SpiceJet cargo of debt up Rs 240 cr in last 16 days

Promoter still scouting for funding sources

SpiceJet cargo of debt up Rs 240 cr in last 16 days

In a little over a fortnight, SpiceJet sank Rs 240 crore deeper into debt, as its dues grew from Rs 990 crore to Rs 1,230 crore, the government noted on Monday.

On November 24, the cash-strapped airline’s total dues stood at Rs 990 crore, including Rs 624 crore towards foreign vendors, which grew to Rs 1,065 crore on December 5. In the five days that followed, the outstanding amount became Rs 1,230 crore.

In a written reply to the Lok Sabha on Monday, Minister of State for Civil Aviation Minister Mahesh Sharma said that the low-cost airline owed foreign vendors Rs 742 crore as of December 10, while dues towards local vendors was Rs 488 crore.

The foreign vendors to whom SpiceJet is indebted include lessors of aircraft and maintenance as well as providers of repair and overhaul facilities. Just 16 days prior to December 10, the airline had to cough up Rs 624 crore to these vendors, an increase of over Rs 100 crore in its debt.

SpiceJet’s local dues, including those owed to oil companies, the Airports Authority of India (AAI), private airport operators and ground handling agencies, stood at Rs 366 crore on November 24.

This figure rose to Rs 395 crore on December 5 and then to Rs 488 crore on December 10.

The civil aviation minister also said that the total number of SpiceJet aircraft fell from 35 on 30 in the same 16-day period, while the number of pilots was reduced to 532, a reduction of 10 between November 24 and December 5.

The number of services operated by the airline declined from 332 on September 1 to 328 on October 1. Between November 1 and December 10, the same figure dropped from 305 to 240.

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