Bangalore: Startup carriers are having tough time getting aircraft from leasing companies in view of the default in payment by grounded Kingfisher Airlines of Vijay Mallaya.
Air Pegasus, a Bangalore-based airline, has been trying to get 3 ATR 72/500 aircraft to begin operations in South India for over eight months now.
“The delay is not because of us or DGCA, it is because of KfA,” Shyson Thomas, Managing Director and CEO of Air Pegasus, told Express. The airline had planned to start services by March next year.
“Nobody is willing to lease aircraft after Kingfisher Airlines’ problems,” Thomas said. Lessor companies are now demanding many more sureties before a deal is completed.
“They have asked for a security deposit of 10 months and the personal guarantee of all directors in the company,” he said. The company had to pay $1.1 million as deposit which works up to 10 months deposit, though the earlier requirement was only 2-3 months security deposit, he said. Kingfisher Airlines, its promoter Vijay Mallya and three directors have been named ‘wilful defaulters’ by United Bank of India for non-payment of loans.
16/09/14 Sharan Poovanna/New Indian Express
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Air Pegasus, a Bangalore-based airline, has been trying to get 3 ATR 72/500 aircraft to begin operations in South India for over eight months now.
“The delay is not because of us or DGCA, it is because of KfA,” Shyson Thomas, Managing Director and CEO of Air Pegasus, told Express. The airline had planned to start services by March next year.
“Nobody is willing to lease aircraft after Kingfisher Airlines’ problems,” Thomas said. Lessor companies are now demanding many more sureties before a deal is completed.
“They have asked for a security deposit of 10 months and the personal guarantee of all directors in the company,” he said. The company had to pay $1.1 million as deposit which works up to 10 months deposit, though the earlier requirement was only 2-3 months security deposit, he said. Kingfisher Airlines, its promoter Vijay Mallya and three directors have been named ‘wilful defaulters’ by United Bank of India for non-payment of loans.
16/09/14 Sharan Poovanna/New Indian Express
