Grounded airline Kingfisher's promoter Vijay Mallya is likely to meet finance minister P Chidambaram tomorrow and financial trouble the carrier is facing is believed to be on agenda for discussions.
Grounded airline Kingfisher 's promoter Vijay Mallya is likely to meet finance minister P Chidambaram tomorrow and financial trouble the carrier is facing is believed to be on agenda for discussions.
"Vijay Mallya is coming to meet the finance minister tomorrow," sources told PTI. Mallya had met law minister Ashwani Kumar last month to discuss ways to deal with the problems facing his airline. The scheduled meeting with Chidambaram comes against the backdrop of Kingfisher's lenders last month deciding to start the process to recover dues of over Rs 7,500 crore.
The beleaguered airline has dues towards payment of service tax, income tax, as also Provident Fund of employees and dues of the oil companies. Besides, it has to pay huge amounts to the lessors of its aircraft and service providers like the Airports Authority of India.
Kingfisher, which has over Rs 15,000 crore in the form of debt, accumulated losses and various dues, has remained grounded since October 1 last year and its flying licence, suspended that month, expired on December 31. Its parent company, United Breweries Holdings Ltd, is also in the eye of a storm with its auditors raising concerns over its significant financial exposure of Rs 13,500 crore to Kingfisher.
UB Holdings stock price
On May 29, 2015, United Breweries Holdings closed at Rs 19.80, up Rs 0.10, or 0.51 percent. The 52-week high of the share was Rs 52.20 and the 52-week low was Rs 16.60.
The latest book value of the company is Rs -108.72 per share. At current value, the price-to-book value of the company was -0.18.
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