Jet cancels flights till April 18, board meet tomorrow

Jet Airways Chief Executive Officer Vinay Dube said on Monday the company has not received interim funding from lenders and would extend the suspension of worldwide flights until Thursday. "The interim funding has not been forthcoming thus far, and as a result of this, we have extended cancellation of global operations through Thursday, April 19", CEO Vinay Dube said in a letter written to staff.

"The interim funding has not been forthcoming thus far, and as a result we have extended cancellation of worldwide operations through Thursday", said CEO Vinay Dube in a letter on Monday to Jet's over 20,000 employees.

Dube said the airline had been working with lenders to secure interim funding for operations.

Jet Airways management and lenders here on Monday held marathon meetings to resolve the financial crisis and the board will meet on Tuesday morning.

But banks have so far only under Rs 300 crore has been disbursed that too in small amounts, citing procedural delays.

Dube said the decision was taken following the non- receipt of funds from its lenders, who have now management control of the airline following a debt-restructuring plan last month.

The full service carrier's situation is critical as the airline, that once operated around 120 aircraft, is now left with just 16 planes in its fleet.

As per ICRA's report, the airline had large repayments due in March to the tune of Rs 1,700 crores and further Rs 2,445 crore due in FY20 and Rs 2,168 crore due in FY21. "We also appeal Prime Minister Narendra Modi to save 20,000 odd jobs at the airline", NAG vice-president Adim Valiani told reporters at the airline's headquarters here.

Latest News