New Delhi: These are bad times for the airline industry in India. After Air India, Kingfisher Airlines has now warned its employees of a delay in salaries and “an uncertain future”.
An e-mail sent out by Kingfisher Executive Vice-President Hitesh Patel to the company's 6000 plus employees asks employees to adjust to delayed salaries and embarrassing dealings with unpaid vendors ahead.
The email says the company is in a tight financial situation regarding finances and that it has trimmed its fleet to 69 from 89 to cut costs.
“Along with all other airlines, we are in a tight situation regarding finances. You can expect to be in embarrassing situations with our vendors; your salaries may be delayed but never beyond the seventh (day of the month). Please remember, even as you read this mail, the Chairman is out there, fighting a lonely and difficult battle to manage funds so that the salaries can be paid on time,” the mail read.
The company is under a debt of about Rs 8,000 crore.
Oil minister Murli Deora had earlier said the airline owes Rs 950 crore to state-run oil companies.
On Wednesday, the airline also posted a net loss of Rs 1,609 cr on net sales of Rs 5,270 cr for the year-ended March 31, 2009.
Year-ago figures were not immediately available.
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