Go First bankruptcy: Rival airlines Air India, IndiGo increase flights frequencies
Air India, Vistara and IndiGo have increased the flight frequencies on several busy routes to fill the vacuum left by Go First
With prolonged cancellation of flights by cash-strapped Go First, other Indian airlines are seizing the opportunity by adding new flights. Domestic carriers Air India and IndiGo have increased the flight frequencies on several busy routes to fill the vacuum left by Go First.
On May 2, the Wadia Group-backed Go First filed for voluntary insolvency resolution proceedings and sought an interim moratorium on financial obligations.
The beleaguered airline blamed US engine maker Pratt & Whitney for delaying engine supplies that led to the grounding of half its 54 Airbus A320neos. Pratt, part of Raytheon Technologies, says the claim is without merit. Go First blamed problems with Pratt's geared turbofan (GTF) engines for the crisis. Pratt has argued Go First failed because of "its own poor management and events like Covid".
The two sides are waging legal battles in India, Singapore, and Delaware. Last week, the Indian tribunal granted bankruptcy protection to Go First which will give it time to get back on its feet.
Go First primarily had a high frequency on leisure destinations such as Goa, Leh, and Srinagar. Citing Cirium data, ET mentioned that Go Air was supposed to operate 199 flights from Delhi to Srinagar, 182 flights on the Delhi-Leh route, and 156 flights from Mumbai to Goa this summer. However, due to the financial crisis, Go Air flights have become inoperational for more than 20 days.
Go First is owned by India's Wadia group. The Mumbai-based conglomerate was founded in 1736 by Loeji Nusserwanjee Wadia. Go First owes financial creditors ₹65.21 billion.
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