Kingfisher staves off AAI deadline with "significant" payment

18 Nov 2008

New Delhi: Kingfisher Airlines made "a significant payment" to the Airports Authority of India (AAI) to clear a portion of dues that total over Rs286 crore. According to reports, the payment was made just in time before the state-owned body encashed Kingfisher's bank guarantee.

It is being reported that the airline chief, Vijay Mallya, also met AAI chairman K Ramalingam in this regard.

 The Kingfisher-Air Deccan combine owes AAI a total of Rs286.62 crore as of 31 October by way of airport and navigation related charges.

Kingfisher officials have also expressed the confidence that all outstanding issues with the state-owned airports authority would be settled soon.

Apart from Kingfisher, state-run National Aviation Company of India Ltd (NACIL), the holding arm of Air India, also owes AAI Rs739.50 crore.

In the case of Jet Airways, dues amount to only Rs30 crore discounting the deposit placed with the AAI.