Singapore Airlines deepens role at Air India amid record losses
India, April 24 -- Singapore Airlines Ltd (SIA) is deepening its operational involvement in Air India Ltd, as the carrier battles record losses and recent safety lapses draw increasing concern, according to people familiar with the matter.
SIA has moved some of its employees into Air India, placing its executives in key roles across flight operations, engineering and maintenance in recent months-areas where the Singaporean carrier has long been considered a global benchmark, said the people, who asked not to be identified as they aren't allowed to speak to the media.
While relying on its minority shareholder for operational support, Tata Group, which owns 74.9% of Air India, is focusing on commercial, human resources, finance and information technology functions, the people said.
The shift, the people said, marks a notable escalation in SIA's engagement since the deadly Dreamliner crash, moving it from a strategic partner to a far more hands-on presence inside India's flag carrier. Singapore Airlines stepped up its involvement last year with engineering and has since then expanded across other functions at Air India.
"We have been working closely with our partner Tata Sons to support Air India's transformation programme" since the Singaporean carrier became a significant minority partner in the carrier, a spokesperson for Singapore Airlines said in an emailed statement. The representative declined to comment on specific queries on Air India's finances and operations.
Spokespersons for Tata Sons Pvt.-the group's holding firm-and Air India did not comment on emailed queries.
With Aid India's losses swelling to roughly $2.4 billion last year, repeated regulatory lapses, and a series of external shocks disrupting operations, Singapore Airlines now has both the incentive and the urgency to step in....
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