Monday, May 06, 2019

Downfall of Jet Airways: Debt-laden airline never had a viable business model, failed to maintain income-expenditure balance

It’s been close to three weeks since Jet Airways temporarily shut its operations.
The jury is still out on how and why, what was India’s largest private airline, once upon a time, reached a stage
where it had to shut down the operations. The general perception seems to be that the airline borrowed more
than it was in a position to repay. Eventually, it didn’t have enough money to pay interest on its debt and that led
to the temporary grounding. But that, as we shall see, was not the major reason for India’s oldest private airline shutting its operations.
Read the first part of a multi-article series on the downfall of Jet Airways and the path ahead for the cashstrapped airline >>

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