Jet Airways revival: Jalan-Kalrock says ‘difficult but necessary’ steps may be taken to manage cashflows

The Jalan-Kalrock Consortium (JKC), that is reviving Jet Airways, has said in a statement on Friday that due to the longer-than-expected time taken, there might be some ‘difficult but necessary near-term decision’ to manage their cashflows and secure their future as they await the possession of the airline. The consortium said that they are awaiting the handover of the company as per the NCLT process.

The consortium also said that there has been no delay from their side in the implementation of the plan and that they are in full compliance of the approved plan. It said that it is fully committed to reviving the airline, and has made significant progress in the relaunch of Jet Airways, including the revalidation of the Air Operator Certificate.

JKC said that they have a ‘wonderful blueprint’ for the revival of the airline, and it will be a game-changer in terms of strategy and business model. They aim to transform the airline-customer relationship from adversarial to win-win.

Ankit Jalan, board member, Jalan-Kalrock Consortium, said, “With a modern full-service business model, Jet Airways will provide customers in India a choice between full-service airlines, especially with the consolidation of airlines that is currently taking place in the industry”, further adding that there is ‘tremendous’ goodwill for the brand and public support for the revival of Jet Airways.

Jalan also said that the revived airline will provide additional career opportunities, including the airline’s former staff that make up more than 60 per cent of the current workforce.

Sanjiv Kapoor, Chief Executive Officer, for Jet Airways, added, “With the planned October 2022 launch timeline in mind, we have put into place a highly experienced professional management team and negotiated excellent terms for our various supplier contracts that can often be critical in this industry.”

He said that Jet Airways, its website, app,  customer handling, operational and disruption handling, and all other aspects of the business have been designed and developed to raise the bar of customer experience.

The consortium said that all conditions as outlined in the resolution plan were completed by May 20 after the NCLT’s approval. JKC has deposited Rs 150 crore as required under the court approved resolution plan with the lenders, it said. The remaining amount will be invested only after the next steps of NCLT are fulfilled in terms of handover of the company. “We have not breached any terms of the resolution plan, and we remain committed to the revival of Jet Airways,” it said.

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