Campbell Wilson, the CEO of Air India, will resign from his position as chairman of Air India Express, the airline’s low-cost division. He will be succeeded by Nipun Aggarwal, the company’s chief commercial officer, according to a memo released on Tuesday. This change is part of a multi-billion dollar restructuring process for the former state-owned airline.
In addition to Wilson’s departure, Basil Kwauk, the Chief Operating Officer of Air India, will also take his place on the board of Air India Express. Both Aggarwal and Kwauk will keep their current responsibilities, as noted in Wilson’s memo.
Since Tata Group acquired Air India two years ago, the airline has been implementing a comprehensive turnaround plan. The group has consolidated four airlines into two brands: the full-service Air India and Air India Express, which merged with AirAsia India last year to enhance their services, along with a leadership refresh across the two airlines.
“With the major structural changes largely concluded, our focus now shifts to maximizing and optimizing the Group’s fleet, network, sales channels, and loyalty programs,” Wilson stated in the memo shared with Reuters that was later confirmed by a spokesperson for Air India Express.
Nipun Aggarwal joined Air India in January 2022 following the successful acquisition of the carrier by Tata. He has played a pivotal role in various functions such as aircraft procurement, financing, and strategic planning. Recently, reports indicated that Air India is considering a multi-billion dollar purchase of numerous widebody aircraft.
Nonetheless, delays in jet deliveries have hindered the airline’s recovery efforts, necessitating the continued operation of older aircraft which leads to heightened maintenance costs. This situation has also impeded the airline’s modernization and expansion initiatives, despite a surge in air travel demand.
Following a report from Bloomberg News about China instructing its airlines to halt further deliveries of Boeing aircraft amid ongoing trade tensions, an industry source informed Reuters that Air India may look into acquiring planes that China has declined. However, it was noted that this situation remains dynamic.
Both Air India and Boeing have not yet provided feedback regarding this matter. Air India Express, which primarily aims to support its parent airline on various routes, has opted not to comment.
The airline operates a fleet of over 100 aircraft, which includes 68 Boeing 737s and 36 Airbus A320s. It anticipates adding around 15 new aircraft to its fleet in the current fiscal year, which commenced on April 1, with some being sourced from Air India.