Air India Faces CEO Delay, Forms Interim Panel

An interim management committee has been established to run Air India as the search for a new chief executive officer is anticipated to take several months. Tata Sons Chairman N Chandrasekaran is spearheading this committee, which also includes former Air India CMD Pradeep Singh Kharola and other senior executives. Kharola's role is to streamline operations and enhance execution, while Chandrasekaran will focus on tightening quality control and driving profitability.

This transition occurs as Air India's financial performance shows a complex picture. While the airline's revenue more than doubled to S$10.53 billion (Rs 77,800 crore) in the last fiscal year, largely due to the Vistara merger, its after-tax losses widened substantially to S$3.77 billion (Rs 27,800 crore). This necessitates further cash injections from co-owners Tata Group and Singapore Airlines.

Air India continues to navigate a challenging business environment. Factors contributing to its difficulties include industry-wide supply chain disruptions delaying aircraft deliveries, elevated fuel prices, and geopolitical issues like the closure of Pakistani airspace, which forces longer, more costly flight routes. The airline has already reduced over 350 daily flights due to these pressures.