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Jet pleads SBI for urgent funding to stay afloat

IANS  |  New Delhi 

Crisis-hit on Tuesday made another plea to its lead lender of India (SBI) for urgent release of funds to avoid shutdown of operations.

has been awaiting Rs 1,500 crore interim funding from banks. The airline's management has reportedly asked the to at least release Rs 400 crore, but could not get any firm assurance. This has forced it to further extend the suspension of international operations.

In a late evening letter to employees, said the had highlighted specific areas that would be immediately impacted if the funding was not provided.

"Please be assured that we continue to work proactively with the Indian lenders to provide all the support that may be required to help us resurrect Jet Airways, including working closely with the potential parties that are keen on bidding for the airline," the wrote.

According to the Civil Aviation Secretary Pradeep Singh Kharola, the on Tuesday operated only five aircraft, down from seven on Monday. Under the current regulations, the is required to operate five aircraft to save its air operating permit.

The development assumes significance as the airline has almost run out of funds to pay for fuel and other operational expenses.

Industry insiders say without extra funds, the airline might have to temporarily suspend operations. It has folded up most of its operations due to grounding of over 80 per cent of its fleet by lessors.

--IANS

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Tue, April 16 2019. 23:20 IST
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