Once rated as Asia Pacific’s most respected brand, Kingfisher Airlines reels under the pressure of rising oil prices and the price war plaguing the airline industry of India. Since its inception in 2005, India’s only 5 star accredited airline has yet to post a profit. The situation has become so grave for India’s third largest airline that it might have to ask for a government bailout. The Income Tax authorities froze bank accounts of the airline for the non-payment of service tax arrears. The share price of the airline has plummeted from a Rs. 320 peak in 2007 to a life time low of Rs. 17.55. The company even made losses of Rs. 1,027 crores in the FY 2010-11.
