India’s debt-ridden Kingfisher Airlines, which has been grounded since October after repeated strikes by employees over unpaid wages, has seen its flying permit lapse after a 1st January deadline to renew its suspended license expired. The airline had failed to provide additional details on operational funding, but can apply for reinstatement of the licence within two years, after which a completely new licence application would be required.
Kingfisher is believed to have debts of US$1.4 billion and has not been able to pay its dues to staff, airports, tax agencies and its lenders.
The airline has been in discussions regarding a possible buy-in by Etihad Airways – but Etihad is also believed to be having talks with rival Indian private carrier Jet Airways.
