Timeline Of Jet Airways' Turbulent Journey
Jet Airways Ltd, the biggest full-service carrier in India, has been under dark clouds for the past few months. While intense pricing competition, weak rupee and rising fuel costs have hurt Indian airlines like IndiGo owned by InterGlobe Aviation Ltd and SpiceJet Ltd, Jet Airways is in a league of its own.
Saddled with a debt of about 80.52 billion rupees ($1.14 billion) as of September 30, Jet is desperately searching for a deal that could help mitigate its severe liquidity crunch. The airline has a market capitalisation of 35.03 billion rupees as of last close.
The Tata conglomerate is now likely to be the potential white knight for the debt-laden company, but no proposal has been made yet.
Here's how the story unfolded:
May 3 - Jet shares fall 12.3 per cent after InterGlobe Aviation reported a slump in net profit for March-quarter a day earlier
May 23 - Jet posts first quarterly loss in at least 12 quarters, says it has a negative net worth that 'may create uncertainties'
August 1 - Media report says Jet asked employees to take an up to 25 per cent cut in salaries as a part of a cost cutting measure
August 3 - Jet denies report that it cannot fly beyond 60 days, and dismisses conjecture of stake sale
August 9 - Airline defers board meet for first-quarter results
August 11 - After State Bank of India chairman says Jet's loan is on the bank's watch list, Jet says it is regular in payment obligations to all banks
August 13 - Airline reaffirms that it is considering various options to meet its funding requirements
August 15 - Report says U.S. private equity firm Blackstone Group LP is in talks to buy a stake in Jet's frequent-flier loyalty programme JetPrivilege
August 20 - Sources tell Reuters that private equity firm TPG Capital is considering investing in Jet, but is not close to finalising a deal
August 27 - Jet posts loss for the June-quarter, says it will inject funds and cut costs by more than 20 billion rupees in two years
September 4 - Government plans relief package for airlines
September 6 - Jet says it paid salaries to 84 per cent of its employees after reports emerge that pilots warned 'non-cooperation' over salary default
September 20 - Income Tax department conducts survey at Jet's premises
Over two dozen passengers on a Jet flight are treated for minor injuries after the plane loses cabin pressure
October 4 - Rating agency ICRA downgrades the company's long term loans and NCDs, citing impact of steep increase in jet fuel prices, rupee depreciation, delay in implementation of liquidity initiatives
October 18 - Report says Indian conglomerate Tata Group is in talks to buy stake in Jet. Jet calls report "speculative"
October 30 - U.S.-based Delta Air Lines Inc expresses interest to buy Jet stake from promoter Naresh Goyal and Etihad Airways
November 5 - Report says Tata aims to buy the 51 per cent stake in the airline owned by Naresh Goyal, and Etihad Airways' 24 per cent stake, and merge Jet with Vistara
November 12 - Jet posts third straight quarterly loss, chief executive officer Vinay Dube expresses confidence in overcoming current challenges
November 13 - Tata Sons begins due diligence to buy Jet, reports say
Jet executive says company is in talks with multiple parties for a stake sale in its loyalty program, and equity infusion in the airline
November 15 - Shares surge nearly 25 per cent following reports that the debt-laden airline was nearing a rescue deal with Tata Sons; another report says the Indian government asked Tata to explore buying Jet
November 16 - Tata Sons says discussions on Jet is preliminary and no proposal has been made
November 20 - Tata Sons may go slow on Jet deal after some directors from Tata's board expressed concerns, according to media reports
November 21 - The airline says news on Naresh Goyal, Etihad discussing merger of JetPrivilege with Jet Airways is speculative
November 22 - Independent director Ranjan Mathai resigns, citing rising pressure from other commitments
November 26 - Report says Naresh Goyal may hand over Jet Airways ops to Etihad Airways
-
High US Salaries, No Green Card Certainty: The Financial Calculation Facing Indian H-1B Families
The suspension of PERM processing at eight technology employers does not cancel existing H-1B visas. What it does is force a question many Indian families have been avoiding: is the US salary worth tying your career and family plans to one employer?
-
Unhedged Position: Can India See An Indonesia-Style Time Correction?
The Nifty is trading below levels it first clocked in 2024. Is there, then, as I have suggested in the headline, potential that the current time correction drags on painfully for the next three-five, even ten years?
-
Navigating Friction And Energy Realities: An Analysis Of Marco Rubio's October Visit To India
Occurring at a critical juncture marked by stalled trade negotiations and escalating geopolitical pressures over global energy supplies, the visit offers a profound window into modern US-India relations.
-
India Exports Capital. Why Not Export Trusteeship?
The big question, then, is whether India can build an institution that global borrowers, investors, banks, and lawyers can trust, even without an Indian connection.
-
France's Economy & Politics Are In Crisis | The Reason Why
Let's look at how the French economy and politics evolved under Nicolas Sarkozy, Franois Hollande and Emmanuel Macron.
-
You May Inherit The Business. You Must Earn Its Credibility.
Succession tests the founder's ability to share authority as much as it tests the next generation's readiness to assume it.
-
Signing Deals Is One Thing; Making Them Work Is Another | The Week In Whys
Sometimes, things don't turn out as planned. Indian companies have lost some bids to rivals, some projects won't produce until 2030.
-
FOMC Wall, PERM Suspension, Hospital Stocks | Talking Points This Week
A PERM suspension would directly affect green-card sponsorship rather than H-1B visas, so the near-term earnings impact could remain relatively limited. The key question is whether this marks a new phase in US scrutiny of Indian IT.
-
Everything, Everywhere, All At Once: Dalal Street's Week To Forget | Joining The Dots
Visa curbs, a Starlink spat and cancer drug caps: what connects this week's shocks for Indian markets
-
India Is Going Abroad For Critical Minerals. But It May Take Years To Pay Off | The Reason Why
Although India's steps are in the right direction, they remain modest compared with India's growing dependence.