SpiceJet to lease 10 new planes for the upcoming travel season: Report

SpiceJet will be leasing 10 Boeing 737 planes to cover 60 destinations, as the travel season approaches

SpiceJet is betting big on the upcoming travel season by leasing 10 new aircraft, Moneycontrol reported, citing multiple unnamed sources. HT couldn't independently verify the information.

SpiceJet's leasing costs are currently between $180-190 million per annum for 38 aircraft. (Representational Image/Reuters)

The airline will be leasing 10 Boeing 737 aircraft to cover 60 destinations, according to the report.

The company got permission to operate just 1,657 weekly flights this summer, compared to 2,132 last year. It has applied to operate 2,240 weekly flights for the winter schedule, which is between October 27 and March 30.

SpiceJet's operational fleet comprised of 39 planes, with the total fleet size being 63 as on March 20 this year, according to the report. In contrast, SpiceJet had a 118 plane fleet and 16,000 employees at its peak in 2019.

SpiceJet's leasing costs are currently between $180-190 million per annum for 38 aircraft, according to the report.

What are the troubles faced by SpiceJet?

On September 2, multiple SpiceJet flights across Delhi, Mumbai, and Srinagar airports were delayed up to four hours because oil companies refused to provide aviation turbine fuel (ATF) due to SpiceJet's pending dues to them.

It also has multiple court cases on unpaid dues to former owner Kalanithi Maran, financial services firm Credit Suisse, aircraft and engine lessors.

SpiceJet announced it will furlough (temporarily suspend without laying off for financial reasons) 150 cabin crew members for three months. However, The carrier is also planning to lay off 15%of its workforce to reduce operational costs, according to the report.

The airline's Chief Operating Officer (COO) Arun Kashyap as well as Chief Commercial Officer (CCO) Shilpa Bhatia both resigned recently.