Etihad provides $35 million to Jet Airways

Abu Dhabi-based Etihad Airways has given a $35 million lifeline to embattled Jet Airways that would help the airliner tide over its financial woes.

“Etihad Airways confirms it proposed a financial restructuring and support plan for Jet Airways that was approved by its majority shareholder,” the UAE’s national carrier said in a statement here.

It said the plan includes a $35 million cash pre-purchase payment to Jet Airways by Jet Privilege, which is majority-owned by Etihad Airways.

Jet Privilege, the customer loyalty programme of Jet Airways, has millions of members. Etihad Airways has 50.1% stake in Jet Privilege, which buys these tickets regularly to offer to its members in redemption of frequent flier miles.

Etihad Airways owns 24% share in Jet Airways which is facing a cash crunch due to various reasons.