Kingfisher Airlines Chairman Vijay Mallya stated the decision to phase out Kingfisher Red was a strategic one as the earnings from the LCC segment had been lower than its full-service peer (Business Standard/Economic Times/Bloomberg/ANI, 15-Nov-2011). “With capacity addition taking place in the low-fare market, we believe the bloodbath will be at the bottom end,” Dr Mallya said. Kingfisher CEO Sanjay Aggarawal similarly noted: "Low cost service is not a viable model in India and there could be a blood bath happening in the low-cost business." He added that the company has not provided Jet Airways with an advantage through its Kingfisher Red closure.
Kingfisher notes the 'bloodbath' at the bottom end of the market
16-Nov-2011 2:12 PM