did not wish to be named. He said that the airline would not charge anything for the meals that would be served on the flight.
Some like Vijay Mallya-owned full-services carrier Kingfisher Airlines Ltd and Jeh Wadia’s budget airline GoAir are even introducing new services to boost demand and earnings.
Kingfisher, which is buried under the crushing dues owed to the Airports Authority of India (AAI), aircraft leasing firm GE Commercial Aviation Services (GECAS) and others, is revisiting its plans of serving free meals onboard its value service class Kingfisher Red. After a delay of about a month, Kingfisher will be going ahead with its plans to offer free meals on Kingfisher Red from November 20.
GoAir has also added business class on all its flights, where some rows will have two seats occupied on either side of the aisle even though there will be three seats per row.
This goes against the true low-cost airline model, which permits only economy seats on all flights. The fares for the business class seats, which will be branded as GoComfort, will be higher than for the other seats.
Others like Jet Airways, JetLite, SpiceJet and IndiGo may not be adding new frills but they are not even trimming them. A spokeswoman for full-services airline Jet Airways said, “Our services will continue to be what they were, whenever they were introduced.”
Kingfisher’s plan to serve snacks on its aircraft was deferred “due to logistics issues on the ground with external stakeholders,” said the full-services carrier’s spokesperson. In September, Kingfisher Airlines had announced that it would start serving free meals on Kingfisher Red (erstwhile Air Deccan and Simplify Deccan) from October. “We had some issue with the packers,” said a Kingfisher Airlines executive, who did not wish to be named. He said that the airline would not charge anything for the meals that would be served on the flight.
Monday, October 20, 2008
Kingfisher Airlines Promise to the Young Pilots Gone with Winds
Young pilots, who received letters of intent from Kingfisher Airlines promising them co-pilot positions once they completed Type Rating training in institutes abroad say, several of them have successfully completed their course and have got Indian licences, but have not heard from the airline regarding the promised job.
''They have been told that they (the airline) do not require crew. The communication was given to students as and when they completed course and contacted the airline for the promised job,'' says a source.
A young pilot who had been issued this letter says, ''The letter was issued to me in April and it clearly stated that I had to bear the course fee at the institute recognized by the airline. Since a job at the end of the course was guaranteed I coughed up Rs 35 lakh for this training programme. But after I came back, I contacted them (the airline) but I was asked to stay put and that they would get back to me, which has not happened so far.''
When contacted, a Kingfisher spokesperson - appearing hassled - said the airline would comment on the matter after a day. He referred to the statement issued by the airline on Saturday on the salary cut issue that spoke of the turbulence in the aviation industry meriting reduction in the capacity deployed.
'All these letters say that the airline would absorb us once foreign flight licence is converted into Indian and we are found 'skilled enough','' avers a pilot, who too holds an LoI. He says this ''skilled enough'' criteria that airlines could use against them.
The present job crisis seems routed in the massive recruitments that several airlines undertook in the year 2006 when many pilots undertaking training in India were called for placements. However, no airline is undertaking such placement exercises now. The placements in 2006 included a psychometric test and a personal interview following which letters of intent promising a job in the airline were offered. ''Of 107 people who had appeared for these interviews, 45 were selected and I was one of them,'' says a pilot who had appeared for Kingfisher interview.
''They have been told that they (the airline) do not require crew. The communication was given to students as and when they completed course and contacted the airline for the promised job,'' says a source.
A young pilot who had been issued this letter says, ''The letter was issued to me in April and it clearly stated that I had to bear the course fee at the institute recognized by the airline. Since a job at the end of the course was guaranteed I coughed up Rs 35 lakh for this training programme. But after I came back, I contacted them (the airline) but I was asked to stay put and that they would get back to me, which has not happened so far.''
When contacted, a Kingfisher spokesperson - appearing hassled - said the airline would comment on the matter after a day. He referred to the statement issued by the airline on Saturday on the salary cut issue that spoke of the turbulence in the aviation industry meriting reduction in the capacity deployed.
'All these letters say that the airline would absorb us once foreign flight licence is converted into Indian and we are found 'skilled enough','' avers a pilot, who too holds an LoI. He says this ''skilled enough'' criteria that airlines could use against them.
