MIAMI — Jet Airways continues to battle tough financial woes. The Indian carrier has sacked 15 top-level management employees and grounded seven planes—an Airbus A330, a Boeing 777, two 737s, and three ATRs.
The troubled carrier has also approached numerous banks looking for a moratorium on loans, as well as fresh cash to keep its operations afloat.
However, Indian banks are reluctant to funding Jet Airways as previous loans to failed Kingfisher Airlines had paid a big toll on the bank’s pockets.
Jet Airways remains as India’s largest full-service airline. The carrier has been unprofitable in nine of the last 11 years, and the most recent one has accentuated the airline’s crisis.
Back in August, the carrier’s economic woes had intensified because of the continuous spike in jet fuel prices, as well as the weakening of the Indian Rupee.
Jet Airways had asked its workers to take pay cuts, which have now transformed into some permanent layoffs.
In a statement, Jet Airways declared that “the airline is committed to creating a growth-oriented, sustainable future and a revitalized guest experience armed with the addition of 225 B737 MAX fuel-efficient aircraft which will be inducted in its fleet over the next decade, and of which 11 are slated to join within this financial year.”
Earlier in July, during the Farnborough Air Show, Jet Airways signed a deal with Boeing for an additional 75 Boeing 737 MAX 8 aircraft. The deal is worth $8.8 billion at list prices.
In June, the carrier took delivery of its first 737 MAX.