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Shares in India's IndiGo (INGL.NS), opens new tabextended declines to slump 8% on Monday as the country's biggest airline continues to reel from an operational crisis that has led to mass flight cancellations and the threat of regulatory action.
Since the onset last week of what has become a trial for many of its customers and a PR nightmare for the company, its stock losses now total 16%.
That's wiped about $4 billion off its market cap, valuing the company at around $21 billion.
IndiGo, which commands 65% of the Indian market, has said it failed to plan adequately for a November 1 deadline to implement stricter rules on night flying and weekly rest for pilots.
Its roster planning fell apart this month as December is the peak time for holidays and weddings in India.
Thousands of its flights were cancelled, stranding passengers and forcing the government to intervene to curb a spike in air fares.
Other Indian airlines have not had the same problems.
On Monday, IndiGo cancelled 127 flights in Bengaluru, while Mumbai had 32 cancellations, airport sources told sources
On Sunday, the airline expressed confidence that operations would stabilise by Wednesday.
The civil aviation watchdog, however, gave the firm 24 hours to explain why it should not face regulatory action.
Meanwhile, investors are placing bets that other airlines will benefit from IndiGo's woes. Shares of rival SpiceJet (SPJT.BO), opens new tab, one of the few listed major airlines in India, jumped 13.9% on Monday.