The present job crisis seems routed in the massive recruitments that several airlines undertook in the year 2006 when many pilots undertaking training in India were called for placements. However, no airline is undertaking such placement exercises now. The placements in 2006 included a psychometric test and a personal interview following which letters of intent promising a job in the airline were offered. ''Of 107 people who had appeared for these interviews, 45 were selected and I was one of them,'' says a pilot who had appeared for Kingfisher interview.
Thursday, October 16, 2008
Airlines in India Cancelling Their Orders with Airbus and Boeing
Air India, Jet, Kingfisher Airlines and other carriers from the country have placed orders with Airbus and Boeing totaling more than $30 billion in the past three years as economic growth spurred optimism about travel demand.
Carriers are now struggling to raise funds because overcapacity, higher fuel prices and slowing demand will likely cause the industry to post $2 billion of losses this year, CAPA said. Local banks have cut lending to airlines, Civil Aviation Minister Praful Patel said yesterday.
Lenders worldwide have also curbed loans across all industries on concerns about getting their money back amid bank failures and an economic slowdown.
Boeing is confident it will keep its orders in India, even though carriers are struggling to find funds.
``It's a little bit harder for Indian aviation because of the overcapacity,'' said Boeing's Senior Vice President Dinesh Keskar. ``Who will give you money if they know that you will finish it in a certain amount of time?''
Toulouse, France-based Airbus in May said India was the weakest airliner market and predicted that carriers may delay or cancel plane orders in the next 12 months.
India's government will ask local banks not to put ``undue pressure'' on airlines, minister Patel said: ``We are finding airlines complaining that banks and institutions are not very happy to lend to them,'' Patel said. ``Airlines should be given breathing space to tide over this bad patch.''
Indian airline losses, which the International Air Transport Association says will be the biggest in the world this year after the U.S., are also spurring consolidation. Jet Airways and Kingfisher each bought a discount airline last year and this week they said they will cooperate on routes and share facilities.
The two airlines aim to save as much as 15 billion rupees ($307 million) with their alliance.
Kingfisher has also scaled backed growth plans. Airbus said in September it won an order from Arik Air of Nigeria for three A340-500 aircraft that were originally built for Kingfisher. The planemaker has also agreed to postpone deliveries of 32 single- aisle planes, the Financial Times reported Aug. 25, citing an interview with Kingfisher Chief Executive Officer Vijay Mallya.
Jet is considering delaying the delivery of two Boeing 777 aircraft by a year, Saroj K. Datta, executive director, said in July. The airline said that, it cut 800 jobs and may increase this to as many as 1,900 positions.
Carriers are now struggling to raise funds because overcapacity, higher fuel prices and slowing demand will likely cause the industry to post $2 billion of losses this year, CAPA said. Local banks have cut lending to airlines, Civil Aviation Minister Praful Patel said yesterday.
Lenders worldwide have also curbed loans across all industries on concerns about getting their money back amid bank failures and an economic slowdown.
Boeing is confident it will keep its orders in India, even though carriers are struggling to find funds.
``It's a little bit harder for Indian aviation because of the overcapacity,'' said Boeing's Senior Vice President Dinesh Keskar. ``Who will give you money if they know that you will finish it in a certain amount of time?''
Toulouse, France-based Airbus in May said India was the weakest airliner market and predicted that carriers may delay or cancel plane orders in the next 12 months.
India's government will ask local banks not to put ``undue pressure'' on airlines, minister Patel said: ``We are finding airlines complaining that banks and institutions are not very happy to lend to them,'' Patel said. ``Airlines should be given breathing space to tide over this bad patch.''
Indian airline losses, which the International Air Transport Association says will be the biggest in the world this year after the U.S., are also spurring consolidation. Jet Airways and Kingfisher each bought a discount airline last year and this week they said they will cooperate on routes and share facilities.
The two airlines aim to save as much as 15 billion rupees ($307 million) with their alliance.
Kingfisher has also scaled backed growth plans. Airbus said in September it won an order from Arik Air of Nigeria for three A340-500 aircraft that were originally built for Kingfisher. The planemaker has also agreed to postpone deliveries of 32 single- aisle planes, the Financial Times reported Aug. 25, citing an interview with Kingfisher Chief Executive Officer Vijay Mallya.
