New Delhi: Beleaguered low-cost carrier Spicejet seems to have received a temporary breather from the government, official sources told FE. With the loss-making airline making an interim payment of Rs 5 crore on Wednesday against dues of about Rs 200 crore to state-owned Airports Authority of India (AAI), the ministry of civil aviation has allowed it time till Monday (December 15) to furnish the balance.
This comes after the government’s current deadline for payment ended on Wednesday (December 10). Incidentally, Spicejet was also offered an alternative option to furnish equivalent bank guarantees, though bankers told FE that it was unlikely it will receive any such guarantee without security.
“The issue has been handled. We are not on cash and carry for any airport,” a Spicejet official confirmed the development.
10/12/14 TRoudra Bhattacharya/Financial Express
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This comes after the government’s current deadline for payment ended on Wednesday (December 10). Incidentally, Spicejet was also offered an alternative option to furnish equivalent bank guarantees, though bankers told FE that it was unlikely it will receive any such guarantee without security.
“The issue has been handled. We are not on cash and carry for any airport,” a Spicejet official confirmed the development.
10/12/14 TRoudra Bhattacharya/Financial Express
