Jet Airways refutes reports of stake sale, says committed to create sustainable future

The company, part owned by Etihad Airways, had net debt of 81.5 billion rupees as of end-March.

New Delhi: India`s biggest full-service carrier Jet Airways Ltd has refuted reports of stake sale, terming them as factually incorrect as well as malicious.

“Jet Airways (India) Limited would like to clarify that recent media reports about the sustainability of the airline are not only factually incorrect, but also malicious. The airline would also like to deny any conjecture of a stake sale,” the company said in a statement.

“Indian aviation is experiencing strong growth and Jet Airways is well placed to be a part of this growth story. The company is committed to create a growth-oriented, sustainable future and a revitalized experience armed with the addition of 225 B737-MAX fuel efficient aircraft, which will be inducted in its fleet over the next decade, with 11 being inducted this fiscal. This envisioned growth will in fact, require additional human capital,” the company said.

The company, part owned by Etihad Airways, had net debt of 81.5 billion rupees ($1.2 billion) as of end-March with the bulk of it being US dollar denominated. Last week, some media reported quoted that the company had asked its senior staff and pilots to take a pay cut.

Jet said that in line with the company's stated focus of creating a healthier and more resilient business, it has been implementing several measures to reduce costs as well as realize higher revenues, for desired business efficiencies. Some of these areas amongst others include, sales and distribution, payroll, maintenance and fleet simplification, the company added.

“As part of these measures, the Company has been in dialogue with all its key stakeholders – internal and external. The dialogue with employees, has been to apprise them of the challenges being faced by the aviation sector in India and by the Company in particular, with an intent to enlist their full support and cooperation for realizing necessary savings across all business functions,” Jet said in its official release.