ICBC Moves to Reclaim Four SpiceJet Boeing 737 MAX Jets

The applications submitted by Sky High LXXX Leasing Company Ltd and Sky High LXXVIII Leasing Company Ltd arrive as the embattled Indian carrier struggles to stabilize its finances. SpiceJet, which has seen its share price plummet nearly 63% this year, claims the move is a strategic decision to shed rental costs for aircraft that have sat idle due to persistent engine turbine issues. According to the airline, this deregistration will not disrupt its remaining flight schedule.

This legal maneuver serves as a litmus test for a 2023 Indian law intended to protect lessors' interests, a response to years of protracted disputes in the country's aviation sector. SpiceJet remains under immense pressure, having grounded most of its 53-plane fleet, with only 11 aircraft currently listed as operational. While the airline has secured 1.5 billion rupees from a government-backed credit scheme and anticipates further funding, the push from the world's largest lender suggests creditors are growing increasingly impatient with the carrier's ongoing recovery efforts.