Case study on kingfisher airlines crisis pdf Continue Case StudiesTrastigation RetailAlbal RetailersIndeceives Retail Finance Administration, Accounting - Financial Management Management - Corporate FinanceInvesting - BankingLeadershipLeadership,Organizational Changes - ExecutivesCompany planning Corporate Management - Business Ethics Corporation Corporate Social ResponsibilityMusendal Trade - Business ⁄ BusinessOperations - Project ManagementSocial NetworkKitay-related CasesIndia Related CasesWomen Executives ⁄ CEO's CasebooksCourse CaseInterviewsEffective Executive InterviewVideExecutive BriefMovie Based on Case Research Morko at IBSCDCBlogContact Code : FCF0021 Year : 2012 Industry: Aviation Industry: Aviation Industry Region Aviation Industry : India Teaching Note: Not available structured destinations :Not available OR Abstract: Kingfisher Airlines, which revised air traffic to India, suffered from financial turbulence in late 2011 due to growing debt and a shortage of expected revenue. Despite restructuring the debt with the help of creditors, airlines found it difficult to get out of their problems. The case tracks the transformation in the Indian aviation sector, as well as the ups and downs of Kingfisher Airlines. It contains information about the complex debt restructuring of Kingfisher Airlines. Case studies of best practices - Vol. I Case Research on the Aviation Industry for Business Books Click here for the case e-books Click here for the Educational Goals: Understand the Concept of Capital Structure and Capital Structure Theory Discussion of Short-Term Financing and Liquidity Management Problems Understand the Predicament of Lenders (Banks and Financial Institutions) in countries such as India To Understand the Debt Restructuring Process and Make It Successful Analysis of a Changing Regulatory Environment , Tax structure, and tariff against the aviation industry in emerging markets Keywords : Air Deccan, Air Travel, Aviation Fuel, Aviation Industry, Capital, Cash Trap, Asia Pacific Aviation Center, Mandatory Convertible Preferred Shares, Controlling Stakes, Corporate Debt, Coupon Rate, Total Repayment of Preferred Shares, Debt Restructuring, De-Merger, Indian Airlines, International Air Transport Association, Jet Lite, King Fisher Airlines, Kingfisher Red Low Cost Carrier, Merger, Net Loss, Networth, Oil Prices, Optional Convertible Debt, Paid Equity, Preferred Equity, Private Public Participation, Promoter Loans, Redeemable Preferences Shares, Spicejet, United Breweries Holding Limited, Working Capital Capital Problem Case Introduction 4 Pages Published: July 15, 2019 Date Written: June 30, 2019 Kingfisher Airlines Ltd. owned India's largest liquor tycoon with ambitions to become an industry leader. The growing share of the aviation market, a large number of destinations and numerous awards, portrayed a very attractive and innovative picture for the company. Kingfisher Airlines have been successful in gaining customer satisfaction by offering a great and convenient flight experience for their passengers. In the Indian aviation sector, however, Kingfisher Airlines had a short but indelible impression. By the end of 2011, Kingfisher Airlines was in a huge financial crisis. Kingfisher Airlines, UB Holdings Ltd. has been granted credit by many private and public banks in India, given the reputation of its CMD. It was unable to repay loans to many public sector banks, but private banks restored all loans. This paper describes the fall of Kingfisher Airlines and the study of the financial condition of United Breweries Holdings. Here we tried to understand the business of Kingfisher Airlines and studied the role of banks in extending loans and trying to recover. Moreover, we tried to highlight the reasons for the company's financial failure in terms of mistakes in making strategic decisions. Keywords: Kingfisher Airlines, Vijay Mallya, aviation industry, bankrupt Academia.edu no longer supports the Internet Explorer.To browse the Academia.edu and wider internet faster and more securely, please take a few seconds to update the browser. Academia.edu uses cookies to personalize content, adapt ads, and improve user experience. Using our website, you agree to our collection of information using cookies. To learn more, review our privacy policy.