Jet is considering delaying the delivery of two Boeing 777 aircraft by a year, Saroj K. Datta, executive director, said in July. The airline said that, it cut 800 jobs and may increase this to as many as 1,900 positions.
Wednesday, October 15, 2008
New Routes of Kingfisher Airlines
Kingfisher Airlines has launched three new routes connecting Nanded and Latur with Mumbai. The services are operated using a ATR aircraft. The flights on these new routes commenced from 06-Oct-08.
Commenting on the launch of these new routes Mr. Subhash Gupte, Vice Chairman, The UB Group and Director, Kingfisher Airlines Limited, said, “I am delighted to announce the launch of services connecting Nanded and Latur with the nation`s financial capital, Mumbai. The tri-weekly services connecting Nanded with Latur and Mumbai will cater to the unmet needs of pilgrims and the community of traders, entrepreneurs and industrialists who have been instrumental in bolstering trade and commerce in the region”.
Commenting on the launch of these new routes Mr. Subhash Gupte, Vice Chairman, The UB Group and Director, Kingfisher Airlines Limited, said, “I am delighted to announce the launch of services connecting Nanded and Latur with the nation`s financial capital, Mumbai. The tri-weekly services connecting Nanded with Latur and Mumbai will cater to the unmet needs of pilgrims and the community of traders, entrepreneurs and industrialists who have been instrumental in bolstering trade and commerce in the region”.
Tuesday, October 7, 2008
Bright Future for the Airlines in India
In india the airlines getting better oppertunities from the foreign airlinesrs for the tie-ups. British Airways, UK’s biggest airline, was reported to be in talks with Go Air, the Nusli Wadia-owned low-cost carrier, in early September for a brand and code-share agreement.
Air France, has expressed interest in a tie-up with Jet Airways or Kingfisher Airlines, both of which have started to fly abroad. Jean-Louis Pinson, senior vice president, Air France, said his airline would be interested in an agreement with Jet and Kingfisher, but also added that the agreement would be a “partnership” and not just a franchise, unlike BA’s model.
“We are discussing with both, but we are not in a hurry. We will have (an agreement) with either Kingfisher or Jet Airways,” he told DNA Money.
Indian airlines are in demand as a new affluent population in the country makes it an exciting potential market for European airlines struggling to expand in saturated home markets.
Both Jet Airways and Kingfisher are also being wooed to join global airline alliances, which will give foreign airlines within the alliance, freedom to ride of domestic networks.
Air France, for example, has daily flights from Mumbai, Delhi and Bangalore to its hub in Paris, connecting Indian customers to Europe and the Americas. An alliance with either Kingfisher or Jet will help the airline bring smaller cities into their catchment area.
Air France, has expressed interest in a tie-up with Jet Airways or Kingfisher Airlines, both of which have started to fly abroad. Jean-Louis Pinson, senior vice president, Air France, said his airline would be interested in an agreement with Jet and Kingfisher, but also added that the agreement would be a “partnership” and not just a franchise, unlike BA’s model.
“We are discussing with both, but we are not in a hurry. We will have (an agreement) with either Kingfisher or Jet Airways,” he told DNA Money.
Indian airlines are in demand as a new affluent population in the country makes it an exciting potential market for European airlines struggling to expand in saturated home markets.
Both Jet Airways and Kingfisher are also being wooed to join global airline alliances, which will give foreign airlines within the alliance, freedom to ride of domestic networks.
Air France, for example, has daily flights from Mumbai, Delhi and Bangalore to its hub in Paris, connecting Indian customers to Europe and the Americas. An alliance with either Kingfisher or Jet will help the airline bring smaller cities into their catchment area.
Friday, October 3, 2008
Thursday, September 11, 2008
Deccan Changes into Kingfisher Red
Deccan, the legendary low cost airline brand will now be known as Kingfisher Red. Captain GR Gopinath its gutsy founder told that he tried hard but had to concede to chairman Vijay Mallya's wish of converting the blue into Kingfisher Red!
Now, the airline will also replace its blue signature colour with red. The airline will also be operating under the flight code IT instead of the current DN.
