With no funds coming from lenders, the beleaguered airline has extended suspension of its worldwide operations till April 18.
Jet Airways plans to extend its suspension of global flights until Thursday having not received any interim funding from lenders, the company said in a letter to employees on Monday.
The airline had earlier cancelled its foreign operations from April 12 to April 15. Jet Airways CEO Vinay Dube assured employees, "We will keep you updated on all the critical developments". "As you are aware, we have been working with the lenders to secure interim funding for our operations. The interim funding has not been forthcoming thus far." he wrote. The company management, he said would seek guidance from the board on the steps forward. "It's on the ground", another source in the know said.
They had planned to strike from Monday but postponed the action until after the bankers' meeting.
"A proposal for a fresh fund infusion has been given to the lenders", an unidentified airline official told the agency.
"The proposed equity conversion by banks, if any, will be undertaken as a transitory mechanism to facilitate the bidding-cum-sale process", the State Bank of India (SBI) said in a statement on Monday.
In a damage control exercise, the bank said that necessary support to facilitate the process was being extended by the lenders in the consortium. All of its global flights have been suspended since late Thursday, with Europe and North America particularly badly hit.
The unpaid employees of the airline have taken out silent marches in New Delhi and Mumbai.
The Mumbai-based firm has defaulted on loans and repeatedly failed to pay staff and lessors in recent months.
If Jet goes down, it will be the second pan-Indian operator to go belly up.
A deadline passed Friday for prospective bidders to express an interest in acquiring a 75 per cent stake in the carrier.
Local media have reported that as many as six parties have submitted expressions of interest, though it is still far from clear if an acceptable bid will materialize.