In additional news regarding the beleaguered Indian Airline, auditors are demanding a plan from the airline that will demonstrate its ability to operate safely while cutting costs. They have given the airline a deadline of Monday, January 9 to reply.

In the article referenced in the link above, it goes on to discuss how a regulator suggested that pulling Kingfisher’s operating license is possible as its financial woes can put passenger safety in jeopardy.

Also in the article, it is stated that the State Bank of India now considers it’s loans to the carrier to be non-performing. In other words, it is not expecting Kingfisher to make upcoming interest payments due to the financial challenges faced by the airline.

Another area of concern discussed in the article is the fact that 100 pilots recently have left Kingfisher putting additional stress on the airline to hire and properly train replacements.

It will be interesting to see if the Oneworld Alliance will continue to support Kingfisher’s membership to the alliance which is scheduled to take effect 10 February 2012. Throughout these developments, Oneworld has been fairly quiet. I dont think I’ve seen any votes of confidence in Kingfisher come out of the alliance.

It would not surprise me if there is some sort of delay that is suggested to allow Kingfisher enough time to put its “hangar” in order. It would certainly be embarrassing for Oneworld to welcome a new member only to watch it unable to stay in operation. But this is simply my opinion on the matter.

Additional LufthansaFlyer coverage on Kingfisher and it’s challenges can be found HERE and HERE.