Confusion seems to be growing over the number of planes of Jet Airways grounded on account of the non-payment of dues to lessors.
In a filing made with the bourses on Thursday, Jet said three additional aircraft have been grounded because of the non-payment of amounts outstanding to lessors, taking the total number of grounded planes to 28. The government says 49 of the 119 planes of the airline have been grounded, precipitating massive cancellations of flights.
When contacted, an official from Jet Airways declined to comment on the government’s claim.
The development comes at a time a proposed bank-led resolution plan is in abeyance. Talks were recently held among the lenders, led by the SBI, founder Naresh Goyal and Etihad, which owns 24 per cent in the airline and whose board is expected to meet next week to discuss about investing in the airline
The Telegraph
The scheme will result in lenders getting a majority stake in Jet Airways as their debt will be converted into 11.40 crore shares. The company had earlier disclosed the resolution plan estimates a funding gap of Rs 8,500 crore including repayment of aircraft debt of Rs 1,700 crore. The funding gap will be met by a mix of equity infusion, sale of aircraft, sale and leaseback of planes, apart from the debt restructuring.
Colm Barrington, CEO of Fly Leasing, told Reuters that although three of its planes had been grounded, the lease on them had not been terminated. The plane leasing firm is waiting for the airline to approve the proposed restructuring plan with the SBI. Barrington said Fly Leasing would take back these aircraft and redeploy them if the resolution plan was not approved.
At an extraordinary general meeting (EGM) held last month, the shareholders had given their consent for various proposals, which included the conversion of bank debt into equity. One of the resolution plan was to increase the authorised share capital, consisting of 18 crore equity shares of Rs 10 and two crore preference shares, to Rs 2,200 crore from Rs 200 crore. This will consist of 68 crore shares and 152 crore preference shares.
