Jet Airways is an Indian international airline based in Mumbai. In October 2017, it was the second largest airline in India after Indigo. Jet airways was informed by the state bank of India on behalf of the consortium of Indian lenders that they are unable to consider its request for critical interim funding.
Jet Airways (India) Ltd flew its last flight on Wednesday night. It’s uncertain whether Jet airways will ever return to the skies or not. But if it does so it will be under a new ownership structure. Jet airways said in a statement on Wednesday. “Since no emergency funding from the lenders or any other source is forthcoming, the airline will not be able to pay the expenses of the operations going.”
“We are not going to give emergency funding until we have a clear visibility of their cash flow. A large portion of the current revenue of the airline is being used to settle pending dues, IATA (International Air Transport Association) and credit card charges, etc.,” said the second banker.
On Wednesday evening Jet airways operated its last flight. Amritsar-Mumbai flight S2 3502. It touched down Amritsar at 12.22 am, 40 minutes before its schedule time.
“History and our business dynamics prove that once an airline shuts down in India, it never does restart,” said Mark D. Martin, founder and CEO of aviation consultancy Martin Consulting Llc.
Over a dozen employees had gone 3-4 months without pay. Thousands of employees have been stung by the rapid unraveling of Jet Airways, which, saddled with more than $1.2 billion in bank debt, grounded all its planes on Wednesday after lenders rejected a plea for emergency funds.
Hundreds of angry employees have protested in New Delhi and Mumbai, accusing management of leaving staff in the dark about the airline’s worsening crisis. “Management never gives us a clear picture,” airline union leader Chaitanya Mainkar shouted during a protest at Mumbai’s international airport on Friday where employees chanted slogans and waved posters that read “Save Jet Airways, Save Our Family.”