SpiceJet has completed a payment of $24 million to Credit Suisse. The airline has made the full payment to the banker as part of its settlement agreed upon in May 2022. The full payment of the settlement from the airline comes nearly a decade after the dispute.
The dispute between SpiceJet and Credit Suisse reached the Madras High Court in 2015 and the Supreme Court of India in 2022. Shortly after, the two entities reached an agreement where SpiceJet agreed to pay $24 million to Credit Suisse against a claim of $41.77 million.
Debojo Maharshi, Chief Business Officer of SpiceJet, said in a statement that the completion of this payment is another important step in its effort to resolve legacy issues. “This settlement not only brings closure to an old liability but also demonstrates our resolve and ability to meet commitments despite a challenging operating environment.”, he said
SpiceJet’s mounting losses
In the statement, SpiceJet said on Monday that the company continues to take steps to strengthen its financial position, including fund-raising initiatives, settlements with key lessors and creditors, and strategic expansion of its fleet and network.
While the airline focuses on improving its financials via debt settlement and funding plans, its quarterly revenue continues to drop.
SpiceJet’s revenue declined by 34 per cent in Q1 FY26. The company registered a revenue of Rs 1,120 crore in the June quarter. In the same quarter of the previous fiscal year, Spice Jet’s revenue was Rs 1,708 crore.
Furthermore, the company posted a net loss of Rs 234 crore in Q1 FY26. In the corresponding quarter of FY25, the company’s net profit stood at Rs 158 crore.
SpiceJet turnaround plan
Fleet issues are one of SpiceJet’s core concern areas. Over half of its jets remain inoperational. At the end of the June quarter, SpiceJet had 56 aircraft, out of which only 21 were operational.
The grounded jets are also responsible for a substantial part of the company’s losses. In Q1, the company’s grounded aircraft expenses stood at Rs 118 crore.
SpiceJet, in an investor presentation, had said that the company aims to unground about 10 aircraft by April 2026, including 4-5 in early winter. This is with the objective of catering to peak demand.
Further, the airline said that it has secured lease agreements for 10 Boeing 737 aircraft on DAMP lease, which will be inducted from October 2025.
Additionally, the company said that discussions are underway for additional inductions of narrow-body and wide-body aircraft during October and November 2025.