Why Govt. of India Shouldn’t bail out Kingfisher Airlines

Mr. Vayalar Ravi, Aviation Minister, I know you have the responsibility to look after airlines industry and just look at the below list before even thinking about a possible bailout of KA.
Mr. Pranab Mukharjee, Finance Minister, think as a buisness man who works for common man and not as an commission agent of Mr.Mallya.

1. A beggar can’t bail out a beggar: Govt. of India and its appointed chairman is struggling to run or save Air India, how could these bunch of buffoons save KA. How many times AI has delayed payment of salary to its employees? what’s the loss incurred by AI on daily basis, yearly basis?

2. What’s the benefit for Mango Man (Aam Aadmi): Don’t waste your money on rich bastards, use these funds for educating the rural and under privileged children of India. You came to power shouting Aam Aadmi, Aam Aadmi, now you are going on this. We have 1000+ farmers who committed suicides, where were you when these guys went under. Bloody you are now saving rich bastard who runs around girls in bikinis and spends crores on parties.

3. Its Business Baby: Have you looked into their Balance Sheet or quarterly or half yearly earning reports. What’s the future forecast for Airlines industry, who will pay for this restructuring? Please do the home work and later think about bail out or influencing the banks.
Any idea how much taxes KA has paid KA, only Rs.7.10 Crores and this was paid in 2006 & 2007 and since then GOI has earned Rs.0 from KA. Each and every citizen has at-least paid GOI, directly(Income Tax) or indirectly(Service Tax) Re.1. But KA hasn’t paid you even a single paise. why do you want to save them, they will not revive.

If you don’t know then please have a look at this:

Balance Sheet extract:

Do you see a row net worth: That’s what the company is worth -2951.19 crores, do you know how much you have to infuse into this company to stay afloat? Minimum of Rs.5000 crores(directly or indirectly), how much did it pay you in taxes mere Rs.7.10 crore.

Ask Mr. Mallya whether he will return this kind of favor to anyone, or at-least to a person who drinks, floats in Kingfisher Beer.

Dude be a business man when dealing with a business man, he will not even look at you if it doesn’t benefit him. (Oh!, I forgot you bastards also do the same, you appear once in five years and disappear later) 😉

4. Its a trigger bomb: If a bailout package or restructuring package is forced upon by GOI, then all the struggling airlines will line up, Jet is next, spicejet after that, damn all the airlines are struggling, do you give this package to everyone.

Because of your insanely or un-professional act loosers would be:

0. Kingfisher Calender babes: They will not have any other calender to expose. 😉
i. Banks: because they have lent the amount to KA. They have already lost Rs: 1000 crores in re-structuring
ii. Stock Exchange: Blood bath on all the related parties, if it goes under the effect would be once, otherwise it will be a continuous bloodbath.
iii. Mango Man, Sorry Common Man (I don’t know why I like “Mango Man”): We pay the fuckin Tax dude and don’t waste the money.

5. Empty planes only make losses: I usually travel between Hyderabad and Bengaluru, i usually opt for Bus i will tell you the reason why:

i. I get pick-up near by to office and drop point is near my home.
ii. It costs me only Rs.700 to Rs.1100 (Only Volvo or Mercedes)
iii. Travel Time: 8 hours
iv. I usually opt(95%) for 11.00PM Bus.

If i take a flight then:
i. Cab cost: Rs.250 + Rs.250
ii. Flight cost: Rs.3000 minimum
iii. Travel Time:
a. Cab: 1hr + 1hr (congestion free time)
b. Waiting Time & Check in: 2hr
c. Travel time: 1.5 hrs minimum
so my total time to travel is 5.5 hrs and we don’t have any flights in between midnight 12.00 and morning 6.00AM.

Twice i had to travel by flight and both the times i traveled by KA and in 72 seater plane, total occupants were around 20 and 30 respectively. And while waiting in the lobby the no.of travelers for Bengaluru/Hyderabad flight were also in the same range and time difference was only 15 minutes.

Tell me now why would these operators would not make losses.

I think these guys haven’t hired any Cost Accountants or if any employed those guys would be Chairwarmers.;)

Oye, You Mr. Vayalar Ravi, Pranab Mukahrjee follow these steps and later everything would work out smoothly.

1. Call all these bleeding airlines heads, beat the shit out of them.
2. Hire a good Cost Accountant and Statistician, and study the requirements of the industry and avoid the duplication, streamlining works.

This is the best advise:

If you are thinking about bailout, decide the package amount and give it to me. If you give to KA you will not get anything, if you give it to me at-least you will earn Income Tax (Tax on Interest Income) and service tax (when i buy things).

I also know why GOI would push for bailout:

1. Missed chances of hooking-up with Kingfisher babes.;)
2. If KA goes down, UB will pressurized and by chance it goes Kapoot then GOI will miss crores in Liquor Revenue and lobbying.
3. what’s your Commission percentage? 😉

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1 Comment

  1. Very apt points. In fact,I have some serious doubts ever since it all started. I have serious doubts on intentions altogether. Here we are talking about a big industrialist and it is no secret that major part of his income comes not from airlines business but from somewhere else.

    He could have saved the company by making some policy changes, cutting some unnecessary costs (you know what I mean) and refunding some money from other businesses of his. None of this has been tried at all. Is he not trying to close the company himself? Now if that happens, where will the losses be accomodated? I’m not sure but if there is any expert here, he can let us know if in that case, can it be transferred to the group’s accounts? If answer is yes, there certainly is some big game in making.
    Story in pieces

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