SpiceJet (SG, Delhi International) has cleared all its outstanding principal dues to the Airports Authority of India (AAI), meaning it will no longer have to pay cash for airport services across the country, the low-cost carrier announced.
The airline said it would now be able to revert to an advance payment mechanism for daily flight operations. Its ability to clear its dues to the AAI resulted from an improved cash flow in recent times, the carrier said in a regulatory filing with the Bombay Stock Exchange (BSE).
As a result of clearing its dues, the AAI would release SpiceJet's INR500 million rupees (USD6.3 million) bank guarantee, resulting in additional liquidity for the airline.
On August 3, the BSE sought clarification from SpiceJet to media reports that a prominent Middle Eastern airline had expressed interest in a 24% stake and a board seat in the Indian budget carrier. A big Indian business conglomerate had also approached SpiceJet for a stake in the airline, reported India's Business Standard.
The airline has been in the news lately when a lessor asked India's General of Civil Aviation (DGCA) to deregister three B737-800s operated by SpiceJet, allegedly due to unpaid leases. The DGCA has also ordered SpiceJet to cut its scheduled flights by 50% for eight weeks due to safety concerns.
Still, SpiceJet said its flight operations remained normal. "The company is operating with excellent loads, and the daily ticket bookings remain strong. Our load factor on July 30, 2022, and July 31, 2022, was 81% and 82.4%, respectively," it said.
