IndiGo shares crash 10% amid massive crisis; stock slips below ₹5,000 mark; top brass to reply to DGCA's show cause notices today

When last seen, the stock was trading at ₹4,950.50, down 7.82% on the NSE.

Flight disruptions at IndiGo entered the seventh day as the crisis-hit carrier cancelled 127 flights from Bengaluru Airport on Monday, PTI reported.

IndiGo has cancelled 127 flights, including 65 arrivals and 62 departures from Bengaluru Airport, the PTI report added on Monday.

While IndiGo will carry out a "root cause analysis" into flight disruptions that continued for the sixth consecutive day, Minister of State for Civil Aviation Murlidhar Mohol said passengers have endured mental harassment and distress due to the operational crisis and assured that steps are being taken to ensure accountability is fixed.

The board of IndiGo's parent, InterGlobe Aviation, has set up a Crisis Management Group (CMG), which is meeting regularly to monitor the situation, an announcement said on Sunday.

The airline expects operations to stabilise by December 10.

The civil aviation ministry, which has taken various measures, including capping airfares and directing IndiGo to expedite the ticket refund process, on Sunday said air travel operations across the country are stabilising at a fast pace.

The ministry also said IndiGo has processed ₹610 crore in refunds and delivered 3,000 pieces of baggage to passengers across the country as of Saturday.

IndiGo said it will be operating 1,650 flights of its 2,300 daily domestic and international flights on Sunday, and 650 remain cancelled for the day.

At the Delhi airport, at least 118 flights were cancelled on Sunday, while the number was 121 at Mumbai airport, officials said.

In a video message to the staff, IndiGo CEO Pieter Elbers said, "Step by step, we are getting back," and that the airline's on-time performance (OTP) is expected to be 75%.

The OTP, an indicator of punctuality, was 20.7% on Saturday, as per the latest official data.

A senior airline official on Sunday told PTI that it will do a "root cause analysis" and asserted that the carrier has an adequate number of pilots and there is no deficiency.

"Our pilot numbers are fine; while we may not have the luxury of a buffer," the official told PTI.

He also said there has been no hiring freeze amid concerns being raised in certain quarters that the lean-operating model might have led to the current situation.

What led to operational disruptions?

Lack of proper crew planning while implementing the new flight duty norms is being cited as a key reason for the significant operational disruptions.

According to the ministry, all other domestic airlines are operating smoothly and at full capacity, while IndiGo's performance has shown steady improvement on Sunday, with flight schedules moving back towards normal levels.

A statement issued by IndiGo said its Board of Directors is doing everything possible to take care of the challenges faced by its customers and ensure refunds to passengers.

DGCA's show cause notices

Aviation watchdog DGCA on Sunday gave more time to IndiGo CEO Pieter Elbers and the Accountable Manager Isidro Porqueras to submit their responses to the show cause notices seeking their explanations on the flight disruptions.

Both have been granted 24 more hours, or time till 6 pm on Monday, to submit their replies, a senior official said on Sunday.

In the show cause notices issued on Saturday, the Directorate General of Civil Aviation (DGCA) had asked Elbers and Porqueras to give their replies by Sunday evening.

The official said the deadline for replies was extended following requests from both airline executives.

IndiGo share price trend

Shares of IndiGo have slipped nearly 9% in five sessions.