cash crunch go firstWhich is undergoing voluntary insolvency resolution process, planning to restart Operation with 26 aircraft and 152 daily flights, and has presented a revival Plan to aviation regulator DGCA, according to one source. In addition, the airline is in discussion with lenders for funds to meet working capital requirements.
Prior to the grounding on 3 May, the airline was operating around 200 flights per day. The airline stopped flying from May 3 and is yet to pay some senior level executives and pilots. On the condition of anonymity, the source said that the salary of the carrier is around Rs 30 crore per month and currently, the employee strength is around 4,700 as many have tendered their resignation in a month.
The source added that the airline management is awaiting approval from the DGCA for the revival plan and operations will resume soon after the regulator’s nod. Senior officials of the airline have discussed the revival plan with senior officials of DGCA.
Prior to the grounding on 3 May, the airline was operating around 200 flights per day. The airline stopped flying from May 3 and is yet to pay some senior level executives and pilots. On the condition of anonymity, the source said that the salary of the carrier is around Rs 30 crore per month and currently, the employee strength is around 4,700 as many have tendered their resignation in a month.
The source added that the airline management is awaiting approval from the DGCA for the revival plan and operations will resume soon after the regulator’s nod. Senior officials of the airline have discussed the revival plan with senior officials of DGCA.