Kingfisher shares tank 5% after reports of CEO's exit

Shares of Kingfisher Airlines on Monday fell by nearly 5% amid media reports saying its chief executive officer Sanjay Aggarwal has resigned.

Shares of Kingfisher Airlines on Monday fell by nearly 5% amid media reports saying its chief executive officer Sanjay Aggarwal has resigned.

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Reacting to the buzz, shares of the grounded-carrier tanked 4.86% to Rs 2.74 -- its lower circuit limit on the BSE.

At the NSE, the stock plunged 3.5% to Rs 2.75.

The airline, headed by liquor-baron Vijay Mallya, has not flown since October 2012, after employees went on strike demanding salaries.

The ailing carrier on February 12 reported a net loss of Rs 822.42 crore for the third quarter ended December 31.

The airline had reported a loss of Rs 755.17 crore a year earlier. With planes remaining on the ground, the airline had nil sales in the reporting quarter, similar to zero sales a year ago.

Kingfisher had never reported a profit since starting operations in 2005.

Besides non-payment of salaries, the private carrier is saddled with huge debt and losses. The airline has a debt of over Rs 7,200 crore towards lenders, mainly public sector banks since January 2011.