The Indian skies are awaiting the arrival of Jet Airways 2.0 since some months now, but Jet looks unlikely to start operations any time soon. As per the sources the new owners of Jet, the Kalrock-Jalan consortium, were keen on launching operations from September 2022, but the management is still in talks with the OEMs and previous lenders further delaying the process.
However, Jet Airways has to iron out a lot more issues before the actual kick-start of operations. Commenting on the delayed launch, Jet's new chief Sanjiv Kapoor said: “Starting or restarting an airline is a complex business and we want to be sure we take the time to get the best possible terms and contracts for both aircraft and engines, including maintenance contracts, as well as to receive aircraft configured the way we want them, to meet our strategic requirements and to secure our future. If that takes a little more time to get right, that is fine. As the saying goes, ‘act in haste, repent at leisure'.”
As per the sources, Jet is currently in talks with Pratt & Whitney for major engine replacements of the fleet, Jet management is carefully evaluating the leasing contacts for more favourable terms as it wants to avoid a situation of spending more on the engines at a later stage.
One major obstacle stands in Jet’s path is the previous lenders who are still owed a huge amount from Jet. In July, the group of lenders threatened the carrier with insolvency if it did not pay them the proceeds from rentals of its aircraft. Led by the State Bank of India, the lenders' consortium has stated that they will provide a no-objections certificate to Jet only after the new owners commit to a timeline for implementing the debt resolution plan.
Jet's new owners believe that the NCLT proceedings have no influence on the carrier's future plans and business. The airline is busy working out the last-minute details and hopes to open for sale by October 2022.
Jet has yet to announce any aircraft or engine purchases. Sources indicate that Jet is close to finalising a leasing contract for Airbus A320 planes.