Jet Airways: Decision on funding carrier will be a collective decision says PNB CEO

Must Read

Jharkhand polls for 81 constituencies from November 30 to December 20; counting on 23rd December

Addressing a press meeting today, Chief Election Commissioner Sunil Arora has announced the poll dates for Jharkhand Legislative assembly....

Congress forms six-member committee of AICC to review situation of NRC in Assam

In a bid to review the condition of Assam state after the implementation of the NRC exercise, Congress party...

Shiv Sena elects Eknath Shinde as party’s legislative leader; Sunil Prabhu appointed as chief whip of party

In a striking breakthrough, Shiv Sena elected senior minister Eknath Shinde as the party's legislative leader today. It has...

Public sector Lender Punjab National Bank (PNB) on Wednesday said that any decision pertaining to infusion of funds to the liquidity crunched Jet Airways would be taken collectively by the lenders and not on standalone basis by the state lender itself.

The statement comes after the circulating media reports of ₹2050 crore emergency fund infusion by PNB to Jet Airways. Clearing the matter, Jet in an exchange filing said that it has not received any kind of funds or loan from PNB.

Commenting on the decision to lend further to carrier, Managing Director and CEO, PNB, Sunil Mehta said, “No, we are going collectively. The resolution will come with the participation of the stakeholders and we are working on it.”

He further asserted that the deliberation on the on going resolution plan have been going on between a SBI led lenders consortium and various stake holders of airline.

Jet Airways has a debt of about ₹8000 crore and the airline is facing its worst financial crises and isn’t able to pay rental to its lessor and salaries to its staff which is leading to grounding of about 40% of its fleet. The debt resolution plan by SBI led consortium seems to be last life line of Jet Airways which can bring out the carrier from the downward spiral of loans and rising debt.

Last week, in a letter to Etihad Airways CEO Tony Douglas, founder Naresh Goyal, 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. Eithad Airways as of now has reportedly not taken any decision on this matter yet.


Please enter your comment!
Please enter your name here

- Advertisement -

Latest News

IBC norms for corporate debtors’ guarantors from Dec 1

New Delhi, Nov 15 (IANS) In a bid to boost the bankruptcy and insolvency mechanism, the government on Friday...

Tickets for first 3 days of D/N Test sold out: Ganguly

Kolkata, Nov 15 (IANS) Tickets for the first three days of the Day/Night Test between India and Bangladesh at the Eden Gardens have been...

SC: Despite odd-even, Delhi pollution severe (2nd Lead)

New Delhi, Nov 15 (IANS) The Supreme Court on Friday said in spite of Odd-Even vehicle rationing scheme, pollution has reached a severe level,...

IRCTC earned Rs 63 cr as convenience fee in Sep: RTI query

By Sundeep PouranikBhopal, Nov 15 (IANS) The Indian Railways Catering and Tourism Corporation Ltd. (IRCTC) has earned more than Rs 63 crore from convenience...

No cut in welfare schemes despite low revenues: Sitharaman

New Delhi, Nov 15 (IANS) Finance Minister Nirmala Sitharaman on Friday said no welfare schemes will be curtailed despite low revenues and she expected...
- Advertisement -

More Articles Like This