Jet Airways plunges 18% on likely shutdown of operations
16 April, 2019, 11:56 | Author: Regina Silva
With no funds coming from lenders, the management and the staff of the beleaguered airline conducted a puja at the Jet hangar of the Mumbai airport on April 14.
He added that the airline's worldwide operations will remain suspended till April 18.
"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.
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No decision on interim funding has further led to extension of the suspension of the airline's global operations. With no funds coming from lenders, the beleaguered airline has extended suspension of its global operations till April 18. "We will keep you updated on all the critical developments", the CEO assured employees. "Please note that the current status of our engagement with the lenders and other related matters shall be placed before the Board in the meeting scheduled for tomorrow morning, where the management will seek guidance from the Board on the next steps forward".
Jet Airways has more than Rs 8,000 crore in debt and is looking for urgent liquidity infusion to pay its pilots, engineers and make payments to its lessors.
The company is likely to temporarily shut down of operations, quoting Sources, reported CNBC-TV18. What was once a 123-aircraft fleet has now been reduced to a meagre seven-plane operation. The airline had met lenders last Friday who asked Jet to submit a fresh plan for seeking emergency funds.
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