Jet Airways' Investors are losing money, and Naresh Goyal feels "embarrassed and guilty"

Last Updated: Thu, Aug 09, 2018 20:00 hrs
A Jet Airways passenger aircraft takes off from the airport in Ahmedabad

Even as his airline becomes the talk of the town, the man at the helm of Jet Airways feels "embarrassed and guilty".

His airline, has been in the bad news. When it involved talks of a 15% pay-cut, the media picked it, forcing the aviation company to retract the statement.

A story by Economic Times that spoke of cash to sustain only for 60 days, had Jet dismissing the report itself as a "speculation" in response to the exchange's clarification.

On Thursday, hours before the company was to announce the quarter results, a media outlet snidily sneaked a report claiming 500 ground staff could be de-grounded. A company spokesperson refuted that too.

And on Thursday while addressing shareholders of Jet Airways, Naresh Goyal, the promoter felt "embarassed and guilty". The reason behind it was a sad show in the stock's performance, which has hit retail investors.

Besides a rise in aviation fuel, the mediocre poor performance has been led by a constant worry about the financial health of this airline.

In the past 6 months alone, the stock has bled by 70%. Goyal was quoted saying, "Lots of shareholders have lost money. I feel guilty and embarrassed."

To resolve his guilt and embarrassment, the 69 year old Goyal found a perfect way to navigate and create money for shareholders.

A new committee to improve public perception and control negative publicity.

Naseem Zaidi, the company's director and Ashok Chawla, another director will be chairing the meetings of this executive committee.

The company's quarterly results were eagerly awaited. By 7:30 PM however the company was yet to file it's results with the Bombay Stock Exchange. The scrip at end of business hours on Thursday reflected a price change of 7.55 points or 2.57% up at Rs 301.70 a share. With Agency Inputs