SpiceJet, India’s second largest LCC, swung to losses at both the net and operating levels in the three months ended 30-Jun-2011 (1QFY2012) amid increasing fuel costs and industry discounting that prevented the LCC from significantly raising fares. The carrier’s decline into the red also reflected the impact of a “sudden spurt in capacity addition combined with irrational competitive pricing by the larger airlines resulted in a challenging operating environment” during the quarter. Meanwhile, the carrier confirmed plans to launch regional operations from Sep-2011 after the central bank approved financing of its Bombardier Q400 aircraft by Export Development Canada.