Cash-Strapped Jet Airlines Future Struggling To Stay Afloat
Cash-strapped Jet Airways canceled all its international flights on Thursday and flew just 11 domestic aircraft on Friday, as the meeting between management and lenders remained inconclusive Both parties met on Friday to discuss the way forward for the airlines but couldn't reach a consensus.
With the airlines struggling to stay afloat, all eyes are on Monday's meeting, Founder Naresh Goyal and his wife Anita quit the company on March 25.
Jet owes money to vendors and employees. Government banks, including SBI, offered to help the airlines but they demanded Naresh and his wife's ouster.
Before Naresh quit, Jet's pilots wrote a letter to Prime Minister Narendra Modi to apprise him about their unpaid salaries.
The jet was the largest International carrier in India. So, when it stopped abroad services, connectivity was severely hit. On Thursday, Jet flew 14 domestic flights and on Friday it flew three fewer flights. The canceled flights, obviously, had an impact on passengers. On Thursday, several passengers remained stranded at airports.
To minimize the inconvenience of passengers, the government has asked Jet to inform them about flight cancellation 48 hours in advance. The airlines have also stopped taking advance bookings.
Adding to its woes, Jet owes 3,500 crores to passengers for canceled flights. A source told TOI Jet was "neither dead nor alive".