SpiceJet reaches settlement with aircraft lessor, will get two more Boeing 737 Max planes

According to an official statement, the settlement was reached with Goshawk Aviation Limited and its affiliated leasing entities Wilmington Trust SP Services (Dublin) Limited, Sabarmati Aviation Leasing Limited and Falgu Aviation Leasing Limited related to two Boeing 737 MAX aircraft and one Boeing 737-800 NG aircraft.

“The parties have agreed to settle all their disputes under and related to the aircraft lease agreements for three aircraft,” the statement said.

Goshawk is one of the main lessors of MAX aircraft of SpiceJet. The dispute between SpiceJet and Goshawk was related to pending dues with SpiceJet, for which Gishawk approached Delhi High Court last year.

“The agreement, the terms of which are confidential, ends all litigation proceedings between the parties. All proceedings, including before the UK Court and Execution Proceedings before the Delhi High Court will be withdrawn accordingly,” SpiceJet said.

Earlier this month, SpiceJet said it has entered into an agreement with the Airports Authority of India (AAI) and cleared all outstanding principal dues of the airport operator.

“With this, SpiceJet will no longer remain on ‘cash and carry’ at AAI-run airports across the country and will revert to advance payment mechanism for daily flight operations,” the airline’s said.

Last month, aviation regulator Directorate General of Civil Aviation (DGCA) ordered SpiceJet to operate only 50 per cent of its flights for eight weeks to ensure the airline sustains its “efforts for safe and reliable air transport service”.

The order came against the backdrop of a spate of safety-related incidents reported on its planes.

According to a report from news agency PTI, SpiceJet has been making losses for the last four years. It incurred net losses of Rs 316 crore, Rs 934 crore and Rs 998 crore in 2018-19, 2019-20 and 2020-21, respectively.

In the April-December period of 2021, the airline posted a net loss of Rs 1,248 crore.