× Author: Abstract: The Indian economy is going from a tight phase, leading to upheaval in various sectors and affecting them with negative shocks. One such industry with current economic shocks in India is the aviation industry. India is one of the fastest growing aviation markets in the world, but its airlines are deep in the red. All major carriers, except Indigo, are unprofitable and burdened with huge debts. Rising fuel costs, a strong drop in rupees, low FDI, high interest rates are only a few factors that adversely affect the sector. Among the various existing Aitlines in India Kingfisher suffers the most as its activities have been suspended. This study is taken to examine the various economic, financial and technical weaknesses responsible for the sudden rise and fall of this airline (2005-2012). Kingfisher was founded in 2003. It is owned by the United Breweries Group. The airline began commercial operations on 9 May 2005 with a fleet of four new Airbus A320-200 aircraft flying from Mumbai to Delhi. He began his September 3, 2008 by connecting Bengaluru with London. Kingfisher Airlines Limited is an Indian airline. It is headquartered in Aheri East, Mumbai and has a registered office in UB, Bangalore. Kingfisher Airlines, through its parent company United Breweries Group, owns a 50% stake in the low-cost Kingfisher Red. The airline has been facing financial problems for years, and the reason cited is the merger of Air Deccan airlines and a timely expansion that included ordering A380s (subsequently postponed). Until December 2011, Kingfisher Airlines had the second largest share of India's domestic airline market. However, due to the severe financial crisis faced by the airline in early 2012, it has the lowest market share since April 2012. The airline closed operations when DGCA suspended its flight license on October 20, 2012. This suspension was due to the inability to give an effective response to the show cause notice issued by the DGCA. On October 25, 2012, the staff agreed to return to work. In February 2013, the Indian government announced the lifting of both domestic and international flight rights granted to the airline. Kingfisher's lifecycle was a short-term business cycle, witnessing different peaks and bottom sides. On November 15, 2011, the airline posted poor financial results, stating that it had drowned in high interest and was losing money. Now this study offers a critical analysis of the factors leading to the downfall of this airline and a glimpse of its various crisis plans PDF file: 15232.pdf Slideshare uses cookies to improve functionality and performance, as well as provide you with appropriate advertising. If you continue to browse the site, you agree to use cookies on this site. See our User Agreement and Privacy Policy. Slideshare uses cookies to improve functionality and performance, as well as to provide you with appropriate advertising. If you continue to browse the site, you agree to use cookies on this site. See our Privacy Policy and User Agreement for more details. Kingfisher Airlines - Example of upcoming SlideShare Download in... 5 × 1 How does this document? Why not share it! 1. CAS TUDY SE ST Y Ch haahat Khat ttar 2. It's a world-class experience, all at an affordable price. We are not a low-budget company and we do not intend to be it. We have broken the shackles of conservative socialism. The growing middle class wants the standard of living that you like in the West. So I'm selling this lifestyle. Vijay Mallya KINGFISHER ELEATER high- frequency, medium and high tariff service. Kingfisher was founded in 2003. It is owned by the Bengaluru-based United Breweries Group. The airline began commercial operations on 9 May 2005 with a fleet of four new Airbus A320-200s flying from Mumbai to Delhi. It began its international activities on 3 September 2008, linking Bengaluru with London. Indian airline Air India was founded by J. R. D. Tata in July 1932 as Tata Airlines, a division of Tata Sons Ltd, which became india's first airline and was then taken over by the Indian government. At the time of India's independence from Great Britain in 1947, the country operated several small airlines. Soon, however, in 1953, the Indian government decided to direct the orderly growth and evolution of the industry by creating two state-owned national carriers, Air India (for international travel) and Indian Airlines (for domestic travel). Air India was founded by J. R. D. Tata in July 1932 as Tata Airlines, a division of Tata Sons Ltd (Exhibit 1), which became India's first airline and was then taken over by the Indian government. Existing carriers (many of which have made losses) have been folded into these airlines. With the country's size and various topological features, air travel is expected to be an important mode of travel. Air India and Indian Airlines maintained a monopoly on civil aviation in India until 1992. During this time they grew steadily, but slowly. Air travel has been sponsored by government, business and wealthy people and is otherwise seen as a luxury, with the masses travelling by train or bus. The deregulation of the Indian economy, which began in the mid-1980s and continued more aggressively after the new economic policy in