In a bankruptcy filing with the National Company Law Tribunal, Go First stated that as of April 28, the total amount owed to financial creditors was 65.21 billion rupees.
As of April 30, the business had not missed a payment on any of those obligations, but it had, according to the petition, missed payments to operational creditors, including 12.02 billion rupees owed to vendors and 26.60 billion rupees owed to aircraft lessors.
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Go First stated in a statement that it filed the lawsuit as a result of Pratt & Whitney, the sole engine provider for the airline's fleet of Airbus A320neo aircraft, refusing to abide by an arbitration ruling ordering the transfer of spare leased engines, which would have allowed the airline to resume regular operations.
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The airline said that the percentage of its fleet that was grounded "due to Pratt & Whitney's faulty engines" increased from 7% in December 2019 to 50% in December 2022, costing it 108 billion rupees ($1.32 billion) in lost income and associated expenses.
According to a statement Pratt & Whitney provided to Reuters, the company is "committed to the success of our airline customers, and we continue to prioritise delivery schedules for all customers."
"P&W is abiding by the March 2023 arbitral decision concerning Go First. We won't speak further because this is currently a legal situation," it continued.
Source: https://www.reuters.com/business/aerospace-defense/indias-cash-strapped-go-first-airways-suspends-flights-et-2023-05-02/
