Etihad Airways is now in talks with creditors for a deal that could help Jet back on its feet.Cash-strapped Jet Airways Ltd has flown straight into a storm, resulting in a major setback for country's largest full-service airline that could shake up country's aviation industry.Jet, which has debt exceeding 8,000crore rupees as of September-end, has been steadily losing market share to its rival and low-cost carrier IndiGo, which is owned by InterGlobe Aviation Ltd.Abu Dhabi-based Etihad Airways, Jet's second-largest shareholder, is now in talks with creditors for a deal that could help airline back on its feet.August 1, 2018 - Media report says Jet asked employees to take an up to 25 per cent cut in salaries as a part of a cost cutting measureAugust 3 - Jet denies report that it cannot fly beyond 60 days, and dismisses conjecture of stake saleAugust 9 - Airline defers board meet for first-quarter resultsAugust 11 - After State Bank of India chairman says Jet's loan is on bank's watch list, Jet says it is regular in payment obligations to all banksAugust 13 - Airline reaffirms that it is considering various options to meet its funding requirementsAugust 20 - Sources tell Reuters that private equity firm TPG Capital is considering investing in Jet, but is not close to finalising a dealAugust 27 - Jet posts loss for June-quarter, says it will inject funds and cut costs by more than 2,000 crore rupees in two yearsSeptember 6 - Jet says it paid salaries to 84 per cent of its employees after reports emerge that pilots warned 'non-cooperation' over salary defaultOctober 4 - Rating agency ICRA downgrades company's long term loans and NCDs, citing impact of steep increase in jet fuel prices, rupee depreciation, delay in implementation of liquidity initiativesOctober 18 - Report says Indian conglomerate Tata Group is in talks to buy stake in Jet.
Jet calls report "speculative"October 30 - U.S.-based Delta Air Lines Inc expresses interest to buy Jet stake from promoter Naresh Goyal and Etihad AirwaysNovember 5 - Report says Tata aims to buy 51 per cent stake in airline owned by Naresh Goyal, and Etihad Airways' 24 per cent stake, and merge Jet with VistaraNovember 12 - Jet posts third straight quarterly loss, chief executive officer Vinay Dube expresses confidence in overcoming current challengesNovember 13 - Tata Sons begins due diligence to buy Jet, reports sayJet executive says company is in talks with multiple parties for a stake sale in its loyalty program, and equity infusion in airlineNovember 15 - Shares surge nearly 25 per cent following reports that debt-laden airline was nearing a rescue deal with Tata Sons; another report says Indian government asked Tata to explore buying JetNovember 16 - Tata Sons says discussions on Jet is preliminary and no proposal has been madeNovember 22 - Independent director Ranjan Mathai resigns, citing rising pressure from other commitmentsDecember 3 - Jet says it will stop providing free meals to most domestic economy class passengers from January, in its latest move to cut costs and boost revenuesDecember 5 - Jet and Etihad Airways have been holding rescue talks with Jet's bankers, sources tell ReutersDecember 6 - Jet tells its pilot union it will clear all salary dues by April, a source tells ReutersDecember 7 - ICRA cuts Jet rating yet again, cites delays in implementation of proposed liquidity initiatives by Jet's managementDecember 14 - Goyal's penchant for control has come up as a major obstacle as airline tries to negotiate a rescue deal, several people who have worked closely with him or known him over years tell ReutersJanuary 2, 2019 - The airline says it has delayed payment to a consortium of Indian banks, led by SBI; ICRA cuts rating againJanuary 10 - Jet proposes to creditors that it will catch up with debt payments in arrears by September, and from April will meet debt payments as they come due, according to a document seen by ReutersJanuary 11 - Some aircraft lessors were prompted to explore taking back aircraft from Jet, three people familiar with matter told Reuters.
Etihad is not "in any position to sink new equity into Jet at this juncture", says a person familiar with Etihad's position.January 14 - Jet shares surged over 18 per cent after report stated founder and chairman Naresh Goyal is likely to step down from board and give up majority control.January 15 - Etihad Airways plans to hike its stake in Jet, a person close to Abu Dhabi carrier tells Reuters.January 16 - Jet says lenders discussing plan involving a cash injection by stakeholders and board changes.
TV channel reports that Etihad offered to buy Jet shares at a 49 per cent discount and immediately release $35 million.January 17 - Top creditor SBI says Jet's lenders are considering a plan to resolve its debt issues, amid further reports that Goyal is willing to invest 700 crorerupees in airline and pledge all his shares but wants to retain a 25 per cent stake.