Vodafone CEO: Critical situation in India; uncertainties around VIL’s ability to generate cash flow

NEW DELHI: Vodafone Group on Tuesday said that there are ‘significant uncertainties’ around Vodafone Idea Limited’s ability to generate the cash flow to settle its guarantees and liabilities, including dues related to license fee emerging from the latest Supreme Court AGR judgement. The Group’s chief executive Nick Read termed VIL’s situations as critical.

“It’s fair to say that it is a critical situation…the Indian government understands the issue and the urgency…financially there’s been a heavy burden through unsupportive regulation, excessive taxes and on top of that we got the negative supreme court decision,” Read was quoted as saying by Reuters on Tuesday.