Disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

Transcription

1 September 10, 2018 Department of Corporate Services, BSE Limited, Phiroz Jeejeebhoy Towers, Dalal Street, Mumbai Reference: Subject: Scrip Code: and Scrip ID: SPICEJET Disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 Dear Sir, In compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find attached herewith Press Release. This is for your information and further dissemination. Thanking you, Yours truly, For SpiceJet Limited Chandan Sand Sr. VP (Legal) & Company Secretary Encl.: As above

2 SpiceJet launches dedicated air cargo services on domestic and international routes Inducts its first Freighter Aircraft First domestic airline to offer end-to-end cargo services To launch operations from September 18, 2018 To boost SpiceJet s ancillary business growth Aircraft acquisition through operating leases GURUGRAM, September 10, 2018: SpiceJet, the country s favourite carrier, today announced the launch of its dedicated air cargo services and inducted its first freighter aircraft at a grand ceremony at the Indira Gandhi International airport in Delhi. SpiceJet would operate the cargo services under the brand name SpiceXpress and has laid down a detailed plan covering both domestic and international routes. Much like SpiceJet s commercial passenger aircraft fleet, the airline s freighters fleet will consist of Boeing 737 planes and will be operated on an incremental direct operating cost model and extending its operations through its common pool of resources like pilots, engineers, ground staff, airport infrastructure. The first freighter aircraft to be inducted by SpiceJet is a Boeing SpiceJet plans to have an air cargo fleet with the first four freighters scheduled to be inducted in FY This unit will be operated as a separate business unit under SpiceJet Limited. I am delighted to announce the launch of our dedicated air cargo operations and induction of our first freighter aircraft. With our proven operational capability, this is an extension of our belly cargo service to a dedicated freighter with Boeing 737 aircraft. We are very excited about the tremendous potential the logistics industry offers. There is a huge untapped market for air cargo services in India and a player like SpiceJet - with its low cost structure - is best suited to address this need, said Ajay Singh Chairman and Managing Director, SpiceJet. The freighter aircraft will be acquired on pure operating leases and haven t incurred any major CAPEX, while the ground operations will be either self-handled by the existing Spicejet ground infrastructure or shall be outsourced till we develop a certain scale of operations he added.

3 SpiceXpress will launch operations on September 18, To begin with the air cargo operations will cover Delhi, Bengaluru, Guwahati, Hong Kong, Kabul and Amritsar. With the induction of freighters, the airline is all set to strengthen its footprint whilst offering safe, on-time, efficient and seamless air cargo connectivity across India, Asia and Europe. SpiceJet will offer direct freighter operations powered by its fully integrated transportation network including air cargo, ground transportation and warehousing facilities across the country. The current cargo capacity of SpiceJet s existing fleet is about 500 tonnes per day and with the launch of the dedicated freighter service this capacity would go up to 900 tonnes a day in a phased manner with the addition of four freighters by March SpiceJet currently offers cargo capacity on its passenger aircraft fleet of 36 Boeing and 22 Q400s operating across 47 domestic and 7 international destinations. The added capacities through the acquisition of the freighters will enhance the airline s existing cargo competence to 60 domestic destinations by the end of this year. SpiceJet aims to further ramp up this competence servicing up to 150 destinations across India, Asia and Europe by The service will address time and temperature sensitive shipments across verticals, like letters and credit cards under banking, blood, organs, and medicines under pharma. Other shipments would include automobiles, apparels, consumer electronics, e-commerce and live animals. Besides, the airline will also ship perishables like farm fresh fruits and vegetables to the Middle East. Among its key features, SpiceXpress will offer Priority Based Delivery (PBD), Hour Based Delivery (HBD), Priority Cargo and Personalised Services (PSS) among others. The Air cargo traffic in India is expected to grow by 60% in the next five years. The Indian logistics industry which provides employment to more than 22 million people has grown at a compound annual growth rate (CAGR) of 7.8% during the last five years and is expected to touch a worth of USD 215 billion in the next two years. Eyeing the huge growth potential in both domestic and global markets, fuelled by the ever increasing e-commerce boom, SpiceJet aims to shore up SpiceXpress s existing capacity, transforming it into a full scale freighter cargo service. About SpiceJet Ltd SpiceJet is India s favourite airline that has made flying affordable for more Indians than ever before. SpiceJet operates 412 average daily flights to 54 destinations, including 47 domestic and 7 international ones. The airline connects its network with

4 a fleet of 36 Boeing 737NG and 22 Bombardier Q-400s. The majority of the airline s fleet offers SpiceMax, the most spacious economy class seating in India. SpiceJet s standing as the country s favourite airline has been further reinforced by the multiple awards and recognitions which includes the US-India Strategic Partnership Forum Leadership Award to Ajay Singh,, Global Low-Cost Leadership Award conferred to Mr Singh at the Airline Strategy Awards 2018 in London, BML Munjal Awards 2018 for Business Excellence through Learning and Development, Best Domestic Airline Award at Wings India 2018, EY Entrepreneur of the year 2017 for Business Transformation by Ernst & Young, The CAPA Chairman s Order of Merit for fastest turnaround in FY 2016, 'Asia's Greatest Brands ', Global Asian of the Year Award & 'Asia's Greatest CFO 2016' at the AsiaOne Awards held in Singapore, World Travel Leaders Award at WTM London, Best Check- in Initiative award by Future Travel Experience global awards in Las Vegas, Best Domestic Airline award at the 10th ASSOCHAM International Conference & Awards (Civil Aviation & Tourism). For more information on the release, please contact: Mr. Tushar Srivastava Ms Sudipta Das Head-Corporate Communications Sr. Manager Corporate Communications SpiceJet Limited SpiceJet Limited tushar.srivastava@spicejet.com sudipta.das1@spicejet.com Mr. Debdoot Majumder/Ms Sonia John Adfactors PR / debdoot.majumder@adfactorspr.com / sonia.john@adfactorspr.com Disclaimer: Certain statements in this release concerning our future growth prospects are forwardlooking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, fluctuations in foreign exchange rates, our ability to manage growth, intense competition in aviation sector including those factors which may affect our cost advantage, wage fluctuations, our ability to attract and retain highly skilled professionals, time and cost overruns on various parameters, our ability to manage international operations, reduced demand for air travel, liability for damages,

5 withdrawal or expiration of governmental fiscal incentives, political instability, legal restrictions on raising capital or general economic conditions affecting our industry. The words anticipate, believe, estimate, expect, intend and similar expressions, as they relate to us, are intended to identify certain of such forward looking statements. The Company may, from time to time, make additional written and oral forward-looking statements, including statements contained in our reports to shareholders. The Company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the Company unless it is required by law.