The consortium of lending banks lost heavily from the debt restructuring in January. Debt was converted to shares at Rs 64.48 a share. Today, with the stock price tanking to Rs 19, their collective loss is a massive Rs 529 crore — not so much a haircut as a tonsure!
The airline companies are playing a dangerous game of ‘last man standing'. You don't have to go beyond the latest quarterly results to see the damage to their balance-sheets from this game. If SpiceJet reported a Rs 240 crore loss, Jet Airways stunned investors with a Rs 713 crore loss in the second quarter of this fiscal. Kingfisher has yet to declare its numbers but you can rest assured it will not be a pretty picture.