SpiceJet completes $24 million payment to Credit Suisse, settles old liability

In a remarkable achievement, low-cost carrier SpiceJet has fully paid $24 million (around INR 200 crore) to lessor Credit Suisse, closing a long-standing financial liability that has been pending for more than a decade. The payment was made under a settlement agreement signed in May 2022, and the airline confirmed that the dues have now been cleared in full.

The liability dates back to 2011, when SpiceJet signed a 10-year aircraft maintenance contract with Swiss firm SR Technics. In 2012, SR Technics transferred its right to recover payments to Credit Suisse. Over time, the unpaid dues became a major legal and financial overhang for the airline.

At one point, Credit Suisse had claimed $41.77 million from SpiceJet. However, both parties reached an agreement in 2022 to settle the dues for $24 million, payable through a structured plan.

Confirming the development in a stock exchange filing, SpiceJet said: “The successful completion of this payment underscores SpiceJet’s commitment to honouring its financial obligations and its sustained efforts to strengthen its balance sheet, improve financial stability, and build long-term value for all stakeholders.”

The airline also clarified that the liability predated the current promoter’s tenure. With the settlement now complete, the company believes it has removed a key obstacle to its ongoing turnaround efforts.

Debojo Maharshi, Chief Business Officer of SpiceJet, said: “This settlement not only brings closure to an old liability but also demonstrates our resolve and ability to meet commitments despite a challenging operating environment. SpiceJet today is financially stronger, more resilient, and fully focused on growth and profitability.”

Despite this positive milestone, SpiceJet’s financial performance continues to face headwinds. On September 5, the airline reported a consolidated net loss of INR 233.85 crore for the first quarter of FY26 (April–June), compared to a net profit of INR158.3 crore in the same quarter last year.

The company’s revenue from operations fell by 34% year-on-year, dropping to INR1,120.2 crore in Q1 FY26 from INR1,708.2 crore in Q1 FY25.

On Monday, SpiceJet’s stock closed nearly 3% lower at INR33.45 apiece, after hitting an intraday low of INR 32.60.

SpiceJet said it continues to work on improving its financial position, highlighting steps such as successful fundraising initiatives, settlements with key lessors and creditors and strategic expansion of its fleet and route network

With the Credit Suisse liability now settled, the airline hopes to focus on stabilising operations, restoring profitability, and regaining investor confidence.