New Delhi: The trouble at Jet Airways is expected to spill over on to the balance sheets and revenues of leading hotel chains and in-flight catering companies that are on the growing list of vendors to which the airline owes money.
People familiar with the matter said the suspended airline owes Marriott, Taj, Hilton and Hyatt, among others, for room nights booked in bulk for months in advance for its crew. Indian Hotels Company (IHCL) subsidiary TajSATS Air Catering and Ambassador’s Sky Chef were primary catering providers for Jet.
IHCL, Marriott and Hyatt declined to comment for this story. Hilton and Accor did not respond to emails seeking comments while Sky Chef could not be reached for comments.
IHCL, Marriott and Hyatt declined to comment for this story. Hilton and Accor did not respond to emails seeking comments while Sky Chef could not be reached for comments.
Sources said Taj and Marriott will be affected, considering their scale of operations and Jet’s flight routes. For more room nights promised to chains, the carriers can negotiate longer repayment periods with chains that have a wider presence.
“They owe so much money to hotel chains for their airline crew,” said a source. “Carriers do not pay in advance. There is a negotiated room rate for a certain minimum number of room nights. Bills get sent to the company and the billing cycle and room nights vary for each company and carrier.”
19/04/19 Anumeha Chaturvedi/Economic Times
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People familiar with the matter said the suspended airline owes Marriott, Taj, Hilton and Hyatt, among others, for room nights booked in bulk for months in advance for its crew. Indian Hotels Company (IHCL) subsidiary TajSATS Air Catering and Ambassador’s Sky Chef were primary catering providers for Jet.
IHCL, Marriott and Hyatt declined to comment for this story. Hilton and Accor did not respond to emails seeking comments while Sky Chef could not be reached for comments.
IHCL, Marriott and Hyatt declined to comment for this story. Hilton and Accor did not respond to emails seeking comments while Sky Chef could not be reached for comments.
Sources said Taj and Marriott will be affected, considering their scale of operations and Jet’s flight routes. For more room nights promised to chains, the carriers can negotiate longer repayment periods with chains that have a wider presence.
“They owe so much money to hotel chains for their airline crew,” said a source. “Carriers do not pay in advance. There is a negotiated room rate for a certain minimum number of room nights. Bills get sent to the company and the billing cycle and room nights vary for each company and carrier.”
19/04/19 Anumeha Chaturvedi/Economic Times
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