Tuesday, Jul 26, 2011
BEIRUT (Zawya Dow Jones)--The troubled Kuwait National Airways Co. (KNA.KW) has postponed for the second consecutive time a shareholders' meeting that was supposed to discuss its future.
The deferment was due to the lack of a quorum, the carrier also known as Wataniya Airways said Tuesday in a statement posted on the Kuwait bourse website without disclosing the date of the next meeting.
The meeting was scheduled for Tuesday after an earlier meeting on July 7 was also postponed due to the lack of a quorum.
Last month Wataniya scrapped a planned 15 million Kuwaiti dinars ($55 million) capital hike as it wasn't able to reach an agreement with the local Alafco Aviation Lease and Finance Co. to which it owes $70 million.
The airline's debt crisis worsened after two local banks filed lawsuits against it asking for the repayment of debts worth KWD21 million.
Wataniya suspended its operations earlier this year due to losses. It said that the resumption of its operations depends on whether its shareholders approve the planned capital increase.
-By Shikrallah Nakhoul, Zawya Dow Jones, +961 1 985757, shikrallah@zawya.com
Copyright (c) 2011 Dow Jones & Co.
(END) Dow Jones Newswires
26-07-11 1204GMT
