Air India has achieved a significant milestone by taking delivery of its first line fit Boeing 787-9 Dreamliner since privatisation, marking a major step in the airline's fleet modernization program. The title transfer was completed at Boeing's Everett factory in Seattle on January 7, with the aircraft expected to arrive in India within the next few days following inspections by the Directorate General of Civil Aviation (DGCA).

This delivery represents the first custom-made Dreamliner for the airline since the Tata Group acquired Air India in January 2022. The new aircraft features a three-class configuration with economy, premium economy, and business class seats, designed specifically for Air India's operational requirements.

Fleet Expansion Progress

This delivery represents a crucial achievement in Air India's ambitious expansion plans. The new aircraft is the airline's first wide-body delivery and 52nd overall aircraft from its massive 220 Boeing jet order placed in 2023.

Historical Context and Recent Acquisitions

The last line fit Dreamliner acquired by Air India was in October 2017 during government ownership. Line-fit refers to aircraft specifically manufactured for a particular airline, ensuring customized configurations and specifications. This latest delivery marks the first line fit Dreamliner since Air India's privatization in January 2022.

Air India Express has already taken delivery of 51 narrow-body Boeing 737-8s from the same order, including its first line fit aircraft inducted in late December.

Comprehensive Fleet Orders

Following the Tata Group's acquisition in January 2022, Air India placed one of the aviation industry's largest aircraft orders:

Current Fleet Composition

Air India's current wide-body fleet includes aircraft inherited from the Vistara merger, which was completed recently. The airline now operates 26 Boeing 787-8s and 6 Boeing 787-9s that were previously part of Vistara's fleet.

Future Fleet Plans and Leadership Changes

Looking ahead, Air India has outlined ambitious expansion plans. A dozen legacy Dreamliners with refreshed interiors are expected to return to service through 2026, further strengthening the airline's wide-body capabilities. Air India Group expects to induct 26 wide-body and narrow-body planes and operate 81% of its international flights with upgraded aircraft by the end of 2026.

Amidst these expansion plans, Air India is reportedly searching for a new CEO to replace Campbell Wilson, according to industry sources, indicating potential leadership transitions as the airline continues its transformation journey.

This delivery milestone represents Air India's commitment to fleet modernization and expansion under Tata Group ownership, positioning the airline for enhanced operational capabilities and passenger experience improvements across its domestic and international route network.

Tata Group has commenced the search for a new Chief Executive Officer for Air India, signaling the end of Campbell Wilson's tenure as the carrier grapples with persistent operational challenges and financial losses. Wilson, whose contract runs until mid-2027, will not be offered an extension as the airline continues to struggle with its turnaround efforts.

Leadership Transition Underway

Tata Chairman N. Chandrasekaran has initiated preliminary discussions with potential CEO candidates who possess experience managing large airlines, particularly those with significant domestic operations. The leadership change reflects growing impatience within the Tata Group regarding Air India's sluggish recovery trajectory since its acquisition from the government.

Operational Challenges Impact Performance

Air India faces significant hurdles in meeting its operational targets, with the carrier unlikely to achieve its March 31 break-even deadline. This missed milestone represents a critical factor in the decision to replace Wilson. The airline's recovery plans suffered a major setback following a Boeing 787 Dreamliner crash in Ahmedabad, with the cause still under investigation.

External Pressures Compound Difficulties

The airline confronts multiple external challenges that have hampered its financial performance:

• Supply chain disruptions affecting aircraft delivery schedules
• Pakistan's airspace closure to Indian carriers, necessitating longer flight routes
• Broader infrastructure and regulatory concerns within India's aviation sector

These factors have contributed to the carrier's struggle to return to profitability despite restructuring efforts.

Industry-Wide Turbulence

Air India's challenges coincide with instability across India's aviation sector. Rival IndiGo recently faced regulatory scrutiny after mass flight cancellations caused by pilot shortages and software issues stranded approximately 500,000 passengers. Together, these two carriers control nearly 90% of domestic seats in the world's third-largest domestic aviation market.

Wilson's Tenure and Mandate

Campbell Wilson, 53, joined Air India in July 2022 from Scoot Airlines after the Tata Group's initial choice, former Turkish Airlines Chief Ilker Ayci, declined the position. Wilson was tasked with comprehensive improvements including enhanced passenger experience through better seating, in-flight entertainment, and food service, while repositioning the airline for sustainable profitability and growth.

The announcement of Wilson's replacement is expected following the release of the official crash investigation report, anticipated by June. This timeline aligns with standard aviation investigation procedures, which typically conclude within one year of an incident.