New Delhi: Deprived of funds, the Jet Airways has extended the suspension of its international operations till April 18.
In a letter to over 20,000 employees of Jet, its CEO Vinay Dube said that the interim funding has not been forthcoming thus far, and as a result they have extended cancellation of international operations through Thursday.
Banks had earlier promised to pump Rs 1,500 crore into the airline.
The lenders and the top management of the airline, held marathon meetings to resolve the financial crisis and the board will meet on Tuesday morning.
Dube said the airline had been working with lenders to secure interim funding for operations. The company management, he said would seek guidance from the board on the steps forward. "We will keep you updated on all the critical developments," the CEO assured employees.
Jet Aiways pilots on Monday had appealed the State Bank of India to release Rs 1,500 crore, which was proposed to be infused in the ailing carrier as part of a debt-restructuring plan last month.
The SBI later released a statement saying: “The Bid Process for orderly sale of equity in Jet Airways is currently being run by SBI CAPS and is being vetted by the legal team. The prospective bidders will be shortlisted by SBI CAPs shortly.”
“The proposed equity conversion by banks, if any, will be undertaken as a transitory mechanism to facilitate the bidding cum sale process. SBI is acting on behalf of the group of lenders as part of the Bank Led Resolution Process.”
“Necessary support to facilitate the process is being extended by the banks in the consortium. Cooperation by and support from all the other stakeholders will be the key to the success of the process,” the bank said.
On Friday, the airline cancelled international operations for April 12 to 15. On Sunday, it extended cancellation of West-bound flights -- to and from Amsterdam, London and Paris -- until April 16.
The airline is operating only 7 aircraft in domestic sectors due to grounding of 80 per cent of fleet by lessors. It has resulted in cancellation of several hundred flights and passengers getting stranded at airports. The unpaid employees of the airline have taken out silent marches in New Delhi and Mumbai.
Jet Airways cancels flights till April 18, board meet tomorrow
ABP News Bureau
Updated at:
15 Apr 2019 11:05 PM (IST)
In a letter to over 20,000 employees of Jet, its CEO Vinay Dube said that the interim funding has not been forthcoming thus far, and as a result they have extended cancellation of international operations through Thursday.
Jet Airways announced a total suspension of its international flights till Thursday. (Image: Getty)
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