Captain Gopinath had led a valiant effort to retain Brand Deccan as the low cost arm of Kingfisher Airline after Mallya bought over the airline last year.
His contention was that Deccan was a well recognised brand in the low cost segment and told that he has now conceded to the end of Brand Deccan as he did not want any in-fighting in the company.
Captain GR Gopinath, Vice-Chiarman, Kingfisher Airlines, said, "Its a very emotional time for me. I don't like it, but I will support Dr Mallya in his decision to avoid controversy". While the merged company will be called Deccan Aviation that is currently entitled to fly abroad, the brand will be Kingfisher.
Kingfisher will house both- the low cost and full fare service. The companys name is likely to be changed to Kingfisher once all legal formalities are completed, possibly by the end of the month. But capt Gopinath says - even as the name changes, the low cost model should continue.
Capt Gopinath, added, "The low cost model will continue to be key to the Indian aviation market to stimulate its mass and growth". Even as Captain Gopinath surrenders his iconic brand Air Deccan to Kingfisher Red, he maintains that this was not the last that we've heard of brand deccan as he plans to retain the deccan branding for his helicopter, air cargo and budget hotel businesses.
Now, the airline will also replace its blue signature colour with red. The airline will also be operating under the flight code IT instead of the current DN.
Captain Gopinath had led a valiant effort to retain Brand Deccan as the low cost arm of Kingfisher Airline after Mallya bought over the airline last year.
His contention was that Deccan was a well recognised brand in the low cost segment and told that he has now conceded to the end of Brand Deccan as he did not want any in-fighting in the company.
Captain GR Gopinath, Vice-Chiarman, Kingfisher Airlines, said, "Its a very emotional time for me. I don't like it, but I will support Dr Mallya in his decision to avoid controversy". While the merged company will be called Deccan Aviation that is currently entitled to fly abroad, the brand will be Kingfisher.
Kingfisher will house both- the low cost and full fare service. The companys name is likely to be changed to Kingfisher once all legal formalities are completed, possibly by the end of the month. But capt Gopinath says - even as the name changes, the low cost model should continue.
Capt Gopinath, added, "The low cost model will continue to be key to the Indian aviation market to stimulate its mass and growth". Even as Captain Gopinath surrenders his iconic brand Air Deccan to Kingfisher Red, he maintains that this was not the last that we've heard of brand deccan as he plans to retain the deccan branding for his helicopter, air cargo and budget hotel businesses.
Monday, August 25, 2008
Kingfisher Airlines ready to fly from Bangalore to London
Kingfisher Airlines has announced it will launch its first international flight from the high-tech southern city of Bangalore to London next month.
The daily non-stop Airbus A330-220 service to Heathrow airport by Kingfisher, owned by liquor baron Vijay Mallya, will take to the skies 03-Sept-08.
Kingfisher chairman Mallya said,"We will set new standards in international travel." The privately-owned airline last year bought out low-cost Indian carrier Deccan Aviation giving it the right to fly aboard. Under Indian rules, carriers less than five years old cannot fly internationally. Kingfisher was founded three years ago while Deccan is five years old.
On its own, Kingfisher would only have been eligible to fly abroad in 2010. The decision to add overseas destinations is expected to heat up rivalry with India's largest airline Jet Airways. All India's major airlines have posted big losses due to soaring fuel costs that have driven up fares, reducing passenger traffic. The sector has been hit by a wave of mergers as airlines have sought to cut costs.
The daily non-stop Airbus A330-220 service to Heathrow airport by Kingfisher, owned by liquor baron Vijay Mallya, will take to the skies 03-Sept-08.
Kingfisher chairman Mallya said,"We will set new standards in international travel." The privately-owned airline last year bought out low-cost Indian carrier Deccan Aviation giving it the right to fly aboard. Under Indian rules, carriers less than five years old cannot fly internationally. Kingfisher was founded three years ago while Deccan is five years old.
On its own, Kingfisher would only have been eligible to fly abroad in 2010. The decision to add overseas destinations is expected to heat up rivalry with India's largest airline Jet Airways. All India's major airlines have posted big losses due to soaring fuel costs that have driven up fares, reducing passenger traffic. The sector has been hit by a wave of mergers as airlines have sought to cut costs.
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