The Indian Wire » Banking » Jet Airways halts its flying operations in Abu Dhabi citing operational reasons.
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Jet Airways halts its flying operations in Abu Dhabi citing operational reasons.

Beleaguered Indian carrier Jet Airways has halted its flying operations in Abu Dhabi citing operational reasons. The airline has halted all its flying operations from Abu Dhabi international airport with immediate effects from Monday, the airport is one of the two international hubs of airlines, the other one is in Amsterdam which serves as its gateway for Europe and beyond.

“Jet Airways has cancelled all their flights from Abu Dhabi with immediate effect from 18 March due to operational reasons,” Etihad Airport services said in a notification to its passengers on Sunday.

Etihad Airport Services is the ground handling arm of Jet Airways foreign partner Etihad Airways. The carrier has also informed the aviation regulator about the recent developments.

“Jet Airways has proactively taken certain adjustments to its flight schedule keeping in mind the likely yet interim non-availability of some aircraft in its fleet in the foreseeable future,” As quoted by news agency PTI.

Earlier this week, Naresh Goyal, the founder of the cash-strapped Jet Airways has sought an urgent funding from the its foreign partner Etihad Airways of ₹750 crore, citing “the very precarious” condition of airline which has forced the airline to ground about 40% of its fleet.

Jet Airways has been exploring all its options of raising fund so that it can meet its capital requirement and last month an SBI led consortium agreed for a bailout plan too.

Jet has a debt of over Rs 8000 crore and the airline is seeking to raise money from its  operational needs. The airline has reached to an extent that it is unable to pay even rental to lessor. So, in its extra general meeting (EGM) on 21 February gave approval to the resolution plan for revival of the debt ridden airlines. About 98% of the stakeholder gave their approval nod to plan, which includes fresh infusion of funds, conversion of debt into equity and plans for rights issue.

Now halting of Abu Dhabi operations has only added more problems to the Jet Airways which is already grappling with its worst financial crises.

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