Shares of Spicejet Ltd slipped 8% at Rs14 after the company has given clarifications on reports
The stock has hit a high of Rs14 and a low of Rs13.
The airline said that it has been reported is some newspapers that SpiceJet's international flying rights may be in jeopardy as our fleet may fall to below 20 aircraft. This is absoutely incorrect and false information, as our fleet is currently 37 aircraft, well above the limit of 20.
These newspapers neglect that fact we also have 15 Bombardier Q400s in our fleet in addition to 22 Boeing 737s.
The airline also stated that it has also been reported in some publications the SpiceJet's fleet reduction is somehow related to its discount fare sales strategy. Once again we want to emphasize that it has nothing to do with our pricing strategy or operational performance. Our new business and pricing strategy, adopted in early 2014, looks to boost loads through advance purchase sales to ensure we fly as few empty seats as possible, and boost yields through close-in pricing.
The board will meet today.
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