InterGlobe Aviation Finalises Compensation Deal With IAE For Grounded Planes
The company, however, did not mention the amount of compensation.
InterGlobe Aviation, the parent company of the budget airline IndiGo, announced on Friday that it will receive a 'customized' compensation from International Aero Engines, an affiliate of aircraft engine manufacturer Pratt & Whitney, for its grounded aircraft.
"InterGlobe Aviation Ltd. has finalized an amendment to the existing agreement with International Aero Engines, LLC on June 14, 2024, under which IAE will provide IndiGo with a customized compensation for the aircraft grounded due to the unavailability of engines," InterGlobe Aviation said in a regulatory filing.
The company, however, did not give the amount of compensation.
A good number of IndiGo aircraft are grounded amid supply chain and engine issues.
In February, the airline had said the number of aircraft on ground was in the mid-70s.
The Gurugram-based budget carrier airline is the only profit-making domestic carrier.
It reported more than doubling of profit after tax to Rs 1,894.8 crore in the March quarter, fuelled by higher traffic, increased capacity and favourable external environment.
For FY24, the airline posted a net profit of Rs 8,172.5 crore on record total income of Rs 18,505.1 crore.
At the end of March, the airline had a fleet of 367 planes, including 13 on damp lease.
IndiGo's domestic market share rose to 61.6% in May, as per the data released by the DGCA on Friday.
(With inputs from PTI)
