Following a meeting on Wednesday, September 2, the board of directors of Jet Airways (JAI, Mumbai International) resolved to merge the carrier's JetLite (Delhi International) subsidiary with its parent. While the two entities' financials will be merged, JetLite will continue to operate under its own Air Operators Permit (AOP).
A part of Jet Airways' restructuring plan aimed at returning to longterm profitability by 2017, the move will result in better use of available aircraft capacity while streamlining administrative and purchasing costs.
“Jet Airways has made demonstrable progress in the implementation of its three-year turnaround strategy with the objective of returning to profitability," Naresh Goyal, Chairman, Jet Airways, said. "The merger of JetLite into Jet Airways is a key step to strengthen Jet Airways’ operations and create a seamless organisation, delivering exceptional service to its guests.”
JetLite was formed when Jet Airways successfully acquired Air Sahara (Delhi International) for USD340 million in 2007. It operated as a budget carrier until December 2014 when Jet Airways announced it would reposition the company as a uniform, full service airline across all platforms.
Currently, JetLite's fleet consists of three B737-700s and five B737-800s used on flights to twenty-seven destinations across India.
