New Delhi: After SpiceJet, the Airports Authority of India (AAI) has sounded an alarm over budget carrier GoAir's galloping dues. The state-run airport operator has warned GoAir to bring its dues within its bank guarantee amount by next week, failing which the Wadia Group airline may be put on cash-and-carry.
A senior AAI official said GoAir's dues are now Rs 42 crore, while its bank guarantee is for Rs 30 crore. A GoAir spokesman said: "GoAir dues to AAI are about Rs 38 crore and our bank guarantee is for over Rs 30 crore. We will abide by what the authority says."
Trouble at GoAir has surprised aviation authorities as the unlisted airline claims to be a profitable one along with IndiGo. GoAir had reported a profit of Rs 100 crore in 2012-13. The subsequent fiscal (2013-14) was also profitable but the figure was lower due to the fall in rupee and a sharp rise in aviation turbine or jet fuel (ATF) price that year. The first quarter of the current fiscal was profitable and Go expected 2014-15 to be profitable too. Sources say 'cash flow' issues may have led to AAI bill crossing the bank guarantee amount.
02/01/15 Saurabh Sinha/Times of India
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A senior AAI official said GoAir's dues are now Rs 42 crore, while its bank guarantee is for Rs 30 crore. A GoAir spokesman said: "GoAir dues to AAI are about Rs 38 crore and our bank guarantee is for over Rs 30 crore. We will abide by what the authority says."
Trouble at GoAir has surprised aviation authorities as the unlisted airline claims to be a profitable one along with IndiGo. GoAir had reported a profit of Rs 100 crore in 2012-13. The subsequent fiscal (2013-14) was also profitable but the figure was lower due to the fall in rupee and a sharp rise in aviation turbine or jet fuel (ATF) price that year. The first quarter of the current fiscal was profitable and Go expected 2014-15 to be profitable too. Sources say 'cash flow' issues may have led to AAI bill crossing the bank guarantee amount.
02/01/15 Saurabh Sinha/Times of India
