Kingfisher loses big, plane orders to blame
Domestic Indian air carrier Kingfisher Airlines posted a loss of $144 million during the last financial year, a result of the rising operating costs, route expansions, plane purchases and an impending foray into the international sector.
Known as one of the highest quality domestic carriers since it was launched three years ago with just four planes, the airline has gone on an aggressive plane-buying binge, with a plan to expand its 37-plane fleet more than five-fold over the next decade.
The airline's losses are emblematic of the entire Indian air industry, where only Jet Airways has posted profits over the past year.
But, as the Economic Times reported today, the intrepid airline continues to expand feverishly. It introduced seven new sectors last week, adding five new destinations within India.
However, Kingfisher's losses dwarf all its competition, including Air India, which last week announced losses of nearly $69 million.