May 11, 2012, 10.21 PM IST

Mallya to KFA employees: We are handing your salaries today

The promoter of Kingfisher Airlines, Vijay Mallya, has written to the cash-strapped company's employees promising them their salaries, due for about three months for which payment was likely to begin from today

Source: CNBC-TV18

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The promoter of Kingfisher Airlines , Vijay Mallya, has written to the cash-strapped company's employees promising them their salaries, due for about three months for which payment was likely to begin from today.

He also informed that in the past 15 months, the UB Group has infused around Rs 1500 crore into the airline

Mallya's letter follows a strike by the airline's pilots demanding to clear the backlog of their salaries. Sounding optimistic, Mallya conveyed to his employees he is confident of the airline bouncing back to glory in some time, CNBC-TV18 has learnt.

In a related development, the airline has cancelled a few flights from New Delhi to various domestic destinations as a group of pilots called in sick.
The pilots are said to be protesting against non-payment of salaries, which were supposed to have been paid on May 9.Earlier, Mallya had written to the staff assuring them that their dues would be paid on May 9.

In April, a group of employees had gone on a flash agitation claiming that their salaries had not been paid even after the management had committed to clear the dues for the last four months.

The cash-strapped airline had suspended operations to several cities in the last week of March and asked its staff to stay at home till it managed fresh funding.

The airline's international operations had been suspended after the International Air Transport Association (IATA) barred the carrier from its inter-airline clearing house and billing and settlement plan accounts due to non-payment of dues.

The airline has a debt of Rs 7,057.08 crore. Its net loss widened to Rs 444.27 crore for the quarter ended December 31, 2011 from Rs 253.69 Year-on-Year.