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If only they had seen that founder Naresh Goyal wasn’t able to cover costs, and was using borrowed money to keep the full service airline afloat amid intense competition with low cost rivals. One refusal from them to lend more without fresh equity from 51% owner Goyal, his 24% partner Etihad Airways PJSC, or the public, would have hastened the default that finally occurred in January. Even then, creditors could have produced a new controlling shareholder in an out of court process if they’d wrested control of the board from Goyal rather than waiting until late March.
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