INSUBCONTINENT EXCLUSIVE:
Etihad is also considering investing fresh funds in Jet Airways, according to report.NEW DELHI: Etihad Airways is holding talks with Jet
Airways Ltd and its bankers on a rescue plan for the debt-laden domestic carrier, two sources aware of the matter told Reuters
Executives from Etihad and Jet have met some of the airline's bankers in Mumbai in recent days to discuss ways to address its cash flow
issues and evaluate the carrier's future business plan, the sources said
Etihad, which owns 24 per cent stake in Jet Airways, is also considering investing fresh funds in the airline if it can agree on the
structure, one of the sources said, adding that no deal has been finalised.The sources did not want to be named as the discussions are
private.Jet, which is the country's biggest full service carrier by market share, is in desperate need of cash
The 25-year-old airline, founded by Naresh Goyal, owes money to lessors and vendors, has delayed salary payments to pilots and senior
executives and is cutting flights on non-profitable routes to save money.India has one of the world's fastest-growing domestic aviation
markets but high fuel prices, a weak rupee and intense price wars in the country, which is dominated by no-frills airlines like Interglobe
Aviation Ltd's IndiGo, has exacerbated Jet's woes in recent months.Etihad has already come to Jet's rescue once when it picked up a 24 per
cent stake in the carrier in 2013 but the situation is different this time.(: Jet Airways' Independent Director Ranjan Mathai Quits)While
the Abu Dhabi-based carrier is invested in Jet, it has lost money in other airline ventures such as Alitalia and Air Berlin and may be wary
of loosening the purse strings again, said another source.Also, with tighter lending norms and a liquidity crisis looming in the country,
bankers may be hesitant to lend more to the struggling airline.Jet and Etihad did not immediately responded to Reuters' emails seeking
