The two airlines had sealed a strategic alliance last year with a view to curtail costs after crude oil prices had shot up astronomically.

Addressing the media on the sidelines of the Kingfisher Airlines’ AGM, Mallya also urged that there should be a uniform sales tax policy across states and stated that a major step had been taken in this context with a group of ministers being formed to overlook the issue. When questioned about the outlook of the civil aviation industry, he stated that compared to August 2008, it had shown some signs of stability. He added that the fund raising plan for Kingfisher Airlines has been approved at the company’s AGM.