Anil Ambani To Draw No Salary From Reliance Communications In FY18

Reliance Communications Ltd. Chairman Anil Ambani will not take any salary or commission in the current financial year, as the company is reeling under huge debt and credit downgrades. The top management of the company has also decided to defer their personal pay by 21 days each month till the end of this year.

“Chairman, Reliance Group, Anil D Ambani voluntarily decides to draw no salary or commission from RCom in current financial year,” the company said in a statement.

The company has defaulted on some of the payments to lenders and it has received time till December for strategic restructuring plan under which it will get a seven-month standstill to service loans amounting to Rs 45,000 crore.

Ambani has said that the debt burden will be reduced to Rs 20,000 crore with two deals by September, before the December deadline given by the lenders.

Reliance Communication said Aircel and Brookfield deals are targeted to close by September 30, 2017 subject to approvals and will reduce debt by nearly 60 percent or about Rs 25,000 crore. The company has been reeling under a slew of rating downgrades over the last few days, battering its stock.

Shares of RCom ended 1.4 percent higher at Rs 18.3 apiece at the NSE on Wednesday.

Also Read: The Story Behind Reliance Communications’ SDR

(Corrects an earlier version which said the top management will defer their personal pay by 221 days.)