Deccan, Kingfisher airlines move closer to merger

Bangalore, Dec 19 (UNI) As a first step for merger of low cost airliner Deccan with high flying Kigfisher Airines, shareholders of Deccan were today presented excerpts of Accenture report at its 12th Annual Generalbody Meeting held here today.

The meeting which was also attended byu UB Group Chairman Chairman Vijay Mallya, who has 46 per cent stakes in the low cost airliner and Deccan Managing Director Captain G R Gopinath, the recommendations made by consulting firm Accenture on the merger issue was placed.

Speaking to reporters after the AGM Capt Gopinath said the consulting firm had presented a comprehensive report before the meeting.

Refusing to reply about the outcome of today's meeting, he said the a final decision would be taken only after the Deccan Board of Directors meeting scheduled later in the day.

"The process of merger will be a long time as it has to pass through lot of statuory procedures. However, even if the two companies merge they will continue to hold their brand name and continue to serve differet segments in the aviation sector," he said.

Earlier the UB Board which also met here today had failed to come to any conclusion on the merger issue.

The AGM was called to consider the Accenture report recommending merger of the two airliners. It had been asked to suggest ways to optimise the benefits of Deccan and Kingfisher Airlines as combine.

Tennis star Vijay Amritraj was also present in the board meeting.

UNI