Kingfisher Mallya the King of Good Times and his CA~LENDERS this year !
This is the Reality from the Prediction a few years ago ! ~ a forced change in focus ~ from swelte and sexy bikini clad models hand picked from hundreds, that Loyal Photographer Atul Kasbekar clicked for the Annual Kingfisher CALENDAR to a survival business model being thrashed out with CAs and LENDERS for Kingfisher Airlines whose license has just been suspended !
In the past few years Blogged a few times on Kingfisher Airlines and it’s financials,right from the time I highlighted the risk of the Brand being valued for leveraging debt on this Intangible ! ~ use search on the blog to locate these
Mallya is a true role model for my blog’s tagline “In India,Companies may fall sick but Promoters rarely do!”
In a Sense I do sympathise with him ~ and in the same Sense I don’t ! ~ a few good reasons for this ! ~ his UB group and him hold 28.98cr shares FV Rs 10 or 35.83% of KFA’s Equity ~ all pledged
In a Sense I do sympathise even with the Lenders ~ and in the same Sense I don’t ! ~ a few good reasons too for this !~ SBI,IDBI Bank,ICICI Bank and Bank of India have converted some part of loan to shares at I think @ Rs 60 ! ~ they collectively own 7.1 cr shares of FV Rs 10 or 8.78% of KFA’s Equity as at September 30,2012
In a Sense I do sympathise with the 214000+ Shareholders of KFA ~ and in the same Sense I don’t ~you guys took a flying risk despite clear indications of heavy turbulence during Flight !
Where I do really sympathise is with the Employees ! ~ try living without salaries for even a month ! ~ and when Mallya last met them I was stunned by his attitude ~ literally chiding them for holding flyers to ransom by resorting to go slow,strikes and no shows ~ did they have any other Choice except to resign and leave and probably say goodbye to their dues too ! ~ Mallya has not kept his word to them in the recent past and even this oral offer of paying three months salaries for the seven months due before Diwali is not in writing ~ and when he had crucial meetings with lenders he was seen in the Control Room of the Formula I Singapore Grand Prix monitoring his Force India Cars !
Meanwhile KFA valiantly struggles to remain above par at Rs 10 on ground BSE and NSE despite none of it’s Planes in the Air currently ! ~ In fact The Planes have been bolted in the Hangars by AAI till dues are cleared and those who own them and had leased them or sold them on instalments to KFA have been unable to recover possession of the planes