Jet Airways board is meeting today to discuss the future course of action amid mounting troubles as the airline extends the suspension of international operations and looks for funding to sustain operations.
Jet Airways is running out of fuel to fly its planes, literally, adding to the woes of cash-strapped airline which is reportedly staring at shutdown in the absence of funds. Jet Airways has only enough fuel supply to last till today afternoon, IANS reported citing sources. “The fuel supply is expected to run out from Tuesday afternoon as fresh payments would be required for vendors,” the report said quoting a source.
Jet Airways board is meeting today to discuss the future course of action amid mounting troubles as the airline extends the suspension of international operations and looks for funding to sustain operations. The board will also declare today eligible bidders for taking over Jet Airways.
Jet Airways pilots had recently made an appeal to Prime Minister Narendra Modi to save Jet Airways in the interest of saving 20,000 jobs.
Meanwhile, the Ministry of Civil Aviation has been directed by Suresh Prabhu to review Jet Airways issue. Suresh Prabhu tweeted today:
Directed Secretary @MoCA_GoI to review issues related to Jet Airways, especially increasing fares, flight cancellations etc. Asked him to take necessary steps to protect passenger rights and safety; and to work with all stakeholders for their well being.
— Chowkidar Suresh Prabhu (@sureshpprabhu) April 16, 2019
Amid the airline woes, Jet Airways CEO recently addressed the company’s employees assuring them that the employees will be kept abreast of the developments in the case. “The current status of our engagement with the lenders and other related matters shall be placed before the board tomorrow morning, where the management will seek guidance from the board on the next steps forward. We will keep you updated on all critical developments,” PTI reported Jet Airways Chief Executive Officer as saying.
Jet Airways issue has continued to get worse with the airline unable to raise money. Even with the SBI led consortium of lenders having earlier promised to infuse Rs 1,500 crore per the resolution plan, the airline has struggled to stay afloat as the resolution plan didn’t materialize. Meanwhile, the company is vigilant on Twitter and has been extending refunds to the tickets which were cancelled. Jet Airways is currently operating with 6-7 flights, down from its earlier fleet of 119.
With the company’s financial troubles setting off in November 2018, the issue got momentum in March 2019. Following this, its founder and former CEO Naresh Goyal was forced to step down from the board of members along with his wife Anita Goyal.
Following this, however, Naresh Goyal could be back in the game with the lenders deciding on his eligibility to bid in the stakes in today’s board meeting.