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Will do whatever it takes to ensure Jet’s survival, Goyal tells employees

PW Bureau 

Jet has been delaying salaries to its employees, and owes money to banks, vendors and lessors due to rising fuel costs and competition New Delhi: Jet Airways’ founder Naresh Goyal has informed employees that he is committed to doing whatever it takes for the survival of the cash-strapped carrier, adding that a detailed resolution update will be ready by March 18. Jet has been hit by financial woes in recent months, has been delaying salaries to its employees, and owes money to banks, vendors and lessors due to rising fuel costs and competition. To add to its troubles, nearly 15 aircraft have been grounded by the lessors due to non-payment. A resolution plan for India’s biggest full-service carrier by market share is in the process of being finalised. However, differences have come up between the airline partners and lenders on issues related to debt guarantees, equity infusion, waivers and concessions. Goyal earlier this week decided to step down as chairman of the carrier’s board, agreeing to bring down his stake from 51 percent to 20 percent, sources had said. “While a few steps remain, some critical steps are behind us, and the remaining approval processes are well underway. I assure you that I am personally working (to ease) this situation as rapidly as possible. I do not, never have and never shall take your patience (for) granted,” Goyal said.

‘Want carrier not just to survive, but thrive’

“In the last 25 years, I have given my life for this company and its employees, and today more than ever I am willing to do whatever it takes to ensure that our Jet not only survives but also thrives and dominates and remains the first choice of customers as before,” Goyal said. Debt-ridden Jet requires Rs 8,500 crore, which would be obtained through measures like debt restructuring, equity infusion, and sale of aircraft.