SpiceJet has entered into a full and final settlement with the Airports Authority of India (AAI) and has cleared all the outstanding principal dues of the airport operator.
In a statement issued on Tuesday, the airline said it 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”.
“SpiceJet’s ability’ to clear the pending dues reflects the airline’s improved cash flow in the recent times,” the carrier’s statement added.
The AAI will also release SpiceJet’s ₹50 cr bank guarantee following the airline clearing all its principal dues. This will result in additional liquidity for the airline.