Kingfisher may revise international plans
30 Jun 2008
Mumbai: Buffeted with many a headwind even before launch of its much anticipated international operations, Kingfisher Airlines may now be doing a rethink of this strategy, say industry observers. Under current rules, Kingfisher becomes eligible to launch operations overseas as soon it completes all merger formalities with Air Deccan, the pioneering low cost carrier, which it has already acquired.
This is crucial as it is on the back of Air Deccan's license to operate abroad, for which the LCC becomes eligible in August this year, that Kingfisher hopes to launch its international services. It was scheduled to launch its international operations with a Bangalore-San Francisco service on 27 August.
It would now appear that the airline may be considering postponing launch of international operations by at least a few months. According to sources, a final decision in this regard may well be taken in a day or two.
A sharp rise in aviation turbine fuel (ATF) prices, a slowdown in international and domestic travel and the prevailing uncertainty in the aviation market may be forcing the carrier to consider a pause.
